1. (a) This section applies:

   1. (1) beginning after June 30, 2026; and
   2. (2) to all counties except a county containing a consolidated city as described in section 4(c) of this chapter and only if the county uses the PASER rating system.
2. (b) As used in this section, "PASER" refers to the pavement surface evaluation and rating system used as part of a transportation asset management plan submitted to the local technical assistance program at Purdue University.

3. (c) If in the preceding calendar year:

   1. (1) a county's highways have an average PASER rating of at least six (6); and
   2. (2) not more than fifteen percent (15%) of the county's highways are in failed condition, as represented by a PASER rating of one

   3. (1) or two (2);

      the county shall use at least forty percent (40%) of the money distributed from the motor vehicle highway account for the construction, reconstruction, and preservation of the county's highways.

As added by P.L.173-2025, SEC.8.