TRANSPORTATION TRUST FUND

HB 475 creates a dedicated Transportation Trust Fund in New Mexico to finance transportation infrastructure. It establishes new revenue streams, including 1% to 2% of electricity sales tax revenue (increasing over time), and adjusts motor vehicle excise tax distributions to send 30% of proceeds to the Trust Fund after 2027. The fund will provide state matching funds for federal transportation grants and may cover general fund shortfalls if other reserves are exhausted. This directly affects state budget allocations, transportation project funding, and taxpayers through electricity and vehicle-related taxes.