County mulls sales tax to pay for roads

Published 9:46 am Friday, November 28, 2014

Freeborn County commissioners are mulling a half-cent sales tax to support funding road projects in the county.

John Kluever

John Kluever

The state Legislature in 2013 gave county governments the authority to pass a designated sales tax to deal with infrastructure concerns, said Freeborn County Administrator John Kluever.

He estimated the tax would generate about $1.8 million a year.

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The tax would not have to come before the voters other than in a public hearing and could be implemented through board vote.

Kluever said in the next five years, Freeborn County has an estimated $29 million in projected road costs. Beyond 2020, there’s an additional $34 million.

“Right now to try to keep up we have a funding gap if we need to deal with these road issues in a way that I think people want and expect going forward, “ Kluever said.

He said he and other staff will research the issue further for a county board workshop in January.

The county in 2014 began collecting a tax from residents with motor vehicles, called a wheelage tax, that is also going toward road repairs.

That tax is $10 per car or truck that is ordinarily stored or parked in Freeborn County during non-business hours or when not in use. It is paid at the time of tab renewals and does not apply to motorcycles, mopeds, trailers, boat trailers, collector cars or all-terrain vehicles.

The wheelage tax brings in an estimated $290,000 a year.

It is unclear whether the county would have both taxes. Kluever said the wheelage tax could be rescinded.