Senator Carona Files Bill To Diversify Transporation Funding Options

[Press Release from State Sen. John Carona (R-Dallas)

On January 19, State Senator John Carona, R-Dallas, filed SB 257, which would allow local option elections to add up to an extra one-cent to the local sales tax for funding local transit projects.

“We can’t expect toll roads to be the solution for all our transportation needs.  While they are part of the mix, the state needs to explore other funding options.  This bill not only does that, but most importantly, it gives local communities a voice in how they want to fund their transportation needs,” said Senator Carona.

Senator Carona singled out the work of State Senator Florence Shapiro, State Representative Fred Hill and Richardson Mayor Gary Slagel for their leadership of the Regional Transit System Review Committee.  “With the help of local and state leaders from across the area, the Regional Transit System Review Committee was able to develop a plan that addresses the long-term needs of the Metroplex and North Texas,” added Senator Carona.

Under current law, local governments’ sales tax authority is capped at two cents above the state’s 6.25% sales tax rate.  Local option elections to increase a community’s sales tax are allowed to fund local economic development projects, or other special projects, provided they do not exceed the two-cent cap.  SB 257 would exempt transportation projects from the two-cent cap.