Chapter 29 of the General Laws is hereby amended by inserting after section 2JJJJJJ the following section:-

Section 2KKKKKK. (a) For purposes of this section, “qualifying municipality” shall mean a city or town with a population of less than 50,000 residents.

(b) There shall be established and set up on the books of the commonwealth a separate fund to be known as the Suburban Infrastructure Fund. The fund shall be credited with revenue from appropriations, bonding or other monies authorized by the general court and specifically designated to be credited to the fund and investment income earned on the fund’s assets, and all other sources. Money remaining in the fund at the end of the fiscal year shall not revert to the General Fund.

(c) The fund shall be administered by the executive office for administration and finance and shall be exclusively for qualifying municipalities. Amounts credited to this fund shall be applied for by qualifying municipalities through a grant process established by the executive office for the improvements of town-owned roads, bridges and sidewalks in qualifying municipalities.

(d) One hundred per cent of the monies deposited in the fund, but not less than $250,000,000 in aggregate, in each fiscal year, shall be distributed to qualifying municipalities that apply for funds to cover or reduce the cost of specific town-owned road, bridge or sidewalk projects within the qualifying municipality.