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Minnesota counties propose $1 billion Transportation Funding Package Minnesota county leaders announced in December that county officials from across the state are mobilizing in support of a $1 billion per year transportation funding proposal to address the unmet needs of the state’s transportation infrastructure and chart a new vision for meeting transportation and transits goals of the next decades. Rep. Mike Beard, a member of the House Transportation Finance Committee, and Sen. Steve Murphy, chair of the Senate Transportation Policy and Finance Committee, were also present to announce their support for this plan. “It is time for a bold new vision for investing in the economic health of Minnesota,” said Commissioner Dennis Fink, 2004 President of the Association of Minnesota Counties (AMC). “The investments and decisions the state makes in 2005 will play a critical role in our state’s ability to compete on the global stage in the future.” “Whether we are talking about moving people to jobs or product to market, it is time for Minnesota’s leaders to work together for a better Minnesota,” Fink continued. “As county officials, we are willing to make the tough decisions needed to assure that Minnesota’s cherished quality of life exists for our children and our children’s children.” The AMC proposal is a comprehensive plan to meet the increased demand for transportation and transit services across the entire state whether these needs are at the state or local level. “Minnesota’s counties are experiencing close to a $200 million funding shortfall for resources necessary to preserve current county highway systems,” said Greg Isakson, Goodhue County Public Works Director and President of the Minnesota County Engineers Association. “The funding necessary for expansion projects and road upgrades to meet increasing congestion and to expand the state’s ten-ton road network is impossible under current circumstances.” A primary component of the AMC plan is to provide a dedicated funding stream for local transit services by proposing legislation, which would grant local transit districts the authority to use local sales taxes to support transit and transportation projects. “The metro area is facing rapidly increasing congestion,” explained Hennepin County Commissioner Peter McLaughlin. “This deterioration in mobility threatens the long-term economic health of the state’s economy.” “Investors want and need a menu of high quality transportation alternatives, especially in light of the success of the Hiawatha Light Rail Line,” McLaughlin continued. “By granting the authority for local governments to use sales tax revenues, local officials can craft transit solutions that best meet the needs of their communities.” The state’s gas tax has not been increased since 1988. Since then, the only significant increase in transportation funding has focused on the state’s trunk highway system. The governor and the Legislature should be commended for using reserve dollars and advanced federal monies to kick-start the investment in Minnesota’s transportation infrastructure. Local units of government have not been privy to any increases in funding to deal with the deterioration of local transportation infrastructure. The economic impact of this lack of investment is coming home to roost as business groups from across the state are agreeing with county officials that a new vision regarding an investment in transportation is vitally needed. “AMC’s transportation goal is to mobilize local support for the AMC transportation funding proposal by asking county commissioners and county engineers from throughout the state to work with their legislators to ensure that Minnesota remains competitive economically while sustaining our quality of life,” said Jim Mulder, Executive Director. AMC is a voluntary statewide organization that assists the state’s 87 counties in providing effective county governance to the people of Minnesota. The association works closely with the legislative and administrative branches of government in seeing that legislation and policies favorable to counties are enacted. In addition, the Association provides educational programs, training, research and communications for county officials. |
The AMC transportation funding proposal focuses on a bold vision for investment in the state’s transportation infrastructure, and includes: 1. A five-cent gas tax increase in year one. 2. A five-cent gas tax increase in year two. 3. Indexing in year three. 4. A half-cent regional transit district sales tax (this would be allowed in any county, with the revenue dedicated to transportation and transit). 5. A combination of a local county option wheelage fee and registration fee increase. 6. Renewed commitment to the state bridge-bonding program. 7. Authority for local governments to use road impact fees. 8. New state General Obligation and Revenue bonding. 9. Greater efficiency in current operations through system realignments. 10. New federal monies.
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