07-18CITY OF OTSEGO
COUNTY OF WRIGHT
STATE OF MINNESOTA
2007-18
A RESOLUTION REQUESTING
COMPREHENSIVE ROAD AND TRANSIT FUNDING IN 2007
WHEREAS, all Minnesota communities benefit from a sound, efficient and adequately funded
transportation system that offers diverse modes of travel; and
WHEREAS, due to budget constraints, cities are increasingly deferring maintenance on the over 39,000
lane miles under municipal jurisdiction of the 277,607 total lane miles in Minnesota; and
WHEREAS, local cost participation requirements for trunk highway and county projects are onerous and
are contributing to strains on city budgets; and
WHEREAS, existing local funding mechanisms, such as Municipal State Aid (MSA), property taxes,
special assessments and bonding, have limited applications, leaving cities unable to adequately address
growing transportation needs; and
WHEREAS, the recently approved constitutional amendment that phases in dedication of 100 percent of
the motor vehicle sales tax (MUST) for transportation purposes will address only a fraction of the
transportation funding needs in Minnesota, and total MVST revenues are not meeting projections; and
WHEREAS, transportation analysts in consultation with the Minnesota Department of Transportation
(MnDOT) estimate Minnesota will have to invest an additional $1.5 billion per year in transportation
infrastructure for the next ten years in order to meet identified needs; and
WHEREAS, transportation infrastructure maintenance and improvement costs significantly contribute to
rising property taxes; and
WHEREAS, lack of state funding has delayed regionally significant road construction and reconstruction
projects across Minnesota; and
WHEREAS, Minnesota's transportation system is failing to meet the capacity needs necessary to sustain
population growth and promote economic development; and
WHEREAS, congestion, inefficient transportation systems and lack of transportation choices lead to
greater dependence on foreign oil, increased environmental degradation, and economic disadvantages for
Minnesota's businesses and residents; and
WHEREAS, many rural roads are not built to modern safety standards and are not meeting the needs of
industries that depend on the ability to transport heavy loads; and
WHEREAS, current funding for roads and transit systems across all government levels in Minnesota is
inadequate, and this under -investment hinders Minnesota's progress as a national business, economic and
civic leader.
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF OTSEGO that
this Council requests that in 2007 the Minnesota Legislature pass a comprehensive transportation funding
package that permanently increases dedicated funding for transportation; and
BE IT FURTHER RESOLVED BY THE COUNCIL OF THE CITY OF OTSEGO that this Council
requests that in 2007 Governor Tim Pawlenty allow a comprehensive transportation funding package that
permanently increases dedicated funding for transportation that is passed by the Legislature to become
law; and
BE IT FURTHER RESOLVED BY THE COUNCIL OF THE CITY OF OTSEGO that this Council
supports funding options including, but not limited to, the following:
• An increase in the gas tax;
• Increases in vehicle registration taxes (a.k.a. license tab fees);
• Trunk highway bonding, provided the Legislature implements reasonable restrictions on the
amount of debt service the state will incur and provided the Legislature appropriates funding to
assist with local costs related to projects funded with trunk highway bonds;
• General obligation bonding for local roads and bridges, particularly for roads of regional
significance and to assist with local cost participation requirements pertaining to trunk highway
projects;
• Sales tax exemptions for state and local transportation construction projects; and
• New local funding tools, such as local option sales tax authority, expanded wheelage tax authority
and/or street utility authority; and
BE IT FURTHER RESOLVED BY THE COUNCIL OF THE CITY OF OTSEGO that this Council
defines a comprehensive transportation funding package as an initiative that permanently increases
dedicated funding for state and local road and transit systems in Greater Minnesota and the Metropolitan
Area.
ADOPTED by the Otsego City Council on March 12, 2007.
CITY OF OTESGO
urtiler, Mayor
ATTEST: