Should Freeborn County have a sales tax for roads?
Published 3:08 pm Saturday, July 18, 2015
The public will have the chance to weigh in Tuesday about a proposed half-cent sales tax for road repairs in Freeborn County.
A public hearing is slated for 8:45 a.m. in front of the Freeborn County Board of Commissioners in the Freeborn County courthouse.
The commissioners have discussed the issue at several workshops in the last six months.
Freeborn County Engineer Sue Miller said annually there is about a $6 million deficit in road projects that need to be completed. The tax is expected to raise about $2 million of that amount, leaving a roughly $4 million annual deficit in projects that need to be completed, according to information provided by the Minnesota Department of Revenue.
Miller said the tax could cover transportation capital projects listed under the county’s five- or 10-year plans and would likely be used toward roads because other dollars are available to help with bridges.
Freeborn County Administrator John Kluever said in a previous article that if the county tried to raise the $2 million with property taxes, that would equate to an about 10 percent increase in the tax levy.
The county in 2014 began collecting a tax from residents with motor vehicles — called a wheelage tax — that also is 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.
It raises roughly about $300,000 a year, Kluever said.
Miller said it will be up to the county commissioners to decide whether to have both taxes.
The wheelage tax could be rescinded if the board chooses.
Miller said people she has talked to have been in favor of the tax if they know it is going specifically for roads or bridges.
Nearby counties of Fillmore, Olmsted, Rice and Steele have already implemented the tax.