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Publication Date: Thursday, March 29, 2007

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Supervisors support proposed road tax hike

By Tracey Lamm/MVM News Network
Published: Thursday, March 29, 2007 3:48 PM CDT
An increase in the road use tax fund will generate an additional $200 million to be spent on state, county and city roads and streets in Iowa.

The Lee County Board of Supervisors went on record Tuesday in support of the road use tax increase that is being proposed to the Iowa Legislature.

Lee County Engineer Dennis Osipowicz asked the board for its support of the tax increase, which will be a combination of a gas tax hike, increased license fees and increased pickup truck license fees.

The fuel tax has not been increased since 1989. However, during that same time period, road construction costs have more than doubled.

It was reported last year by Osipowicz that some road construction projects would not be completed this year because of a $4 billion shortfall in Iowa Department of Transportation funding.

Road use tax funds are split between state, county and city road projects on a 47 1/2, 32 1/2 and 32 1/2 split. Osipowicz said if the tax increases passes, a new funding formula may also be approved for the new money only, with 60 percent going to state projects and 20 percent each to county and city projects.


The Iowa Good Roads Association, the Iowa County Supervisor's Association, the Iowa County Engineer's Association, and a consortium of additional public and private individuals and organizations has promoted the TIME-21 (Transportation Investment Moves the Economy in the 21st Century) to underscore that steady deterioration of the construction dollar.


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