KEY CHALLENGES:

• Increase road funding to support fast-growing metros throughout the state, while maintaining investment in rural communities.
• Move toward non-fuel tax revenue sources for road construction and maintenance.
• Solve road maintenance problems to allow state and local governments to invest in transformational transportation and infrastructure projects—first take care of what we have, then finish what we started, then build for the future.

DISTRIBUTION STRATEGY:

Increase road funding support for fast-growing metros and maintain investment in rural communities by:

• Under the Motor Vehicle Highway-Local Road Streets account, move towards a user fee system to distribute mileage-based dollars to local communities.
• Direct new dollars invested in the funding formula to the Highway Road & Street Fund.
• Raise the Community Crossings grant cap to allow larger communities to leverage more state dollars, remove requirement for 50% of allocation to rural.
• Retire debt obligations, while maintaining current revenue streams, to release additional annual funding—direct to Highway Road & Street Fund.

NEW REVENUE CONCEPTS:

Move state toward non-fuel tax revenues for road construction and maintenance by:

• Consider moderate increases to non-fuel revenue sources:

  • Hybrid/Electric Vehicle registration fee.
  • State-wide vehicle excise tax.

• Explore strategic implementation tolling in high-travel areas around the state.

  • Consider Borman Expressway, I-70, I-74, and I-65.
  • Consider tolling of High Occupancy Vehicles and/or express lanes.

• Pilot milage-based user fee.

  • Ohio, Missouri, Texas, and others have pilots.