March 22, 2007

HIGHLITES FROM THE SENATE

SENATOR MARK ZIEMAN

The deteriorating condition of roads in northeast Iowa is cause for great concern. Highways 26, 76, 24, 18, 52 and 63, along with many others, come to mind. The problem of maintaining our existing highways began when the Department of Transportation chose to direct a large portion of its budget to funding of select corridors. The shortfall this created for other highways is magnified by significant increases in costs of fuel and construction supplies, which are reflected in bids received from road contractors.

Road use taxes are collected per gallon of fuel sold, rather than as a typical sales tax. The result is that revenues have remained flat or decreased as fuel prices increase and consumption declines. Tough decisions will need to be made to counteract this trend. A study conducted by the DOT concluded that an additional $200 million will be needed to maintain our roads.

Several proposals have surfaced to remedy this funding shortfall. Each 1 cent per gallon increase in fuel tax would generate $22 million additional revenue annually. Suggestions to increase the per gallon tax by as much as 9 cents, increasing pick up license fees and raising the minimum license fee on older vehicles are being considered. I am hoping other options will be brought to the table.

The question facing us is whether we are willing to pay the increased cost of maintaining our highways or are we content to let them continue to fall into disrepair. I don’t think we can afford to ignore this problem and experience further deterioration. The question of safety is fast becoming paramount. Hopefully the solution we settle on will not be a painful avenue.

SENATOR MARK ZIEMAN
Senate District 8

For further information or clarification, please contact me at the Capitol (515) 281-3371 or at my home (563) 864-3104.