May 25, 2007  

LEGISLATIVE UPDATE

Hello friends,

 

Earlier this session I talked about the status of the House Transportation bill.  In March, the legislation made its way out of committee and onto the House floor for a vote.  Much has happened regarding the transportation proposal since that point, although the end result for this area of government is a net gain of zero.

 

Here's a quick refresher on the Omnibus Transportation Finance bill, which many simply call the "gas tax" bill.  The legislation was approved weeks ago by the Legislature than vetoed by Governor Pawlenty.

His reasoning: The legislation raised several taxes and fees that would have cost Minnesotans $900 million per year had they been implemented.

And to the average family with two vehicles, that could cost an additional $510 every year.

 

Specifically, the bill would have increased the gas tax by seven and a half cents by full implementation in 2011, and would have raised vehicle registration fees, wheelage taxes, and car rental fees.  It would have authorized any county outside the metro area to - following a referendum

- impose a ½ cent sales tax and $20 vehicle excise tax for specific transportation projects.  For counties in the Metro Area, a ½ cent sales tax increase was included with no referendum required.  The bill also eliminated Hennepin County's contribution for the operation of the Hiawatha light rail line, which would cost Minnesotans millions of dollars.

 

The House Minority went a different direction, and offered a proposal that protected taxpayers numerous times on the House floor without success.  The proposal offered $250 million to counties and cities for roads and $1.7 billion in bonding funds for capital road projects throughout the state - or more than $2 billion for transportation needs.

 At one point, I even attempted to amend the five-cent gas tax onto another bill.  Each of these proposals failed.

 

In the final hours of session, the Legislature approved a "lights on" bill.  MnDOT and other transportation agencies will maintain funding at its current level.

 

I am truly saddened by our transportation outcome.  All lawmakers want more funding for our state roads and bridges.  It is a non-partisan issue.  We have discovered over the years that the all-or-nothing approach does not work, and that we have to find compromise in the transportation area.  A good example of that is the Motor Vehicle Sales Tax provision that we presented to voters last fall, which dedicates proceeds from this tax to transportation needs.

 

Further, it needs to be a proposal that citizens support.  77 percent of those who responded to a KSTP-TV survey said they did not want a ten-cent gas tax increase, and 59 percent opposed a five-cent gas tax hike.

 

Hopefully throughout the interim and during next session, we can craft a proposal that can be supported by the majority, minority, and the governor.

 

How does this affect Highway 14?  Four-lane funding up to Owatonna has been secured.  It is likely that utilities will start working on the section between Waseca and Owatonna this summer and digging will begin on the Waseca bypass on July 1, 2008.  It is expected that the four-lane construction will be completed to Owatonna by 2011.

 

Please remember this Memorial weekend to honor our veterans and their fight and persistence to allow us freedom.  Please keep all the veterans and their families in your prayers.

 

Connie

 


 

   

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