WEEK SIX: February 15, 2019
Dear Friends and Neighbors:
Minnesota is facing a $6 billion statewide transportation funding gap. Unfortunately, the legislature hasn’t been able to pass a viable long-term transportation funding plan to address this growing deficit. To make matters worse, if we don’t find a solution, more than 70 percent of currently projected future spending will need to go toward road preservation rather than improving our infrastructure.
Right now, more than half of Minnesota’s roads are more than 50 years old, and 40 percent of the state’s bridges are more than 40 years old. In just the next three years alone, one in five Minnesota roads will pass their useful life. And in the next ten years, nearly 40 percent of our roads will be past their useful life.
Poor roads cost Minnesota motorists $1.2 billion every year in extra vehicle repairs, and Minnesota businesses spend an extra $232 million each year on additional freight transportation costs caused by traffic congestion. In addition, the average Minnesota commuter wastes 34 hours stuck in traffic every year. If no additional investments are made in our transportation systems, by 2025 the average Minnesota commuter will waste an estimated 45 hours stuck in traffic.
So, how do we currently pay for transportation? It’s a complicated system, but in Minnesota, “user fees” provide most of the money for highways but not for local roads. The state gas tax provides 28 percent of highway funding, license tab fees cover 23 percent, motor vehicle sales taxes account for 14 percent, federal aid supplies 24 percent, money borrowed by selling bonds provides 7 percent, and other highway revenues account for 3 percent.
The Minnesota Constitution dedicates the user fees generated by gas taxes, tab fees, and motor vehicle sales taxes “solely for highway purposes.” That money can’t be used for public transit. Additionally, most city, county, and township roads are financed with local taxes, mainly property taxes. State aid helps pay for some of the bigger city streets and county highways.
There are no easy solutions. Nobody wants to pay more for gas, but our current gas tax hasn’t kept up with inflation. I’m not calling for a gas tax increase, but we have to look at all options to solve this very real problem. Minnesota’s gas tax is currently 28.5 cents per gallon, which is almost exactly the national average. Minnesotans pay 47 cents per gallon in state and federal taxes combined, according to the U.S. Energy Information Administration.
The last time Minnesota raised its gas tax was in 2008, which was a year after the Interstate 35W bridge in Minneapolis collapsed. That year, the legislature passed a plan to raise the gas tax from 20 cents a gallon to the current 28.6 cents. In 1975, Minnesota’s gas tax was 9 cents per gallon. If that were adjusted for inflation, Minnesota would have a gas tax of about 42 cents per gallon today. Our gas tax revenue is expected to fall even more as motor vehicles become more fuel efficient. Experts predict that by 2040 more than half of all new car sales will be electric.
In our own backyard, I’ve introduced several bills to address road improvements with bonding funds. One is to appropriate $30 million in Trunk Highway bonds to construct additional lanes on U.S. Hwy. 10. Specifically, the funds will add a third lane on both sides of the highway from Hanson Blvd. in Coon Rapids to 7th Avenue in Anoka. The second bill I’ve introduced also asks for $30 million in bonding to add a third lane to both directions on Hwy. 10, from Hanson Blvd. to Round Lake Blvd. in Coon Rapids. These bonding proposals will accelerate funds to fix the high congestion and safety concerns along this corridor of Hwy. 10.
Last year, a bill was introduced to create a fee structure for electric vehicles that share our roads. This idea isn’t new. State governments across the country are seeking to add fees to electric vehicles to help these drivers pay their fair share of road maintenance costs. This could offset some of the missing gas tax money from drivers but certainly would not be enough to address our ongoing funding deficit.
Another option could be investing more in our Corridors of Commerce program. This program was created in 2013 and authorized the sale of up to $300 million in new trunk highway bonds for the construction, reconstruction, and improvement of trunk highways for projects not already in the state’s improvement program. We’ve continued to provide funds for this program, but unfortunately it will not solve the actual problem of our long-term transportation funding deficit.
