On May 4, Governor Nathan Deal signed the Transportation Funding Act of 2015, a piece of legislation that should help the state do a better job of keeping up with the state’s highways and bridges. Funding for the $945 million act will come from an increase in gasoline sales tax, a $5 per day hotel/motel fee, a new user fee on electric vehicles, the elimination of the tax break for electric vehicle purchases and the elimination of the jet fuel tax break for Delta Air Lines.
The bill covers state roads, not city or county roads. Those governments will have an opportunity to partner together or through their own transportation referendums to fund local repairs. On the national level, the President and the Department of Transportation have proposed the Grow America Act, which would add $478 billion to the fiscal year 2016 budget for a six-year surface transportation reauthorization that invests in modernizing the national infrastructure.
With manufacturing on the rise and such a critical piece of Georgia’s economy, many view this legislation as a positive step for our manufacturing, distribution and transportation industries as well as a relief for those who experience some of our roadways in dire need of attention. Governor Deal said, “From the Port of Savannah and the Port of Brunswick to the hills of North Georgia and everywhere in between, businesses need good ways to transport their people and to transport their supplies and their finished product.”
For information from the Governor’s office read this press release https://gov.georgia.gov/press-releases/2015-05-04/deal-georgians-rise-transportation-challenges and for the full bill, click here.
Contact any member of the manufacturing industry accounting group or the distribution industry accounting group of Smith & Howard at 404-874-6244.