HF3301

Purpose of the Bill

This bill aims to modify the allocation of regional transportation sales tax revenue within Minnesota. Specifically, it mandates the distribution of a portion of this revenue to SouthWest Transit, a local transit provider.

Main Provisions

• Regional Transportation Sales Tax Allocation: The bill stipulates that 3.7 percent of the regional transportation sales tax collected in the metropolitan area should be allocated to SouthWest Transit.

• Use of Tax Revenue: It outlines various uses for the transportation sales tax revenue:

  • 5 percent is designated for active transportation projects, as decided by the Transportation Advisory Board.
  • The remaining 95 percent is designated for various transit system purposes. These include improving regular route bus services, enhancing transit safety, maintaining bus accessibility, upgrading transit shelters, expanding and maintaining bus rapid transit systems, procuring zero-emission buses, and providing financial assistance for demand response microtransit services. There are also provisions for financial support to political subdivisions and tax-exempt organizations related to active transportation, as well as wage adjustments for Metro Transit operations employees.

Significant Changes

• Amendment of Existing Law: Amends Minnesota Statutes 2024, section 473.4465, subdivision 2, to include this specific allocation to SouthWest Transit from the regional transportation sales tax revenue, ensuring sustained funding for this transit service provider.

Relevant Terms

• Regional transportation sales tax
• SouthWest Transit
• Active transportation
• Bus rapid transit
• Zero-emission buses
• Microtransit
• Metro Transit
• Transportation Advisory Board