Transportation Funding Proposals 01 Dec 12

A transportation group created by Governor Dayton is calling for higher gas taxes and other fees and taxes to raise at least $50-billion more than current funding levels for roads and transit over the next two decades. The advisory group’s recommendations include two ways to raise $15.2-billion through the gas tax – an up-front hike of 10 cents followed by small annual increases or a series of 3.5-cent increases over five years with small incremental increases afterward. Another $4-billion for transit would come from increasing the sales tax in five Twin Cities counties by a half percentage point, or a nickel on a $10 purchase. Raising vehicle license tab fees would bring in another $1.1-billion.