To the chagrin of many state legislators, Gov. Terry Branstad opposes new revenue measures to fund transportation projects, as he believes he is following the wishes of his constituents. Tax cuts, not increases, are on his agenda.
Pointing to the current gas price spikes in the Midwest, Gov. Branstad asserted that "public support for a gas tax increase has evaporate(d)". He suggested two alternatives revenue measures "to fund critical road and bridge upgrades in the future", writes Rod Boshart.
- State gambling profits, and
- A dedicated share of the state sales tax.
Indeed, the highest gas prices in the U.S. are in the Midwest due to "refineries undergoing maintenance", according to Reuters.
“I think the idea of year after year coming back and saying we’ve got to raise the gas tax [last increased in 1989] when the public is strongly opposed to it doesn’t make a lot of sense,” added Branstad. He said he is not looking to increase any tax or fee, but he ruled out collecting tolls on roadways as an option.
For those who think that the road construction lobby is all-powerful, think again.
“I think (road-construction interests) have to come to the realization that they don’t have public support to raise the gas tax and it’s probably not going to happen in an election year,” he said.
Branstad directed "Department of Transportation Director Paul Trombino III and other interested groups to 'think outside the box' and come up with new ideas for financing the construction and maintenance of Iowa’s road system."
In fact, tax cuts, not increases, appear to be occupying the governor, who "said he hoped to build on a tax-policy compromise he will sign into law next week that provides the largest tax cut in state history, saying more property and income tax relief is needed..."; adding, "I think it’s very likely we’ll be looking at reducing the income tax further in the 2014 legislative session." Boshart noted that while Branstad hadn't decided on whether to run for "an unprecedented sixth term...(he) sounded very much like a candidate during Friday’s interview".
Not all politicians are as convinced of the public's opposition to increasing gas taxes.
James Q. Lynch writes in the Mason City Globe Gazette that Senate Appropriations Committee Chairman Bob Dvorsky stated "(t)here was a 'boomlet' of support for increasing the gas tax for the first time in 24 years. He thought there were enough votes in the Senate, but support evaporated in the House."
Reinforcing the bi-partisan nature of increasing gas taxes to pay for needed transportation projects, Rep. Bobby Kaufmann, R-Wilton, stated, “I know there were a lot of unhappy people that a fuel tax didn’t pass this year. The illusion we were given was that if we had property tax reform that a gas tax would be approved.”
“We had the votes,” Kaufmann insisted.
FULL STORY: Branstad: Alternatives needed to gas tax increase

Study: Maui’s Plan to Convert Vacation Rentals to Long-Term Housing Could Cause Nearly $1 Billion Economic Loss
The plan would reduce visitor accommodation by 25,% resulting in 1,900 jobs lost.

North Texas Transit Leaders Tout Benefits of TOD for Growing Region
At a summit focused on transit-oriented development, policymakers discussed how North Texas’ expanded light rail system can serve as a tool for economic growth.

Why Should We Subsidize Public Transportation?
Many public transit agencies face financial stress due to rising costs, declining fare revenue, and declining subsidies. Transit advocates must provide a strong business case for increasing public transit funding.

A Visual Celebration of Manhattan’s Chinatown Elder Community, Through Food
Lanterns, cafeteria trays, and community connection take center stage in this stunning photo essay.

How to Make US Trains Faster
Changes to boarding platforms and a switch to electric trains could improve U.S. passenger rail service without the added cost of high-speed rail.

Columbia’s Revitalized ‘Loop’ Is a Hub for Local Entrepreneurs
A focus on small businesses is helping a commercial corridor in Columbia, Missouri thrive.
Urban Design for Planners 1: Software Tools
This six-course series explores essential urban design concepts using open source software and equips planners with the tools they need to participate fully in the urban design process.
Planning for Universal Design
Learn the tools for implementing Universal Design in planning regulations.
City of Santa Clarita
Ascent Environmental
Institute for Housing and Urban Development Studies (IHS)
City of Grandview
Harvard GSD Executive Education
Toledo-Lucas County Plan Commissions
Salt Lake City
NYU Wagner Graduate School of Public Service