Missourians for Transportation Investment SB 262 Sponsor – Senator Dave Schatz MFTI Diamond What the bill does: Partners • Phases in a 12.5-cent motor fuel tax increase over 5 years. AGC of Missouri • Authorizes rebates of the additional tax paid and outlines the electronic process to claim a refund. Heavy Constructors • Exempts vehicles in excess of 26,000 lbs. from claiming refunds. Association • Creates an electronic claim process for a pre-existing exemption on non-highway of Greater fuel purchases. • Phases in an increase in fees for alternative-fuel vehicles. Kansas City • Establishes an Electric Vehicle Task Force to study the impact of electric vehicles on International Union transportation funding. • Increases the maximum age of motor vehicles required to have odometer readings of Operating recorded in certain circumstances. Engineers Local #101 • Enacts a lifetime ban from driving a commercial motor vehicle for any person convicted of using a commercial motor vehicle for human trafficking. MFTI Gold Partners Why we support SB 262: ACEC Missouri • SB 262 provides a once-in-a-generation opportunity to address the state’s Burns & McDonnell transportation investment shortfall and enjoys strong bipartisan support. Engineering • SB 262 provides an opportunity to increase revenue for roads and bridges without imposing a mandatory tax increase on Missouri citizens. Those who pay the MFTI Silver Partners increased state motor fuel tax can claim a refund on those taxes if they don’t wish to invest in roads and bridges, while more than 1 million voters who supported a Crawford, Murphy & Tilly state motor fuel tax increase in 2018 would have an opportunity to invest in the Garver state’s transportation system. Hanson Professional • The current state motor fuel tax has failed to keep up with inflation and has lost Services Inc. nearly two-thirds of its purchasing power. Heavy Construction • Missouri has the 2nd lowest fuel tax rate in the nation. • Missouri has more than $825 million in annual unfunded transportation needs. Laborers Local Union • Missouri is falling behind other states in making needed transportation #663 improvements, which makes us less competitive in attracting/maintaining jobs in HNTB Corporation our state. IUOE Local 513 Question & Response: Question: Wouldn’t raising the gas tax hurt Missouri consumers? Response: Keeping the gas tax low is hurting Missouri consumers more. Current road conditions result in added vehicle operating costs, safety costs, and congestion costs. Those costs, when added together, amount to approximately $2400/year for the average Missouri driver (Citizen’s Guide). SB 262 would cost the average Missouri driver less than $100/year and reduce those other costs for Missourians. And, if Missourians don’t want to pay the additional gas tax, they can claim a refund.

[email protected] 573-270-4053 P.O. Box 772 Cape Girardeau, MO 63702-0772 Missourians for Transportation Investment Question: Doesn’t raising gas taxes go against conservative principles? MFTI Bronze Partners Response: Taking care of our debts instead of passing our transportation funding American Public Works deficit to the next generation is rooted in conservative principles. And, allowing Association those who don’t want to pay the additional tax to claim a refund is a conservative Bartlett & West, Inc. Cape Girardeau Area Chamber solution to solving our funding shortfall. of Commerce Question: Don’t our lower gas taxes make us more competitive? Cape Girardeau Regional Airport Response: Thirty-six states have raised their gas taxes since 2010 either through CBB legislative action or automatic formulas that regularly adjust the gas tax rate. Those CDG Engineers, Inc. states include 7 of the 8 border states for Missouri, with Kansas being the only Citizens for Modern Transit exception. Legislators in other states haven’t raised their gas taxes to become less Civil Design, Inc. competitive. They’ve raised gas taxes because they know that in order to remain Delta Companies, Inc. economically competitive with other states, they need good roads and bridges. EFK Moen Infrastructure is one of the top issues that companies consider when deciding to Emery Sapp & Sons, Inc. expand or relocate. Refusing to adjust our gas tax rate is like running a race in the GBA wrong direction. Plus, the refund mechanism will keep our gas taxes lower than Gerdan Slipforming, Inc. surrounding states for those who want to claim a refund. Greater Kansas City Chamber Question: Shouldn’t we wait to see what the federal government does on of Commerce transportation? Greater St. Charles County Response: Federal dollars often require matching money from the state or local Chamber of Commerce governments. If Missouri isn’t positioned to match federal dollars, we could lose Heart of America Chapter out to other states. of ATSSA, Inc. Response: Missouri has taken a “kick-the-can” approach for two decades, and as HG Consult, Inc. a result we have an ANNUAL transportation funding shortfall of $825 million. Horner & Shifrin, Inc. Continuing the wait-and-see approach is only going to increase that funding deficit. Jefferson City Area Chamber Our funding shortfall won’t be resolved by a one-time infusion of federal dollars. of Commerce We need a sustainable solution. Leigh & O’Kane Missouri Asphalt Pavement Question: Shouldn’t electric vehicles be charged more for their road use? Association Response: SB 262 doubles the registration fee for electric vehicles over a period of Missouri Association of Counties five years. It also calls for a task force to study the impact of electric vehicles on our Missouri Corn Growers roads and requires the task force to report its findings to the General Assembly. Association Question: Would raising the gas tax cause Missouri gas stations to lose cross Missouri Limestone Producers border sales to other states? Association Response: Even after the motor fuel tax increases in SB 262 are fully phased in, Missouri Municipal League we would still be lower than Illinois and would be similar to Nebraska and Iowa. MO/KS Chapter, American There are no bridges between Missouri and Kentucky (over the Mississippi River) Concrete Pavement Association and there is only one bridge between Missouri and Tennessee with 15 miles of Oates Associates farmland between Missouri and Tennessee gas stations along that route. Poepping, Stone, Bach & Response: Having lower gas prices in Missouri benefits citizens from other states. So, Associates, Inc. while drivers from our neighboring states can cross the state line to fill their tanks SCI Engineering, Inc. up and save a few pennies, before returning to their own states where the roads SITE Improvement Association are being properly maintained, Missouri drivers are forced to drive on subpar Springfield Area Chamber roads. of Commerce Response: The refund provisions in SB 262 are available to consumers from other Terracon Consultants, Inc. states. Which means, those out-of-state consumers who purchase fuel in Missouri Twehous Excavating Company, Inc. will STILL be able to pay less than in their home states by filing the electronic TWM, Inc. refund claim. ** PLEASE refer to the joint letter supporting SB 262 signed onto by nearly 30 different organizations from around the state.