Yesterday, the Missouri House passed a measure to temporarily raise the state sales and use tax by 1 percent —a penny sales tax increase—to fund transportation projects throughout the state of Missouri.  If the Missouri legislature passes House Joint Resolution 68, then the measure will be placed on the ballot for Missouri voters to approve in the upcoming November 2014 election.

According to transportation officials at the state level, this sales tax could bring in $8 billion over a ten-year period. Representative Dave Hinson (R-St. Clair)—the House sponsor of this legislation— recently defended the need for additional funding when he directly stated, “We do have a funding problem in our state.”

During a House Transportation Committee public hearing in February, business group and association lobbyists argued in support of the proposed legislation and said that it would help with jobs and infrastructure.  Opponents of the legislation argued that the proposal would unreasonably hurt low-income residents.

The Missouri House still needs to approve the bill one more time before it will be considered in the Senate.