California Constitution Article XIX B - Motor Vehicle Fuel Sales Tax Revenues and Transportation Improvement Funding [Sections 1 - 2]

Here is a summary and explanation of California Constitution – Article XIX B, titled:

🔧 Article XIX B – Motor Vehicle Fuel Sales Tax Revenues and Transportation Improvement Funding

[Sections 1 – 2]
(Added by voter initiative: Proposition 42, March 2002)

🔹 Purpose:

This article ensures that revenues from the state sales tax on motor vehicle fuel are used exclusively for transportation-related purposes, such as road improvements, public transit, and safety programs.

### 📘 Section 1 – Use of Revenues

Summary:

Beginning July 1, 2003, all state sales tax revenues derived from motor vehicle fuel sales (like gasoline) must be used only for transportation purposes.

🚧 Specifically Allowed Uses:

Public street and highway improvements.

Construction and maintenance of roads.

Public transit systems (buses, rail, etc.).

Safety and environmental mitigation related to transportation.

🔒 Prohibition:

These funds cannot be used for general government purposes or non-transportation programs.

### 📘 Section 2 – Temporary Suspension in Fiscal Emergency

Summary:

The Legislature may suspend the transfer of motor fuel sales tax revenue to transportation if:

Governor declares a fiscal emergency, and

Two-thirds of both houses of the Legislature approve the suspension.

🕓 Limits on Suspension:

Suspension is allowed only for one fiscal year at a time.

The suspended amount becomes a debt that must be repaid to transportation funds.

Impact of Article XIX B:

Meant to lock in transportation funding, protecting it from being diverted during budget crises.

A reaction to years of fuel tax revenues being used to balance the state’s general budget.

 

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