More money for the Monroe County Highway Department is expected next year, but how much of an increase has yet to be decided.
Both the Indiana House and the Indiana Senate have approved budget proposals that give additional funding to roads across the state, but the exact increase, if any, will be decided during conference committee meetings between the chambers before April 29, when the budget session ends.
“We are very excited,” said Bill Williams, director of public works and highways for Monroe County, of the possible funding increase. “It’s definitely long overdue.”
Right now, Indiana highway departments receive the same amount of money from the state as they did in 2002, though rates for equipment and supplies have risen over the past decade, Williams said. Monroe County receives about $2.4 million from the Motor Vehicle Highway Distribution fund, according to data provided by Williams.
Increased funding would not come from raising or adding taxes, but from redistributing money from taxes that are currently in place.
The House proposal adds to the funds through cutting some of the diversions, or payments to agencies other than highway departments, from the Motor Vehicle Highway distribution fund, and adds a percentage of sales tax to the MVH fund, which helps fund highway departments.
The Senate proposal would keep the diversions, but include a percentage of sales tax to the MVH fund if the county has a wheel tax in place. Monroe County has a wheel tax.
In February, the House passed a version of the budget that would add $250 million each year of the budget in gas and sales tax revenue for state and localtransportation funding. Monroe County’s cut of that funding would be about $970,000 in fiscal year 2014, and $995,000 in fiscal 2015.
The Senate’s version of the budget, which was passed April 10, would add $112 million for state roads, $101 million for local roads in counties with a wheel tax and $200 million for long-term highway projects. Because Monroe County has implemented 100 percent of the allowed wheel tax, it would get 100 percent of the extra funding available, receiving about $483,000 in FY14, and $845,000 in FY15.
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