Statewide transportation sales tax coming in 2014

[DaveKCMO]

from KCATA:

Amendment 7’s Impact on KCATA

On Aug. 5, 2014, Missouri voters will be asked to consider Amendment 7, which proposes raising the sales tax three-quarters of one percent to pay for transportation projects over 10 years.

Missouri is one of the few states that does not have dedicated transportation funding. If Amendment 7 passes, the Kansas City Area Transportation Authority will receive approximately $85 million over 10 years. Funds will be used for the Prospect MAX Bus Rapid Transit line, which could open as early as late 2017; the opportunity for limited service enhancements to better serve customers; and funding for transit system preservation to ensure that existing transit services are maintained for 10 years.

Capital improvements include 150 new 30-foot and 40-foot clean Compressed Natural Gas buses to replace diesel buses that have ended their useful life; 20 CNG mini-buses for fixed and demand responsive service and fare collection upgrades and/or replacement, to include the first on-street transit ticket vending machines in Kansas City.

“By the end of the 10-year life of the tax, legislators and voters will hopefully see the impact of additional funding and continue it for decades to come,” said Mark Huffer, KCATA general manager.

[LenexatoKCMO]

i was unaware of that.

that is the stupidest provision to include and I think just swung my vote to no.

this is kind of my thinking as well...why would we vote to block those funding avenues?

Because the trucking companies, gas retailers, and other various special interests that own the state legislators want it that way.

[DaveKCMO]

a note about the streetcar funding tied to amendment 7: it would arrive immediately, while using the TDD without amendment 7 would require more bonding since the taxes wouldn't start until much later.

in essence, this combination (TDD+7) is the best financial deal for KCMO taxpayers.

[KCPowercat]

i was unaware of that.

that is the stupidest provision to include and I think just swung my vote to no.

this is kind of my thinking as well...why would we vote to block those funding avenues?

Because the trucking companies, gas retailers, and other various special interests that own the state legislators want it that way.

Of course... But why would WE vote for it?

[kboish]

a note about the streetcar funding tied to amendment 7: it would arrive immediately, while using the TDD without amendment 7 would require more bonding since the taxes wouldn't start until much later.

in essence, this combination (TDD+7) is the best financial deal for KCMO taxpayers.

you're not making this an easy decision.

[pash]

.

[shaffe]

Hopefully somebody can clarify this for me regadring the TDD:

The TDD is going to carry an additional 1% of sales tax regardless of Amendment 7 or not, yes? If Amendment 7 passes then 3/4 of that will be paid toward Amendment 7 funding and the other 1/4 will go straight into the TDD. If Amendment 7 doesn't pass, then the full 1% will go to the TDD.

So as a consumer it makes no difference at all to me since I'm paying 1% in tax regardless? I get Dave's point in that there might be some savings in financing, but as much as I love the idea of KC continuing to build out a legitimate transit system (50 years too late) I think the downsides to Amendment 7 outweight the benefits of passing it on that basis alone.

[DaveKCMO]

Hopefully somebody can clarify this for me regadring the TDD:

The TDD is going to carry an additional 1% of sales tax regardless of Amendment 7 or not, yes? If Amendment 7 passes then 3/4 of that will be paid toward Amendment 7 funding and the other 1/4 will go straight into the TDD. If Amendment 7 doesn't pass, then the full 1% will go to the TDD.

So as a consumer it makes no difference at all to me since I'm paying 1% in tax regardless? I get Dave's point in that there might be some savings in financing, but as much as I love the idea of KC continuing to build out a legitimate transit system (50 years too late) I think the downsides to Amendment 7 outweight the benefits of passing it on that basis alone.

if you are in the new TDD -- but outside of the existing downtown TDD -- your sales tax will increase 1%. that is not universal, as some purchases are exempt from the state sales tax (groceries) that aren't exempt from the TDD sales tax (and vice versa for auto purchases). if you are elsewhere in the region, your sales tax will rise by 3/4% and you help fund streetcar!

the conundrum for transit supporters: amendment 7 also contains (hard fought) funding for KCATA, separate from streetcar -- $65 million over the 10 years, not including $20 million towards the capital cost of prospect MAX. previously, KCATA received about $125,000 per year from the state's general fund (since there is a constitutional prohibition on spending gas tax proceeds on anything other than roads and bridges).

the conundrum for downtown boosters: amendment 7 contains (hard fought) agreement that the north loop could be turned into a parkway and land around it redeveloped. it's a lot less likely if modot only has their current cash flow. this, of course, would require a new broadway bridge to connect 169 with I-35.

the conundrum for east jack and trail lovers: amendment 7 contains funding for acquisition of the rock island ROW and construction of a multi-use trail (in addition to reserving dedicated space for transit).

i'm now leaning towards yes for amendment 7, even though i still hate that it bans tolling/gas tax hikes and contains no funding for statewide amtrak.

