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Missouri Voters Turn Back Tax Hike for Transportation

August 6, 2014

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Missouri voters on Tuesday rejected an increase in the state sales tax with the proceeds going to pay for road and bridge building and repair projects.

The plan called for a three-quarter of a cent hike over 10 years to raise more than $5 billion, while prohibiting increases in state’s diesel or gasoline taxes along with banning tolling along state highways. The current state sales tax rate is 4.225 cents.

The proposal, defeated by 59% to 41%, would have funded some 800 projects, according to the Kansas City Star newspaper.

It reports over the past five year’s the state’s road and bridge building budget as fallen from $1.3 billion annually to $700 million this year and is expected to be less than half this amount by 2017 due to more fuel efficient vehicles, less federal funding and the end of a state bond measure.

While the plan was opposed by those against any sort of tax hikes, it also did not have the backing of Democratic Gov. Jay Nixon as well as those who said it would be better to raise the state's fuel taxes.

Read more about it from the Kansas City Star or Roll Call.

Comments

  1. 1. GREG FOREMAN [ August 07, 2014 @ 06:49AM ]

    I have to agree with the voters of Missouri on this one. Missouri, like the majority of states, has not increased the excise tax on fuel since 1992. Twenty-two years later, the state fuel excise tax remains 0.17 cents a gallon. This places Missouri, as well as the majority of states, in the position of playing “catch up”. Since 1992, every element of logistics has increase by nearly five fold. The cost of maintenance, the cost of expanding and improving our transportation system are far more expensive today than in 1992. Yet, the basic, grass root funding mechanism, the fuel tax, remains at the 1992 level. Add to that factoid, the fact that vehicles, both four wheelers and trucks, average roughly 50% better fuel mileage today, 2014, than in 1992, the fact that the average driver drives less mileage today than 1992, the social and environmental impact of “generation me's” instinctive aversion to the internal combustion engine and what arises is a literal financial nightmare effecting the quality of logistics in the U.S. Knowing these factors I remain convinced and devoted to the proposition the primary mechanism, the primary source of funding roads should be derived via a fuel tax paid by those utilizing and benefiting from roadways and not a general, across the board sales tax levied on all purchases made by the general public.

  2. 2. John [ August 07, 2014 @ 09:19PM ]

    Missouri has, according to recent polls, the 7th best roads in the nation, with the 4th lowest fuel tax rates.
    What most people DON'T understand is, that while they see the yellow trucks and equipment with the big MODoT decals on the side of them, MODoT actually covers ALL modes of transportation in the state. MODoT monies cover not only the highways, but also railroads, waterways, and airports. It also goes to bike paths (Katy Trail and others), sidewalks, and we can't leave out the special interest groups with their own "special" projects.
    As a former truck driver and O/O, I understand the costs associated with raising the fuel tax. It eventually ends up coming out of the consumers pockets. But for a bunch of gutless legislators to think they could just hit the consumers, many of whom don't drive, or can't even afford a vehicle to drive, with the LARGEST TAX INCREASE in the HISTORY of the STATE, was just wrong! Those morons that claim to be representing the people of this Great State, have their heads so far up the you-know-what of special interest groups, they've forgotten who they're supposed to be representing.

 

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