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the limitations of existing special <br />assessment authority. <br />LE-36. Adequate Funding for <br />Transportation <br />Issue: A well -coordinated state <br />transportation policy utilizing all modes of <br />transportation in moving passengers and <br />freight will enhance the state economic <br />development of new and expanding business <br />as well as foster additional tourism <br />opportunities. <br />Response: More resources must be <br />dedicated to all components of the state's <br />transportation system, and local units of <br />government must have access to resources <br />and funding tools to meet growing needs. <br />The League of Minnesota Cities supports: <br />a) Development of a comprehensive state <br />transportation policy which provides <br />an environment where all modes of <br />transportation (motor, rail, air, water <br />and pipeline) complement each other <br />in moving passengers and freight <br />within the state. <br />b) A dedicated and sustainable state <br />revenue source for non -municipal <br />state aid city streets. <br />c) The Statewide Transportation Plan <br />2009-2028 developed by the Minnesota <br />Department of Transportation <br />(MnDOT). <br />d) MVST distribution of 60 percent for <br />roads and bridges and 40 percent for <br />transit. <br />A permanent increase in the gas tax. <br />Indexing of the gas tax, provided there <br />is a limit on how much the tax can be <br />increased for inflation in a given <br />amount of time. <br />Increases in vehicle registration taxes <br />(tab fees). <br />h) Trunk highway bonding provided the <br />Legislature implements reasonable <br />c) <br />t) <br />g) <br />97 <br />P) <br />q) <br />j) <br />restrictions on the amount of debt <br />service the state will incur, and <br />provided the Legislature appropriates <br />funding to assist with local costs <br />related to projects funded with trunk <br />highway bonds. <br />i) General obligation bonding for local <br />roads and bridges, particularly for <br />routes of regional significance. <br />A sales tax increase dedicated to <br />transportation. <br />k) Funding to assist cities burdened by <br />cost participation responsibilities <br />imposed by improvement projects on <br />the state's principal arterial system <br />and on the county state aid highway <br />(CSAH) system. <br />1) Funding for transportation <br />components of economic development <br />and redevelopment projects. <br />m) Full funding for all components of <br />state highway projects, including <br />related stormwater management <br />systems, through state sources. <br />n) Establishment of a "Mainstreets <br />Fund" to assist cities with non - <br />transportation related components of <br />trunk highway projects such as utility <br />upgrades and improvements that <br />contribute to economic development. <br />o) Funding to build roads to standards <br />that can accommodate the year-round <br />transport of heavy loads. <br />A sales tax exemption for materials <br />purchased for state and local road, <br />bridge, sidewalk, trail and transit <br />construction projects. <br />Authority for cities to impose <br />development impact fees for <br />transportation infrastructure. <br />r) Local funding options that would <br />allow cities to raise revenues for <br />roads, bridges, sidewalks, trails, and <br />transit. <br />s) Expanded use of alternative revenue <br />sources such as MnPASS and other <br />