We could also dedicate a portion of the existing sales tax on auto parts to transportation. By dedicating a portion of the existing sales tax on auto parts and other vehicle-related services solely to transportation, we could provide some funding for roads and bridges. But again, it just isn’t enough to solve our transportation deficit today and in the future.
Finally, there is a proposal to spend more of the state’s income and sales tax revenues on transportation, but this solution would take money away from education, health and human services, and other programs financed through the state’s general fund. In an era of tight budgets and increased needs, I’d hate to see money taken from other important programs that serve our communities.
However, I think we need to put all ideas on the table and have an honest discussion to come up with a viable solution. The longer we wait to address this problem, the larger the deficit grows, and the more difficult it will be to catch up. I’m a huge advocate of finding common ground with commonsense solutions to problems. I just hope we can actually make some headway this year with this difficult and growing problem.
To contact me with your ideas and feedback, you can reach me by phone at 651-296-4154 or by email at sen.john.hoffman@senate.mn. You can also mail letters or pay me a visit in the Minnesota Senate Building, Room 2231, right across the street from the Capitol.
In the senate
Increase Teachers of Color Act
Legislators from the Senate and House held a press conference this week to introduce legislation aiming to increase the percentage of teachers of color and American Indian teachers (TOCAIT) in Minnesota classrooms. (SF 1012)
Minnesota African American Family Preservation Act introduced
Families and advocates gathered at the capitol this week as House and Senate legislators announced legislation to combat the arbitrary removal of black children from their homes by Minnesota’s child protection department. African American youth in Minnesota are removed from their homes at alarmingly higher rates and are often moved from child protection into the juvenile justice system. The introduced legislation seeks to address racial disparities found within the entire child protection system—from reporting, screening, assessment, to discharge. (SF 730)
Leaders introduce earlier legislative deadlines
Governor Walz met with legislative leaders this week in a bipartisan press conference to announce the implementation of additional legislative deadlines for the 2019 session. These deadlines introduce benchmarks that major financial legislation would need to meet before the end of session, aiming to give legislators more time to negotiate and review spending bills, increase transparency, and reduce the tensions of the budget setting process.
Comprehensive plan to address Chronic Wasting Disease outbreak
Senate and House legislators held a press conference this week to outline a comprehensive plan to address the Chronic Wasting Disease (CWD) outbreak in Minnesota’s white tail deer population. This disease is always fatal to deer, and studies show that once it infects more than one-third of the population, entire herds may be decimated. This could put the future of deer hunting at risk in Minnesota. (HF 229, SF 874, HF 553, HF 850)
Legislators renew efforts to protect net neutrality for Minnesotans
Legislators from the Senate and House held a press conference this week to announce their commitment to protecting Minnesota consumers in response to the 2017 Federal Communications Commission (FCC) reversal of net neutrality. Net neutrality is the principle that internet service providers should enable access to all content and applications regardless of the source and without favoring or blocking specific products or websites. (SF 317)
Ethical care for all: protecting LGBTQ Minnesotans from harmful practices
