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By Bob Dettmer
State Representative
District 52A
What is best for our transportation system in Minnesota? Amongst the budget battles and policy debates about the entire state budget, it seems that transportation funding has been the hottest topic this session.
The original House Transportation bill included $900 million dollars in new taxes and fees. It included a 10 cent gas tax increase, a half percent metro area sales tax increase, tab fee increases, wheelage taxes, and a host of other fee increases. Clearly the thought behind the tax/fee heavy proposal is that more money is needed for our roads and that the money should come from your pockets.
Governor Pawlenty has made no secret of the fact that he will not support a gas tax increase and that he will veto any bill that does so. The large DFL majority ignored the Governors words and passed a bill with 50% increase in the gas tax and $900 million dollars in new taxes in fees. This bill was then reconciled by a conference committee with the Senate version and returned to the House this past week.
What returned was bill that simply flew in face of what the Governor has repeatedly said. The so-called compromise offer was a 7.5 cent gas tax increase along with the wheelage tax, tab fee increases, and a sales tax increase (with no referendum). To summarize, Governor Pawlenty has repeatedly indicated that he will not sign a gas tax increase. Knowing this, the DFL’s original transportation plan included a 10 cent increase. Their compromise offer (which is supposed to create a bill which can be signed into law) with the DFL-controlled Senate included a 7.5 cent gas tax increase. This does not seem like much a compromise offer to me, and sure enough the Governor will veto this plan.
Finger-pointing aside, there are very different opinions on how to fund our transportation system. This session I have consistently voted against the DFL transportation bill, and I plan to support the Governor in upholding his veto. This plan is simply too tax and fee heavy, and these fees are aimed squarely at your wallets. With gas well over $3 dollars a gallon (with peak-use summer months ahead) my family feels the pinch every time we fill up as I am sure yours does. But this is not the only reason I do no support this bill. Raising the sales tax in the metro hurts everyone at nearly every purchase. The sales tax is the most regressive tax levied by government, and any increase disproportionately hurts those with lower incomes. Time and time again I hear that we are taxed too much in Minnesota, and this transportation plan simply adds to this burden.
The question then remains, how do you pay for our roads? Again a complex answer to which I will only offer a suggestions. A proposal that I support is the Governor’s plan to bond for over $1.7 billion dollars allocated to specific road projects. Some feel that bonding is simply passing the bill on too our children, yet the legislature continually passes bonding bills to fund projects like zoos, trails, hockey rinks, and similar other projects. It makes much more sense to me to bond for roads and bridges then for theatres and bike paths. I also feel that we need to seriously address the issue of waste with regards to our transportation system. Building roads is expensive, but we hear very little about reforms and efforts to make the process more cost efficient. Waste is something that we need look more closely at. For example, the current transportation bill contains $37 million in funding that does not go to roads. $20 million is allocated for a new MNDOT headquarters in Mankato, $4 million is allocated to restoration of “roadside historic sites,” and $13 million is to be spent in fixing the exterior of MNDOT’s St Paul headquarters.
It is simply about priorities. There is little debate that our roads need improving. Some folks feel the gas taxes, sales taxes, and fees should be the source of additional funding. I stand with Governor and my GOP colleagues who feel there are other options. We can and should improve our transportation system, but it is going to take compromise. The plan offered by the DFL offers little compromise, and as such I do not support it. Every time I hit a pothole or find myself stuck in traffic I share your frustration. But it is important to note that this proposal does little to address specific problems around our state, and price tag falls to heavily on the shoulders of the hardworking people of Minnesota. We have other options, and we need to consider these options in the waning days of session this year and into the future.