08-23-2006 Council Agenda - Laserfiche WebLink

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The Amendment : Vote Yes for Better Roads & Transit. VOTE YES iriE AMENDMENT Page 1 of 2 WHY YES 'WHY NOVI Frequently Asked Questions Importance of a YES vote GETINVOLVED NEWS &UPDATES /MONTHS THE AMENDMENT Minnesotans currently pay a motor vehicle sales tax when they purchase a new or used car or truck in Minnesota. In 1981, the Legislature passed a law dedicating all motor vehicle sales tax revenue to highways and transit. However, for 25 years some (or all) of this money has been diverted away from transportation to pay for other state programs. More than $6 billion in motor vehicle sales tax revenue has been used for non - transportation purposes in this time. Today, only 54 percent of the revenue from the existing motor vehicle sales tax is used for transportation purposes. Approximately 60 percent of these funds go to highways, and 40 percent goes to public transit. The 2005 Legislature decided to give voters the final say on whether 100 percent of this existing tax should be dedicated to funding highways, bridges and transit systems. What is the Transportation Constitutional Amendment? The 2005 Minnesota Legislature authorized the Transportation Constitutional Amendment, placing a question in front of voters about future transportation investments. The proposed amendment will ask whether all of the revenue from the existing motor vehicle sales tax should go to improve the state's highways and public transit systems. What will the proposed amendment ask? "Shall the Minnesota Constitution be amended to dedicate revenue from a tax on the sale of new and used motor vehicles over a five - year period, so that after June 30, 2011, all of the revenue is dedicated at least 40 percent for public transit assistance and not more than 60 percent for highway purposes ?" How will this amend the constitution? The 2005 Legislature passed a proposal for a constitutional amendment. The proposal reads: An amendment to the Minnesota Constitution is proposed to the people. If the amendment is adopted, two sections will be added to article XIV to read: "Sec. 12. Beginning with the fiscal year starting July 1, 2007, 63.75 percent of the revenue from a tax imposed by the state on the sale of a new or used motro vehicle must be apportioned for transportation purposes described in section 13, then the revenue apportioned for transportation purposes must be increased by ten percent for each subsequent fiscal year through June 30, 2011, and then the revenue must be apportioned, no percent for ]Email Address http:// www .voteyesmn.org /amendment.html 8/18/2006