42-6111. County capital projects tax

A. The board of supervisors of a county with a population of less than two million persons, on a unanimous vote, may submit a proposed county capital projects tax for approval at a countywide special election or at a general election. If a majority of the qualified electors voting on the proposition approves the tax, the board of supervisors may levy and the department shall collect a tax, in addition to all other taxes, at a rate that, by itself or together with any tax imposed pursuant to section 42-6106 or 42-6107, does not exceed ten per cent of the transaction privilege tax rate prescribed by section 42-5010, subsection A applying, as of the date of its initial levy, to each person engaging or continuing in the county in a business taxed under chapter 5, article 1 of this title.

B. If a tax is levied under subsection A of this section, a tax shall also be levied on the use or consumption of electricity or natural gas by retail electric or natural gas customers in the county who are subject to use tax under section 42-5155 at a rate equal to the transaction privilege tax rate under subsection A of this section applying to persons engaging or continuing in the county in the utilities transaction privilege tax classification.

C. The tax shall be levied under this section beginning on January 1 or July 1, whichever date first occurs at least forty-five days after the election. The tax may be in effect for a period of not more than twenty years.

D. The state treasurer shall deposit the net revenues collected pursuant to this section in a fund designated as that county's transportation and capital projects fund. The state treasurer shall hold the monies in the fund as trustee for the county. The county has the beneficial interest in the fund. The state treasurer shall invest the monies in the county transportation and capital projects fund and shall credit to the fund all interest and other income earned from investments.

E. Each month the state treasurer shall distribute the monies in the transportation and capital projects fund to the county in a manner prescribed by the board of supervisors. The county may only use the revenues for capital projects and to purchase, construct and lease buildings, structures, facilities, roads, highways and other real and personal property, including open space and development rights, for the use or benefit of the county.

F. The ballot in the election described in subsection A of this section shall list each project to be financed with the tax collected and the estimated costs of each project. The tax terminates if and when the total amount of estimated costs for all of the projects has been raised.