New Roads Funding Law goes into Effect in Nebraska

Tom Warne Report, 5 July 2013

Associated Press – July 2, 2013

LINCOLN, Neb. – A new law went into effect Monday in Nebraska that sends an estimated $65 million a year from sales tax revenue to fund road work. At least 17 major road projects will benefit from the funds over the next decade. Six Nebraska Department of Roads projects are either underway or scheduled to break ground by July 2014, and 11 others will be constructed through 2023 as a result of the funding law.

The law replaces the state’s old practice of using gas tax and motor vehicle fee revenue to pay for roads, and instead dedicates one-quarter of a cent from the state’s existing 5.5-cent sales tax for 20 years to state road improvements and maintenance in cities and counties.

Nebraska Highway Commissioner Rodney Vandeberg, who represents the southeast corner of the state, said without the law, the Nebraska Department of Roads would not have been able to move forward with many of its high-priority projects.

“We would have soon suffered the consequences of deteriorating roads and bridges, and I promise you that would have been devastating to our entire state,” Vandeberg said.

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