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Legislative task force tackles taxes, traffic woes
This is an archived article that was published on sltrib.com in 2004, and information in the article may be outdated. It is provided only for personal research purposes and may not be reprinted.

Tax and transportation

If the Legislature raises tax rates in 2006, how much could that provide for transportation?

l Gas tax: raised 5 cents per gallon

= $69 million a year

= $2.4 billion by 2030

l Sales tax: raised 1/4 -cent statewide

= $84 million a year

= $3.1 billion by 2030

l Property tax: raised 0.001 mill

= $133.4 million a year

= $5.1 billion by 2030

Source: the Utah Foundation

- The talk at the Capitol on Wednesday was about transportation and tax - and lawmakers seemed open to the idea of raising rates to curb current traffic woes.

"We've got to come up with a funding plan," said Sen. Carlene Walker, R-Cottonwood Heights.

"Now it's down to the 11th hour where we've got to make some choices."

While careful not to endorse or encourage a specific tax increase, Walker and members of the Legislative Transportation Task Force asked that a list of possibilities be prioritized.

In other words, they wanted to know the best tax options to mitigate increasingly congested commutes.

Currently the state needs about $30 billion to fund transportation projects planned through 2030, according to a report by the Utah League of Cities and Towns and Utah Association of Counties.

Of that amount, only $6.5 billion is projected to be available for new construction - assuming no new money is allocated for transportation.

And that's a problem, according to John Njord, director of the Utah Department of Transportation.

"We're filling holes and mending fences," Njord told the task force. "That's what it's been reduced to because of a lack of funding."

The Utah Transit Authority has the same problem.

Under the current funding structure, money is available for commuter rail to Ogden and some light-rail extensions. Nothing is available for bus rapid transit or commuter rail to Provo.

"We would like to build all of the projects in the 30-year plan as quickly as we can," said UTA spokeswoman Erika Shubin. "We think that would have the best impact in mitigating the congestion that's facing us."

But some state and local lawmakers - while open to discussion - may ultimately be leery of a tax increase.

"We are very concerned that all we are discussing is transportation," said Sandy Mayor Tom Dolan during a meeting of transportation planners last week.

"I'll be damned if I'm going to put all the money into transportation and not fund additional police or firemen."

Still, it was encouraging to some transportation officials that lawmakers were willing to talk about tax.

Options that were presented Wednesday include: an increase of gas or sales tax, tracking and taxing vehicle miles traveled and allocating some property tax for transportation.

"It's important to find those that provide the most buck for the bang," said Stephen Kroes, executive director of the Utah Foundation.

The Utah Foundation and Brigham Young University professor Rex L. Facer provided a list of potential tax increases - and the amount of money they would raise - to the Legislature.

A full report of the study will be out next week.

nwarburton@sltrib.com

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