A resolution that could ease the financial strain faced by Georgia and its municipalities in funding transportation projects is making its way through the General Assembly.
Introduced in the Senate during this session, SR 845 calls for the state’s constitution to be amended so that a local option sales and use tax of up to 1% could be levied to fund transportation projects.
The House and its committees have voted in favor of the resolution and it is currently in a Senate committee that is reviewing some of the changes proposed by the House. If approved, voters will decide the matter in November.
Supporters of the resolution say it will allow the state to raise more funds for transportation projects, which have been largely funded with bonds. For example, Georgia is selling $3 billion of grant anticipation revenue vehicle debt through 2011 to help provide traffic-congestion relief and improve access to promote economic development.
Opponents of the resolution say it is unfair for rural municipalities that don’t have the traffic problems that metro Atlanta has to have to pay higher taxes.
Gov. Sonny Perdue has not weighed in on the measure.
