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The Peppin Report (March 24, 2015)

Tuesday, March 24, 2015

Dear neighbor,

It’s been busy in St. Paul! Inside this edition of the Peppin Report:

  1. Republican Leaders Unveil Ten-Year Plan for Roads & Bridges

  2. House Republicans Announce Budget Targets

  3. 2015 Legislative Survey

1) Republican Leaders Unveil Ten-Year Plan for Roads & Bridges

On Monday, March 23, House and Senate Republican leaders unveiled a comprehensive, future-oriented proposal for transportation in Minnesota: the Road and Bridge Act of 2015. The Republican plan invests $7 billion more over the next decade without raising taxes. The ten-year approach prioritizes road and bridge infrastructure through:

  • Immediate repair of roads in Minnesota communities.

  • Highway improvements for commuters and commerce.

  • Reliable, long-term funding without raising taxes.

Most Minnesotans count on safe roads and short commutes every day, and our plan focuses on those daily needs. It fills potholes and repairs streets in their neighborhoods and will alleviate congestion on Minnesota roads. Now, Minnesotans have a choice between smart budgeting that dedicates existing transportation taxes to roads and bridges without a tax increase and a plan that raises the gas tax by at least 16 cents per gallon.

The Road and Bridge Act of 2015 creates a special fund called the Transportation Stability Fund that collects existing proceeds from dedicated tax revenues and deposits them into accounts for each of their dedicated purpose. There are five accounts that would dedicate a combined $3.078 billion over ten years:

  1. Road and Bridge Account – revenue from existing sales tax on auto parts
  2. Metro Capital Improvements Account – revenue from existing sales tax on rental vehicles
  3. Small Cities Account – revenue from existing rental vehicle tax
  4. Greater Minnesota Bus Services Account – revenue from 50% of existing Motor Vehicle Lease sales tax
  5. Suburban County Highway Account – revenue from 50% of existing Motor Vehicle Lease sales tax

In addition to the dedicated funds provided by the Transportation Stability Fund, the Road and Bridge Act of 2015 uses $1.3 billion in Trunk Highway bonds, $1.2 billion from realigning Minnesota Department of Transportation resources, $1.05 billion in General Obligation bonds, and $228 million in General Funds.

As I’ve received feedback from constituents, I’ve heard overwhelmingly that they are against the governor’s proposal to impose a new gas tax. I share your concerns about his plan and am proud of the proposal we’ve put forward to address transportation needs in our state.

WCCO covered our press conference and my statement announcing our proposal.

2) House Republican Announce Budget Targets

This week, House Republican leadership announced budget targets with a focus on bringing government spending closer in line with family budgets.

The targets prioritize $2 billion in tax relief for Minnesotans, invest in our schools, and dedicate $100 million more in budget reserves. Overall, our target is $39.949 billion.

Minnesota families prioritize within their budgets every day. It’s common-sense they would expect the same from state government. Our budget targets reflect streamlining in some areas of state government and investments in other parts.

The House Republican plan stands in contrast to Governor Dayton’s proposal that spends nearly $43 billion dollars. For some perspective, Governor Dayton signed a budget in 2011 that spent $35.2 billion dollars. His current proposal increases spending nearly 25% more than the 2011 budget. How is that growth sustainable for Minnesota taxpayers?

As we work to formally craft a budget and negotiate with the senate and governor, we will operate with the goal that growth in government spending should not grow faster than family budgets.

3) 2015 Legislative Survey

Thank you to everyone who has filled out my 2015 Legislative Survey online thus far. Please take a moment to fill it out if you have not already done so. I’m eager to get your input on issues before the legislature this session. You can take the survey by going to my House webpage and clicking the “2015 Legislative Survey” link on the right-hand side of the screen.

If you would prefer to fill out the survey by hand, please contact my office and a survey will be mailed to your home.

As always, please don’t hesitate to contact me as the legislative session moves forward. My direct line is 651-296-7806. My email address is rep.joyce.peppin@house.mn and my mailing address is Room 459 State Office Building, 100 Dr. Martin Luther King Boulevard, St. Paul, MN 55155

Have a wonderful week,

 

Joyce

 

**Encourage your neighbors and friends to sign up for my email updates at www.house.mn/34A