Senator Kehoe has introduced Senate Joint Resolution (SJR) 48 a proposed one-cent general sales tax for transportation in Missouri. This is a companion bill to HRJ 68 which was introduced last week in the House by Representatives Schatz and Hinson. this bill is also very similar to the bill that Senator Kehoe and Senator McKenna introduced last year during session:
Some information about SJR 48:
- It is a one-cent 10 year temporary sales and use tax measure which must be submitted to voters every 10 years for renewal.
- The tax is estimated to produce approximately $8 billion over the ten year timeframe.
- The proceeds of the tax will be distributed between three different funds established by the act. Five percent shall be deposited into the County Aid Transportation Fund, five percent shall be deposited into the Municipal Aid Transportation Fund, and ninety percent shall be deposited into the Transportation Safety and Job Creation Fund.
- Funds deposited in the County Aid Transportation Fund shall be distributed to the various Missouri counties to be used for local highways and bridges, state highway system purposes, or for county transportation system purposes.
- Funds deposited in the Municipal Aid Transportation Fund shall be distributed to the various Missouri cities, towns and villages to be used for local roads and streets, state highway system purposes and uses, or for city transportation system purposes.
- Funds deposited in the Transportation Safety and Job Creation Fund to be used for state highway system purposes or for state transportation system purposes and uses. Any moneys deposited in these three funds or interest earned on those deposits are prohibited from being counted as general revenue or being transferred to any other funds.
- While in force the General Assembly, counties, and municipalities are prohibited from changing the motor fuel tax rate from the rate authorized by law on January 1, 2013, and the Highways and Transportation Commission, counties, and municipalities shall not authorize, own, or operate a toll highway or toll bridge on a highway or bridge that is in existence January 1, 2013, while the sales and use tax is in effect unless otherwise approved by the voters.
- The act also requires that the highways and transportation commission prepare and approve a list of projects, programs, and facilities to be funded with proceeds from the Transportation Safety and Job Creation Fund prior to the effective date of this act and submit a status report as to the list items annually thereafter to the Governor, General Assembly, and Joint Committee on Transportation Oversight. In the St. Louis region, this list would be created by East-West Gateway and submitted to MoDOT for approval.
- Transportation system purposes can include public transit, Amtrak, ports, airports, and pedestrian/bikeways.
- The one-cent general sales tax is more flexible than the current gas tax which is limited to road and bridge projects.
- Food, medicine and gas are exempt from this one-cent tax. Anything that is exempt under state law is also exempt from this sales tax.