HB 2566 Arizona House · 57th Legislature - First Regular Session

transportation excise tax; election authority

HB 2566 creates a new transportation excise tax in Arizona counties with over 3 million residents, effective after 2025. The tax applies to business transactions, retail electricity/gas use, and utilities at rates tied to existing tax brackets, generating revenue for transportation projects. Funds must be distributed as follows: 40.5% to state highway maintenance, 22.5% to arterial roads, and 37% to public transit (including light rail rehabilitation, capped at 3.5%). The tax expires after 20 years unless voters approve an extension, and it prohibits using funds for rail extensions or reducing highway lanes without specific safety and public input requirements.
Bill status introduced 1 of 4 stages cleared
Introduction
Jan 2025
Committee Review
Floor Vote
Governor
Introduced Jan 27, 2025 Last action Jan 28, 2025
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1 primary · 4 co-sponsors

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