DFL Members were joined by advocates, faith leaders, mental health professionals, and survivors this week for a powerful press conference announcing legislation to protect Lesbian, Gay, Bisexual, Transgender, and Queer (LGBTQ) Minnesotans from the harmful effects of conversion therapy. Discredited by every major medical organization in the United States, conversion therapy includes a variety of dangerous practices geared toward changing a person’s sexual orientation, gender identity, or gender expression and puts LQBTQ youth and adults at risk of long-term consequences such as post-traumatic stress disorder (PTSD), anxiety, depression, substance abuse, and suicide. The Mental Health Protections Act would protect Minnesotans from being coerced into this ineffective and harmful treatment, prevent parents from being deceived by the conversion therapy industry, and ensure that LGBTQ people have access to affirming, ethical, and culturally competent mental health care in the state. This bill does not threaten religious or individual prayer practices and its restrictions only apply for paid services rendered. (SF 83)
Legislators aiming to increase early learning scholarships for Minnesota students
A bipartisan group of senators held a press conference this week increase introducing legislation aiming to increase early learning scholarships for Minnesota students. The legislators were joined by representatives from a number of early child education organizations, including Families First of Minnesota, Close Gaps by Five, Think Small, and the New Horizon Academy. (SF 1306)
In Committee
Support services for firefighters, first responders, and veterans
From left to Right: Matt Doughty, President of Firefighters with PTSD, Senator Hoffman Author of the Bill, Angie Star and Becca Curtis testifying on behalf of SF 1109
PTSD is a serious issue for those who put their lives on the line for all of us. I authored this bill to open up a grant that provides for services that aid First Responders and Veterans who suffer this condition. Lets take care of those who take care of us. (SF 1109)
Reinsurance program takes first step towards renewal in the Senate
Minnesota passed a program in 2017 that aimed to lower the cost of health care premiums for plans offered on the individual health insurance market. The bill allocated $542 million to insurance companies to help mitigate the risk of high-cost claims. It was a two-year program that expires this year. (SF 761)
County reimbursement for legal costs
A bill was heard in the State Government Committee this week to reimburse Wright, Becker, and Ramsey Counties for legal fees incurred due to a lawsuit by then-State Auditor Rebecca Otto regarding the privatization of audits authorized in the 2015 Omnibus State Government bill. The reimbursement language was included in the vetoed 2017 Omnibus State Government bill. In April 2018, the Supreme Court upheld the 2015 law that allows counties to use private CPA firms to conduct annual financial audits.
The legal cost for Wright and Becker Counties has been determined to be $140,000, and it is still unclear how much Ramsey County spent. The issue is largely resolved, and a new State Auditor, Julie Blaha, is leading the office after her election last year. (SF 154)
A Video Update from Senator Hoffman
It is my greatest honor to represent you the citizens of Brooklyn Park, Champlin and Coon Rapids here at our great state capitol. In addition to representing you, I absolutely enjoy it when you come visit.So come on down, reach out and tell me what matters to you so I can continue working on your behalf. You can reach me by email at sen.john.hoffman@senate.mn, phone by 651-296-4154 or just stop by. I am at 95 University Avenue Suite 2231 in the Minnesota Senate Building
Sincerely,
Senator John Hoffman
If you have any questions or concerns feel free to call my office at 651-296-4154 or by e-mail at jhoffman@senate.mn
Thanks again to everyone who came to visit me this week! I had another student come shadow me to see what a day at the capitol was really like!
A special shout out to Ahmad (Left) for joining me for the day. Molly Liberto and my intern Taylor Schroeder on my right.
Anna Baumgartner speaking to me about patient related issues and fun fact: She used to babysit my daughter!
Mike Martinez talking to me about the importance of transportation investment and STEM support.
Julie and Dana with Protect Minnesota sharing their ideas on the gun legislation coming up at the capitol.
Peneal Tiruneh from Ewald Consulting coming to say hi!
Tim Korby, Carol LeFleur and crew visiting.
A huge group from the Minnesota Nursing Association sharing their values.
Don McNeal coming to speak with me during a documentary for HBO.