[phuqueue]

the conundrum for downtown boosters: amendment 7 contains (hard fought) agreement that the north loop could be turned into a parkway and land around it redeveloped.

"Could"? What does that mean?

[DaveKCMO]

the conundrum for downtown boosters: amendment 7 contains (hard fought) agreement that the north loop could be turned into a parkway and land around it redeveloped.

"Could"? What does that mean?

no work has been done on it. broadway replacement didn't even come up until october 2013.

[pash]

.

[DaveKCMO]

Dave, when you say "the amendment contains ..." you mean only that the city has an informal deal with MoDOT to spend the money in that way, right?

Because the text of the amendment [PDF] makes clear that, aside from the 10% of revenues distributed to counties and cities, the tax revenues will be spent at the "sole discretion" of MoDOT. The only limitation on MoDOT's discretion is that they must give priority to spending that will improve the safety of the state's highways.

What guarantees do we have that MoDOT will actually funnel the money to the projects the city wants funded? And do we actually have any estimates on how much money KC would put in versus what it would get out if the informal agreements do pan out?

modot's governing body -- the missouri highways and transportation commission -- committed to building every project on the final list they approved.

[KCPowercat]

Hopefully somebody can clarify this for me regadring the TDD:

The TDD is going to carry an additional 1% of sales tax regardless of Amendment 7 or not, yes? If Amendment 7 passes then 3/4 of that will be paid toward Amendment 7 funding and the other 1/4 will go straight into the TDD. If Amendment 7 doesn't pass, then the full 1% will go to the TDD.

So as a consumer it makes no difference at all to me since I'm paying 1% in tax regardless? I get Dave's point in that there might be some savings in financing, but as much as I love the idea of KC continuing to build out a legitimate transit system (50 years too late) I think the downsides to Amendment 7 outweight the benefits of passing it on that basis alone.

if you are in the new TDD -- but outside of the existing downtown TDD -- your sales tax will increase 1%. that is not universal, as some purchases are exempt from the state sales tax (groceries) that aren't exempt from the TDD sales tax (and vice versa for auto purchases). if you are elsewhere in the region, your sales tax will rise by 3/4% and you help fund streetcar!

the conundrum for transit supporters: amendment 7 also contains (hard fought) funding for KCATA, separate from streetcar -- $65 million over the 10 years, not including $20 million towards the capital cost of prospect MAX. previously, KCATA received about $125,000 per year from the state's general fund (since there is a constitutional prohibition on spending gas tax proceeds on anything other than roads and bridges).

the conundrum for downtown boosters: amendment 7 contains (hard fought) agreement that the north loop could be turned into a parkway and land around it redeveloped. it's a lot less likely if modot only has their current cash flow. this, of course, would require a new broadway bridge to connect 169 with I-35.

the conundrum for east jack and trail lovers: amendment 7 contains funding for acquisition of the rock island ROW and construction of a multi-use trail (in addition to reserving dedicated space for transit).

i'm now leaning towards yes for amendment 7, even though i still hate that it bans tolling/gas tax hikes and contains no funding for statewide amtrak.

Hmmm. I was still leaving towards no. I'd probably be for it if it wasn't banning those funding methods.

[grovester]

Just to clarify, a 10 year ban only, correct?

[DaveKCMO]

Just to clarify, a 10 year ban only, correct?

correct.

[LenexatoKCMO]

Amendment 7 is a no brainer Nay vote for me. Too much highway pork funded through the wrong revenue mechanism.

[pash]

.

[KCPowercat]

Just to clarify, a 10 year ban only, correct?

correct.

But the amendment, gas-tax ban included, would automatically go to the polls for renewal when it expires, and would continue to do so at the end of each ten-year period, as long as it continues to pass. It would take a defeat of the amendment at the polls and/or passage of an overriding amendment if we're ever to get rid of the ban.

I'm interested in this first question about automatically going back to polls...but I do like that the ban isn't permanent.

[TheBigChuckbowski]

It seems like people might be supporting this because of the change in the funding of the streetcar. But, if the streetcar vote doesn't pass, we're stuck with this crappy law and no streetcar. I haven't seen anyone point that out.

[KCPowercat]

It seems like people might be supporting this because of the change in the funding of the streetcar. But, if the streetcar vote doesn't pass, we're stuck with this crappy law and no streetcar. I haven't seen anyone point that out.

I think everyone is feeling out the issue....it's not time to vote yet. Yes the streetcar funding helps because now statewide tax collection isn't only for roads as it's been for decades in the past...not to mention, talk of getting rid of the north loop w/ the Broadway bridge replacement is pretty sexy too.

I wasn't aware the TDD was required to pass for the streetcar expansion to happen given this new funding from the state....I was aware the federal funding had to come through....maybe Dave can clarify.