Time is drawing short this legislative session for the Missouri General Assembly to approve a desperately needed increase in highway and bridge funding.
A 2-cent increase in the state fuel tax is a small step in the right direction to help address our state’s serious road and bridge needs. The legislature and the governor should act now.
Beginning in 2017, the Missouri Department of Transportation will be $160 million short of funding to maintain Missouri’s entire 34,000-mile highway system in the condition it is in today; furthermore, the lack of sufficient funds also threatens the state’s ability to match $167 million of federal funds in 2017 and $400 million each year thereafter. If Missouri fails to match federal funds, other states will receive the funding generated by Missouri taxpayers.
To their credit, MoDOT worked through a serious downsizing of staff, equipment and buildings to reduce costs. It was not without controversy, but the payoff has been to make millions more available for actual construction and maintenance projects.
Missouri’s highway and bridge improvement needs are real, and efficiencies in MoDOT have been and continue to be implemented. There should be no debate as to whether the need for increased funding is legitimate. Action must be taken.
If the state legislature were to increase the state fuel tax on gasoline and diesel by 2 cents, the increased funding to MoDOT would be $55 million and the increase to cities and counties would be $23 million. The $78 million total would be below the annual tax limitation cap of $95 million. The additional 2 cents has to be used for roads and bridges.
In the 1990s, the Missouri Farm Bureau supported the annual tax limitation cap; voters approved it overwhelmingly in 1996. The constitutional cap requires major tax increases be approved by the voters, and at the same time recognizes the legislature and governor should have the authority to approve small tax and fee increases when justifiable.
The current Missouri fuel tax is 17 cents per gallon and at 19 cents would still be the lowest of all surrounding states except Oklahoma, which also has a 17-cent tax but has several toll roads to supplement its revenue. Iowa’s legislature and governor recently increased its fuel tax by 10 cents - from 20 to 30 cents for gasoline and 22 to 32 cents for diesel. Iowa has one-third the highway miles of Missouri - 8,900 compared to 34,000.
Missouri Farm Bureau’s member-adopted policies are conservative and skeptical of tax increases, but our policy also recognizes our state’s roads and bridges need increased funding. A 2-cent fuel tax increase will not solve all funding shortfalls, but increased funding for roads and bridges is desperately needed.
Please urge your legislators to support a better transportation system for all Missourians.
Blake Hurst is president of the Missouri Farm Bureau. He can be reached at mfbpublicaffairs@mofb.com.
