Bill Sponsors
Zurier, McKenney, Gu, Acosta, Bissaillon, Lauria, DiMario, Kallman, Vargas, and Quezada
Committee
Senate Finance
Summary
Select
This legislation amends the "Transportation Investment and Debt Reduction Act of 2011" regarding how funds in the Rhode Island highway maintenance account are distributed. Currently, the Rhode Island Public Transit Authority (RIPTA) receives 5% of the available proceeds from this account for its operating costs. This bill increases that allocation in steps: it raises the amount to 10% for the fiscal year beginning July 1, 2025, and further increases it to 20% annually starting July 1, 2026. This results in a significant shift of funding from general highway maintenance to public transit operations.
Sponsor
Analysis
Pros for Progressives
- Significantly increases funding for public transportation, ensuring reliable mobility for low-income residents, the elderly, and those who cannot afford private vehicles.
- Promotes environmental justice and sustainability by supporting a robust mass transit system, which helps reduce carbon emissions and reliance on fossil fuels.
- Strengthens the social safety net by securing operating funds for RIPTA, helping to prevent service cuts, route eliminations, or fare hikes that would hurt the working class.
Cons for Progressives
- Reduces available funding for road and bridge maintenance, which could negatively impact infrastructure safety in neglected urban areas.
- Relies on revenue derived from vehicle fees (the highway maintenance account) rather than establishing a new, more progressive sustainable revenue source for transit.
- Delays the full funding increase until 2026, meaning immediate transit budget shortfalls or service gaps may not be fully addressed right away.
Pros for Conservatives
- Utilizes existing state revenue streams to fund public transit operations rather than creating new taxes or raising income taxes on residents.
- Provides a structured, predictable timeline for funding changes, allowing the state budget to adjust gradually rather than facing an immediate fiscal shock.
- Ensures that the costs of transportation infrastructure and services remain tied to transportation-related fees rather than the general fund.
Cons for Conservatives
- Diversts a significant portion (20%) of funds away from road and bridge repairs, potentially degrading infrastructure quality for private vehicle owners and businesses.
- Increases government spending on a subsidized public entity (RIPTA) without mandating operational efficiencies or increased farebox recovery.
- Prioritizes mass transit users over the drivers and vehicle owners who primarily fund the highway maintenance account through their fees.
Constitutional Concerns
None Likely
Impact Overview
Groups Affected
- RIPTA Riders
- Vehicle Owners
- Department of Transportation
- Rhode Island Public Transit Authority
- Commuters
Towns Affected
All
Cost to Taxpayers
None
Revenue Generated
None
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Bill Status
Current Status
Held
Comm Passed
Floor Passed
Law
History
• 01/16/2026 Introduced, referred to Senate Finance
Bill Text
SECTION 1. Section 39-18.1-5 of the General Laws in Chapter 39-18.1 entitled "Transportation Investment and Debt Reduction Act of 2011" is hereby amended to read as follows:
39-18.1-5. Allocation of funds.
(a) The monies in the highway maintenance fund to be directed to the department of transportation pursuant to § 39-18.1-4(b)(1) — (b)(3) shall be allocated through the transportation improvement program process to provide the state match for federal transportation funds, in place of borrowing, as approved by the state planning council. The expenditure of moneys in the highway maintenance fund shall only be authorized for projects that appear in the state’s transportation improvement program.
(b) Provided, however, that beginning with fiscal year 2015 and annually thereafter, the department of transportation will allocate necessary funding to programs that are designed to eliminate structural deficiencies of the state’s bridge, road, and maintenance systems and infrastructure.
(c) Provided, that beginning July 1, 2015, through June 30, 2025, five percent (5%) of available proceeds in the Rhode Island highway maintenance account shall be allocated annually to the Rhode Island public transit authority for operating expenditures.
(d) Provided, that beginning July 1, 2025, through June 30, 2026, ten percent (10%) of available proceeds in the Rhode Island highway maintenance account shall be allocated annually to the Rhode Island public transit authority for operating expenditures.
(e) Provided, that beginning July 1, 2026, twenty percent (20%) of available proceeds in the Rhode Island highway maintenance account shall be allocated annually to the Rhode Island public transit authority for operating expenditures.
(f) Provided, further, that from July 1, 2017, and annually thereafter, in addition to the amount above, the Rhode Island public transit authority shall receive an amount of not less than five million dollars ($5,000,000) each fiscal year, except for the period July 1, 2019, through June 30, 2022, during which such amount or a portion thereof may come from federal coronavirus relief funds.
SECTION 2. This act shall take effect upon passage.
39-18.1-5. Allocation of funds.
(a) The monies in the highway maintenance fund to be directed to the department of transportation pursuant to § 39-18.1-4(b)(1) — (b)(3) shall be allocated through the transportation improvement program process to provide the state match for federal transportation funds, in place of borrowing, as approved by the state planning council. The expenditure of moneys in the highway maintenance fund shall only be authorized for projects that appear in the state’s transportation improvement program.
(b) Provided, however, that beginning with fiscal year 2015 and annually thereafter, the department of transportation will allocate necessary funding to programs that are designed to eliminate structural deficiencies of the state’s bridge, road, and maintenance systems and infrastructure.
(c) Provided, that beginning July 1, 2015, through June 30, 2025, five percent (5%) of available proceeds in the Rhode Island highway maintenance account shall be allocated annually to the Rhode Island public transit authority for operating expenditures.
(d) Provided, that beginning July 1, 2025, through June 30, 2026, ten percent (10%) of available proceeds in the Rhode Island highway maintenance account shall be allocated annually to the Rhode Island public transit authority for operating expenditures.
(e) Provided, that beginning July 1, 2026, twenty percent (20%) of available proceeds in the Rhode Island highway maintenance account shall be allocated annually to the Rhode Island public transit authority for operating expenditures.
(f) Provided, further, that from July 1, 2017, and annually thereafter, in addition to the amount above, the Rhode Island public transit authority shall receive an amount of not less than five million dollars ($5,000,000) each fiscal year, except for the period July 1, 2019, through June 30, 2022, during which such amount or a portion thereof may come from federal coronavirus relief funds.
SECTION 2. This act shall take effect upon passage.