Tax compliance 1 Analysis of all exemptions and or tax credits converted State Highway System Low: Revenue Governance to revenue County State Aid Highway System potential depends and Municipal State Aid System upon how this option Enforcement Greater Minnesota Transit is implemented and Metropolitan Area Transit what share is directed Passenger Rail from general fund to Freight, Rail, Ports transportation Airports Other idea(s) Also include indexing of the gas tax rate to adjust it State Highway System Low to High: If the System annually with inflation. County State Aid Highway System Consumer Price Index Revenue Municipal State Aid System (CPI) were used this Currently the buying power of the gas tax erodes over option would generate time as it is collected on a per gallon basis and does not $100 million annually increase with inflation or the cost of fuel. Also, as in 2022; If the vehicles become more fuel-efficient the amount collected Construction Cost on a per gallon basis has been decreasing. Indexing the Index (CCI) were used gas tax to the consumer price index would allow the this option generates collections to at a minimum keep pace with inflation and $790 million annually help allow for continued preservation of the highway in 2022 system. Index Allow joint power authorities to issue revenue bonds No new revenue Governance / Borrowing 1 Low to Moderate: Project Level Tolling/P3’s Rev. potential varies depending upon the project 1 Transportation ballot measure Unknown Governance
Tax compliance 1 Analysis of all exemptions and or tax credits converted to revenue State Highway System County State Aid Highway System Municipal State Aid System Greater Minnesota Transit Metropolitan Area Transit Passenger Rail Freight, Rail, Ports Airports Low: Revenue potential depends upon how this option is implemented and what share is directed from general fund to transportation Governance and Enforcement Other idea(s) Also include indexing of the gas tax rate to adjust it annually with inflation. Currently the buying power of the gas tax erodes over time as it is collected on a per gallon basis and does not increase with inflation or the cost of fuel. Also, as vehicles become more fuel-efficient the amount collected on a per gallon basis has been decreasing. Indexing the gas tax to the consumer price index would allow the collections to at a minimum keep pace with inflation and help allow for continued preservation of the highway system. Index State Highway System County State Aid Highway System Municipal State Aid System Low to High: If the Consumer Price Index (CPI) were used this option would generate $100 million annually in 2022; If the Construction Cost Index (CCI) were used this option generates $790 million annually in 2022 System Revenue Allow joint power authorities to issue revenue bonds No new revenue Governance / Borrowing 1 Tolling/P3’s Low to Moderate: Rev. potential varies depending upon the project Project Level 1 Transportation ballot measure Unknown Governance