/Speaker Gunn hopes new roads plan prompts special session

Speaker Gunn hopes new roads plan prompts special session

Gunn said Thursday morning to reporters that his proposal, which will be submitted to Gov. Phil Bryant, Lt. Governor. Tate Reeves is being considered. This bill was approved by the House in the early 2018 session. This plan would have used some of the tax revenues that the state currently collects to repair and maintain roads and bridges, at the local level. Although that plan was not approved, lawmakers approved $50,000,000 in bonds last session to fix local bridges. “This is where we started. Gunn stated at the Capitol that they have not stopped working on the issue since the end of the session. Two days after Gov. Phil Bryant issued an executive order to close more than 100 bridges in the state that were not meeting federal and state safety standards. Reeves expressed renewed opposition to the increase in the gas tax hours after Gunn announced it. Bryant indicated that he doesn’t see the point of a special session regarding road funding until the House leaders and Senate leaders agree on a plan. Gunn didn’t provide any copies of his bill but stated that it included water and sewer projects within the definition of infrastructure. The proposal would allocate approximately $110 million. $47 million would be given to the county governments, and $47 millions to the city governments. A state-managed fund that assists local governments in bridge rehabilitation and replacement would receive $16 million. Gunn also proposes a tax swap. This involves the elimination of the 4 percent income tax bracket for four years. It generates approximately $160 million in revenue and the increase of the fuel tax by 2 cents every year for four years. The current gas tax, which is 18.4 cents per gallon, would rise 8 cents after the phase-in period. It will then be adjusted to inflation. Bryant spoke to reporters after delivering remarks at the Mississippi Economic Council’s annual meeting. Bryant reiterated that he wouldn’t call a special session unless the Senate and House have reached a compromise, but that he was open to discussing the tax swap idea. It’s something that we will definitely discuss. I want to ensure that all working people in this state get a real tax cut. It must be possible for both the Senate and the House to agree on a solution that will move the matter forward. Bryant stated Thursday morning that if there is a tax swap, he would be willing to talk with them about it. Gunn’s proposal coincides to the release of a new NBC News/SurveyMonkey survey, which was conducted in collaboration and Mississippi Today between March 12th and April 25 among 1,486 Mississippians. Sixty-one percent of Mississippians polled said that the state government did a poor job maintaining roads and bridges. Respondents polled by Republicans said that fifty percent thought the state did a poor job and 49 percent said it was doing an excellent job. Only 25% of Democrats said that the state was doing a good job. The outlook of other states is more positive. Only 26% of South respondents said their state government was doing a good job maintaining bridges and roads. This is a difference of 20 percentage points. Reeves has been hostile to infrastructure proposals that depend on funds generated from a use tax, which taxpayers pay when they make online purchases. In a case to reverse a 1992 ruling that states cannot collect sales tax on businesses without a physical presence within their state, the U.S. Supreme Court heard arguments. Reeves replied, “I’m a Republican.” I consider myself a conservative. I am against raising gas taxes. We look forward to working together with the House of Representatives and Governor to pass a comprehensive $1Billion plan to address Mississippi’s infrastructure issues. Bryant to address road maintenance.” The Mississippi Economic Council published in 2016 a study that recommended that the Legislature allocate an additional $375million for Mississippi Department of Transportation. $300 million would go towards infrastructure improvements. MEC offered several options for funding additional highway funds. These included a gas tax hike, an extra $10 on annual license tag fees, and a general sales taxes increase. Gunn’s chief staff Nathan Wells stated that the proposal projects 1 percent economic growth. He said this should mean there is no need to cut elsewhere in the budget in order to compensate for the income tax loss. Gunn stated that he is optimistic that Reeves would be open to his new plan. “I can’t think of any good policy reason why this plan wouldn’t work. It is based on sound economic principles. It’s not a tax hike. It solves the problem by providing a steady stream of revenue that is based upon existing dollars. It’s a good policy if you look at it from all angles,” he stated. Contributing: Kendra Ablaza Get the latest information on Mississippi bridge closings.