Leaders in the state House unveil their much anticipated plan for coming up with $1 billion to fund transportation and, for the first time, transit is part of the package.

“We’re putting a $100 million bond in the budget to go to transit; we’ve never made any kind of investment in transit like that before,” says Rep. Jay Roberts, chair of the House Budget Committee.

Part of the bond money would also go to pay for maintenance and repair of the state’s aging bridges.

The plan also calls for doing away with all sales tax on gasoline and instead shifting to an excise tax only of 29.2 cents per gallon.

Roberts says consumers would not see a significant increase at the pumps, but the shift would bring in $60 million from the trucking industry.

County governments would no longer receive the 3 percent sales tax from the purchase of fuel but would be allowed to impose their own excise tax of 3 cents as long as the money would be used only for transportation.  An additional 3 cents could be approved through a referendum.

Special purchase local option sales taxes (SPLOST) would be allowed to expire under the bill.

Clint Mueller with the Association of County Commissioners of Georgia says it remains to be seen how local officials will react. But rural counties will likely be affected more than others.

“I’d say on average (in) most of the counties, motor fuel makes up 5-10 percent of their sales tax revenues but we do have those exceptions were it makes up a higher percentage,” he tells WSB’s Sandra Parrish.

The bill would also impose user fees on alternative fuel vehicles which would also go to fund transit. Commercial vehicles that run on electricity, propane, or natural gas would be charged a $300 fee while non-commercial vehicles would be charged $200.

House Speaker David Ralston calls it a good first step in meeting the state’s transportation needs.

“This plan will provide more than $1 billion annually in new transportation dollars,” he says.  “It does not result in an increase in state taxes on Georgians.”

Gov. Nathan Deal issued a statement calling the plan a positive step.

“There’s still a long way to go as the plan winds through the General Assembly, but we now have a starting point and something to build on,” he says.