Legislation to provide $800 million in transportation funding over two years was passed by Indiana lawmakers on March 10 and now heads to Gov. Mike Pence’s (R) desk for final approval.

State Highways and Bridges: $228 Million

House Bill 1001 will add $228 million from the state’s budget reserves to state road projects.

The legislation also establishes a task force of lawmakers and transportation advocates to research and provide recommendations for increasing sustainable transportation funding.

HB 1001 was passed by the Senate 46-4 and the House 91-5.

Local Governments: $576 Million

Additionally, Senate Bill 67 will return $430 million in local income tax revenue back to the counties, cities and towns it was collected from, with the requirement that at least 75 percent is spent on roads. An additional $186 million from Indiana’s surplus fund, plus $68 million from revenue generated by the 7 percent sales tax on gasoline, will be used by the state to fulfill the state’s part of the match.

The plan also permits municipalities and counties to assess or increase vehicle excise and wheel taxes in order to match state funds for transportation projects.

SB 67 was unanimously passed by all 50 state senators and 97 representatives.

The approved compromise of several competing plans is short of Gov. Pence’s goal to create $1 billion in transportation revenue over the next four years. However, in a statement following the conclusion of the 2016 legislative session the governor did indicate his intention of signing the bills into law.