ST. PAUL – The Minnesota House of Representatives on Tuesday approved the Road and Bridge Act of 2015, the major part of a plan which invests $7 billion over the next decade without raising any new or additional taxes.
The bill (H.F. 4) 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 10 years:
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Road and Bridge Account – revenue from existing sales tax on auto parts
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Metro Capital Improvements Account – revenue from existing sales tax on rental vehicles
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Small Cities Account – revenue from existing rental vehicle tax
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Greater Minnesota Bus Services Account – revenue from 50 percent of existing Motor Vehicle Lease sales tax
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Suburban County Highway Account – revenue from 50 percent of existing Motor Vehicle Lease sales tax
"In contrast to what the governor is proposing, the House package provides $7 billion over 10 years for badly needed transportation projects without raising taxes," said Rep. Paul Anderson, R-Starbuck. "Dedicating sales taxes already being collected on purchases of things such as auto parts and tires is a logical common-sense way to put additional money toward roads and bridges."
Cities of 5,000 or fewer residents would receive $282 million over the next 10 years for transportation-related projects through the House plan. Towns in Anderson's District 12B alone would receive more than $700,000 annually. Here is a rundown of approximated distribution:
Pope County: Glenwood, $78,815; Long Beach, $21,231; Lowry, $20,051; Sedan, $14,341; Villard, $20,660; Westport, $16,163. Note: Starbuck is not in District 12B, but would receive $47,262. Douglas County: Forada, $17,653; Garfield, $18,615. Stearns County: Albany, $67,733; Belgrade, $31,085; Brooten, $31,490; Elrosa, $18,083; Freeport, $28,667; Greenwald, $19,583; Lake Henry, $15,469; Meire Grove, $16,697; Melrose, $85,705; New Munich, $20,626; Sauk Centre, $110,083; Spring Hill, $13,545; St. Anthony, $15,476; St. Martin, $18,961; St. Rosa, $14,566.
In addition to the dedicated funds provided by the Transportation Stability Fund, the Republican proposal 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.
Over the next 10 years, the House plan would repair or replace an estimated 15,500 lane miles for all roads and 330 bridges statewide.
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