HF2186

Purpose of the Bill

This bill aims to change how the revenue from the regional transportation sales and use tax in Minnesota can be used. It specifically addresses the Metropolitan Council’s use of these funds, focusing on prohibiting allocations for certain rail projects.

Main Provisions

• Allocation of Sales Tax Revenue:

  • 5% of the sales tax is designated for active transportation, which typically includes modes like biking and walking.
  • 95% is directed towards transit system purposes, excluding light rail or passenger rail projects.

• Specific Uses for Tax Revenue: The bill outlines permissible uses for the transit system sales tax revenue, which include:

  • Improvements to regular bus services.
  • Enhancements to transit safety, including increasing transit officials.
  • Maintenance and improvements for bus accessibility at transit stops.
  • Replacement and upgrading of transit shelters.
  • Planning and developing expansions for arterial and highway bus rapid transit (BRT).
  • Operations and maintenance for arterial and highway BRT routes.
  • Transition to zero-emission buses.
  • Support for demand response microtransit services.
  • Financial aid for service vehicle purchases pertinent to microtransit.
  • Active transportation projects benefiting political subdivisions and tax-exempt organizations.
  • Wage adjustments for Metro Transit hourly operations employees.

Significant Changes to Existing Law

• Prohibition on Rail Projects: The bill introduces a prohibition against using sales tax revenue for light rail, specifically targeting the Southwest Light Rail Transit and the Green Line Extension, as well as any passenger rail projects. This prohibition lasts until the expiration of the Metropolitan Governance Task Force.

Relevant Terms

• Metropolitan Council
• Sales tax revenue
• Light rail transit
• Passenger rail projects
• Zero-emission buses
• Bus rapid transit (BRT)
• Demand response microtransit
• Metro Transit