Fuel taxes: Off-Highway Vehicle Trust Fund.

Existing law imposes an excise tax on motor vehicle fuel (gasoline) and requires these taxes to be deposited in the Motor Vehicle Fuel Account. Existing law requires the moneys attributable to the excise tax on gasoline related to specified off-highway motor vehicles and off-highway vehicle activities to be transferred monthly from the Motor Vehicle Fuel Account to the Off-Highway Vehicle Trust Fund. With respect to the portion of those moneys attributable to an increase in the excise tax as a result of the elimination of the sales tax on gasoline effective July 1, 2010, existing law instead requires those moneys to be transferred to the General Fund. With respect to the portion of those moneys from a $0.12 per gallon increase in the excise tax commencing November 1, 2017, and future inflation adjustments from that increase, existing law instead requires those funds to be transferred to the State Parks and Recreation Fund, to be used for state parks, off-highway vehicle programs, or boating programs. Existing law also requires the Controller to withhold $833,000 from the monthly transfer to the Off Highway Vehicle Trust Fund, and transfer that amount to the General Fund. This bill would, on June 30, 2019, eliminate the requirement that the Controller withhold $833,000 from the monthly transfer to the Off-Highway Vehicle Trust Fund and transfer that amount to the General Fund. The bill would thereby transfer this amount monthly to the Off-Highway Vehicle Trust Fund.