Tri-City Sun

State Representative Bill G. Schuette expressed his endorsement for a new road funding plan introduced by House Speaker-elect Matt Hall, emphasizing infrastructure and fiscal responsibility. The plan proposes nearly $3 billion in additional annual funding for infrastructure, including neglected local roads, by reallocating existing tax dollars and expiring corporate incentives.

Schuette highlighted the need for prioritizing infrastructure amidst growing general fund spending. “Budgets are about priorities. Our priorities should be funding infrastructure, public safety and education,” Schuette stated. He added that the Republican caucus aims to secure road funding without increasing taxes.

The proposal involves dedicating $1.2 billion annually from corporate income tax revenue to local road agencies, addressing the neglect of county and city roads compared to state highway repairs funded by bonds. From FY 2025-2026, an additional $600 million will be allocated for infrastructure by redirecting funds from three current earmarks: the Strategic Outreach and Attraction Reserve Fund ($500 million), the Revitalization and Placemaking Fund ($50 million), and the Housing and Community Development Fund ($50 million).

Additionally, the plan suggests replacing the 6% sales tax on motor fuel with a revenue-neutral increase in motor fuel tax dedicated to infrastructure funding, generating approximately $945 million more in resources while protecting school funding from reduced sales tax revenue.