Lottery also debated at special session
State Rep. Steve Holland described the infrastructure bill being debated in the Mississippi legislature Thursday during a special session this way: “When you’ve got a dog that hasn’t ate in two weeks, he'll gnaw any bone you throw out there.”
His point was the state has ignored roads and bridges for so long that any additional funding is welcome.
Illustrating his point, the House nearly unanimously passed a bill Thursday afternoon — the vote was 108-5 — that would divert money from internet sales tax collections to cities and counties.
Also, a Senate committee passed a bill to start a state lottery Thursday. The full Senate was taking up the lottery bill as of press deadlines. This story will be updated on ColumbianProgress.com as new developments happen.
The proposed infrastructure legislation in the House would give 15 percent of the tax to cities, 15 percent to counties and 5 percent to permanently fund the LSBP program, which provides bridge money to counties.
The Clarion Ledger reported the internet sales tax, which is technically a “use tax,” generates about $320 million per year. That’s expected to grow as people continue to shop online more.
The 35 percent of that allocated for cities and counties would come out to about $112 million.
Counties would be required to match what they receive dollar-for-dollar, but they would receive credit for whatever amount they are already spending on infrastructure.
For cities, each of Mississippi’s 300-something cities would receive $10,000 and then the remainder of the money allocated for cities would be divided based on their sales tax collections and population.
The AP reported counties could only spend the money on roads and bridges, but cities could also spend it on water and sewer projects.
The bill would also create a tax of $150 per year on electric cars and $75 per year on hybrids, and it would put sports betting revenues toward infrastructure, although that’s not expected to be a large amount, according to the Clarion Ledger.
After passing the bill, the House recessed until 5 p.m. The Senate, which blocked a similar bill during the regular session this year, was expected to take it up later in the special session.
Along with the lottery, Gov. Phil Bryant said in a news conference Thursday morning that the plan is expected to generate $200 million per year for infrastructure.
The lottery would generate an estimated $40 million in 2020 and $80 million after that, State Sen. Willie Simmons, D-Cleveland said.
The bill would create the Mississippi Lottery Corp. overseen by a five-member board appointed by the governor.
