Gravel2Gavel Construction & Real Estate Law Blog
Virginia Gov. Bob McDonnell wants to increase the percentage of any year-end surplus and sales tax that is spent on transportation projects. According to this article, the specific proposals include:
* Increasing transportation’s share of year-end surpluses to 75 percent.
* Authorizing the Commonwealth Transportation Board to implement a version of tax-increment financing so that when the state funds new transportation infrastructure a portion of the growth in state tax revenues that result from economic development surrounding the project will go to transportation.
* Increasing the amount of existing sales tax sent to transportation from .5 percent to .75 percent over the next 8 years.
* Proposing that the first 1 percent in revenue growth over five percent each year be dedicated to transportation
* Allow the state to match local money dollar-for-dollar on capital improvements as well as maintenance within a locality.