The Mississippi Department of Transportation (MDOT) wants the legislature to find more streams of revenue. Currently, MDOT is essentially funded by a fuel tax.
MDOT Executive Director Brad White hopes lawmakers will make a significant change to the agency’s funding model during the 2025 legislative session. MDOT receives money for construction and maintenance. It’s been a long time coming since the fuel tax was adjusted, according to White.
“When I say we need to modernize our funding model, having all of our eggs in the basket of the fuel tax, I don’t think is smart. Primarily, we’re funded by the fuel tax. Over half of our budget are federal dollars that we receive from the Federal Highway Administration through their reauthorization every five years,” White said.
DOT also receives $80 million a year from the Mississippi Lottery. This annual aide will be doled out through 2028. Fees for electric vehicles and hybrids contribute, as well.
White said they want recurring funding that will set them up for long-term success. He’s also open to suggestions, including benefiting from the fuel tax.
“We’ve suggested to the legislature, ‘What if you gave us 15%?’ Like them instead of it going back into the general fund, just give us 15% the same way you do local government and force that money to go directly to the projects, directly to miners or directly to construction of new projects,” White said.
He said gaming revenue has been used to build highways in the past, and this could be an area MDOT could benefit from, but it’s up to the policymakers in terms of where their funding comes from.
White is confident that legislators can bring these ideas to the table, but it’s about both parties have a conversation to get a deal done.
Source: WJTV, Yahoo
