Arkansas Trucking Association

You are here: Home News In Brief Governor Signs Arkansas Highway Plan into Law

Governor Signs Arkansas Highway Plan into Law

 

Arkansas Govenor Asa Hutchinson

The Legislature's special session on highways came when Gov. Asa Hutchinson signed a highway funding plan into law that will raise nearly $50 million for the state's highways in the coming year and qualify the state to receive an additional $200 million annually in federal matching highway funds.

The plan utilizes $40 million from Arkansas's surplus, $1.5 million investment returns and ends a requirement that $8.4 million from a half-cent sales tax for roads go toward a fund for constitutional officers.

After this year, $20 million in investment earnings and a quarter of the state's surplus will be designated for roads. Money raised by road users will be reserved for infrastructure as an annual $4 million in diesel tax revenue will no longer be directed to general revenue starting July 1, 2017.

Though democrats and a handful of republicans criticized the plan for being short-term and relying upon surplus funds that cannot be guaranteed each year, there was no traction for an alternative plan to raise fuel taxes. Hutchinson and the majority-GOP were opposed to any tax increase without an equal tax cut somewhere else.

Senate Minority Leader Keith Ingram (D-West Memphis) criticized the plan, "I think it creates a lot of problems potentially for the budget down the road, and I think a lot of people – certainly the transportation committee – were ready to address the problem on a long-term basis instead of this one-year-at-a-time deal where you can’t make any plans. It’s not a good way to conduct business."

While signing, the Gov. commented, “I actually believe that … we’ve got a pretty good plan for the next five years here."

Save

Contact Us

Arkansas Trucking Association
PO Box 3476 (72203)
1401 West Capitol Ave.
Little Rock, AR 72201

(501) 372-3462 | Phone
(501) 376-1810 | Fax

Our Mission

  • PROTECT the collective interests of trucking companies in the political and regulatory arenas.
  • PROMOTE the dynamics of trucking so that people have a better understanding of the link between America's primary freight delivery system and the standard of living they enjoy.
  • SERVE our members to help them to grow their business and their profits
You are here: Home News In Brief Governor Signs Arkansas Highway Plan into Law