Missouri law increases transportation funding

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Missouri Gov. Mike Parson recently signed into law SB 262, which will increase transportation funding for state and local infrastructure projects.

Once its provisions are fully implemented, the law could increase transportation funding by more than $450 million. Nearly $125 million annually would go to cities and counties for local transportation projects. An estimated $330 million would be available for the State Road Fund administered by the Missouri Department of Transportation (MoDOT).

An increase of 2.5 cents per gallon of fuel annually for five years, starting this year, will generate revenue for the State Road Fund and local transportation projects. All revenue is constitutionally required to maintain roads, bridges, and the overall transportation system.

MoDOT will use funds to help cover the more than $8.25 billion funding gap for high-priority annual transportation needs over the next 10 years.

“With nearly $1 billion in unfunded transportation needs each year, we can no longer wait for another day or another generation,” Parson said. “Quality roads and bridges increase the efficiency and safety of our roadways, invite travelers and business investment, and save Missourians money.”

Missouri has the nation’s seventh-largest transportation system but ranks 45th in available revenue per road mile.