The Legislature voted in a bipartisan way to increase funding to improve and maintain Iowa’s roads and bridges. The bill (SF 257) was signed into law by Governor Branstad.
Studies show 46 percent of our major roads are in poor to mediocre condition, and 26 percent of our bridges are structurally deficient or obsolete. This puts Iowa families in danger every time they drive and makes businesses hesitant to locate or expand here.
Iowa’s economic development director, Debbie Durham, recently told legislators that improving roads and bridges should be a top priority if Iowan wants to grow our economy and create more good jobs. In Site Selection magazine’s 2014 survey of corporate real estate executives, transportation infrastructure ranked as the most important location criteria. Business leaders say that the need for road improvements is one of the most serious economic development weaknesses in Iowa.
Iowa’s roads and bridges are paid for with a per-gallon tax on fuel and vehicle registration fees, but our Road Use Fund has not been able to keep up with the work that needs to be done. As cars get more fuel-efficient and construction costs increase, a per-gallon tax on fuel provides fewer dollars to pay for projects that get more expensive each year.
Iowa’s fuel tax, which was last adjusted in 1989, has been low compared to surrounding states. Raising the per-gallon tax on fuel by 10 cents will generate the dollars needed to cover our most critical roadwork, and will ensure all road users — including out-of-state drivers — pay their share. The increase to the average Iowan will be between 75 cents and $1.50 per week.
The legislation we approved also will:
- Cut costs at the Iowa Department of Transportation.
- Ensure the biggest, heaviest vehicles pay their share for road repairs.
- Encourage the use of homegrown fuels.
- Require a review of road funding every six years.
This fiscally responsible approach to meeting Iowa’s most critical maintenance needs will keep Iowa families safer and grow our economy long into the future.