Legislation discussed in the Education Committee this week focused on increasing school safety to ensure buildings are secure and students feel safe while learning. (SF 7, SF 177, SF 389)
School suicide prevention training bill discussed
The second-highest cause of death among teens in Minnesota is suicide. A bill heard this week appropriates $480,000 to provide online suicide prevention training to Minnesota teachers. Minnesota teachers are required to participate in suicide prevention training when renewing their Tier 3 or Tier 4 licenses. (SF 734)
Andover landfill cleanup bill heads to Senate Floor
The Finance Committee passed a bill this week to provide $10.3 million to begin cleanup of the state’s worst landfill. The closed Waste Disposal Engineering (WDE) Landfill in Andover is ranked at the top of the Minnesota Pollution Control Agency’s list in terms of hazard and risk to public health; it is the agency’s first cleanup priority among the state’s 100 closed landfills. (SF 611)
Two-line fishing bill advances
A bill approved this week by the Environment Policy and Legacy Finance Committee allows anglers to take fish using two lines during the open-water season, provided a second-line endorsement is purchased for $5. Proceeds from the $5 second-line endorsement would be spent on walleye stocking. Minnesota allows one line per fishing license, with the exception of two lines allowed for ice fishing and for fishing on the Mississippi River and Lake Superior. The committee passed an amendment to the bill that exempts two-line authorization from specially regulated waters, such as trout streams and lakes. (SF 226)
Environment Finance Committee approves new fish hatchery advisory group
A bill was heard by the Environment and Natural Resources Finance Committee this week that establishes a 12-member “Reinvest in Fish Hatcheries Citizen-Legislative Advisory Group” and requires a report and recommendations to the legislature. (SF 390)
The Family Care and Aging Committee focuses on child care
Several bills relating to child care were heard in the Family Care and Aging Committee this week. These bills come on the tails of legislation offered last session that made several changes to regulations and licensing procedures relating to family child care providers. The state is currently experiencing a decline in available child care that is especially challenging for communities in greater Minnesota. (SF 886, SF 537, SF 979, SF 538, SF 4)
Senate takes renewed action to hold the pharmaceutical industry accountable
Legislation is moving through the Senate this session to raise money to combat the opioid overdose epidemic that claimed the lives of hundreds of Minnesotans last year and continues to be a crisis. The legislation raises annual registration fees on pharmaceutical manufacturers and wholesale distributors, charging up to $250,000 to manufacturers responsible for selling the highest quantities of opiates in Minnesota. The goal of this effort is to raise $20 million each year to fund treatment and prevention programs, amounting to just a sliver of the skyrocketing profits made by manufacturers of opiates each year. (SF751)
Debt-free college legislation introduced
Students and legislators joined together this week to unveil legislation that will provide two years of free tuition for low-income and middle-class families at Minnesota’s public colleges and universities. Eligibility applies to students with a family income of $125,000 or less, or an independent income of $75,000 or less. Eligible students must be a high school graduate, Minnesota resident, and are required to maintain a 2.0 GPA. (SF 1308)
Workforce shortage in disability services causes significant concern
The Health and Human Service Reform Committee took a deep dive this week into workforce issues impacting organizations that provide services to people with disabilities. The Committee heard from several organizations about a severe shortage of available workers that makes it difficult to provide the kind of quality care that helps people with disabilities all over the state live with dignity and participate fully in their communities. (SF6, SF92)
Housing First presents cost study
The Builders Association of the Twin Cities’ Housing First Minnesota presented a report in the Agriculture, Rural Development, and Housing Finance Committee on the rising costs associated with home construction in Minnesota. The report did not isolate a single factor responsible for the high cost of new homes in Minnesota but instead argued a combination of factors have priced families out of new homeownership. The organization called for a legislative-led commission to review housing costs in Minnesota. While a bill has not been introduced to establish a commission, it is expected to happen soon.
Judiciary Committee works towards DWI omnibus bill
The Senate Judiciary Committee heard two bills this week that work to improve the state’s DWI laws. (SF 221, SF 737)
Information and Resources
State Government
Governor
651.201.3400 | http://mn.gov/governor
Attorney General
651.296.3353 | www.ag.state.mn.us
Representative Melissa Hortman (36B)
651.296.4280
Representative Zack Stephenson (36A)
651.296.5513
Driver’s Licenses
651.297.3298 | license information
MN Energy Assistance Program
800.657.3710
https://mn.gov/commerce/eap.jsp
Election Information
651.215.1440 | https://www.sos.state.mn.us/
Emerald Ash Borer Prevention
and Detection
(MN Dept. of Agriculture)
651.201.6684
Local Government
City of Champlin 763.421.8100
City of Brooklyn Park 763.424.8000
City of Coon Rapids 763.755.2880
Anoka County 763.421.4760
Federal Government
U.S. Senator Amy Klobuchar
612.727.5220 | https://www.klobuchar.senate.gov/public/
U.S. Senator Tina Smith
202.224-5641 | https://www.smith.senate.gov/HomePage