Minneapolis

Dakota County Officials Sound Alarm Over Proposed Diversion of $14 Million in Transportation Funds

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Published on June 10, 2025
Dakota County Officials Sound Alarm Over Proposed Diversion of $14 Million in Transportation FundsSource: Unsplash/Jon Tyson

In a decisive move that has local leaders up in arms, Dakota County officials are calling for public resistance against a legislative proposal set to divert significant transportation sales tax revenue away from the county. The measure, part of a House-Senate Transportation Working Group's budget plan, was met with surprise and dissatisfaction by various county representatives, including Dakota County Board Vice Chair Laurie Halverson. According to Dakota County, the plan could see $14 million stripped from the county's coffers over two years and shift a total of $93 million from seven metro counties to the Metropolitan Council.

The redirection of funds, a stark departure from expectations, would decrease the counties' slice of the sales tax revenue pie from 17 percent to a mere 8.5 percent, with the remaining percentage going to the Met Council for the construction of new Bus Rapid Transit (BRT) lines in the metro area. "Our taxpayers expect you to deliver on your promise to invest in local projects that will modernize our transportation system," Halverson said, as stated by Dakota County.

Local projects at risk from the proposed legislation include road maintenance, improvements to pedestrian and bicycle infrastructure, and the expansion of the greenway system—an initiative that offers safe, scenic routes for non-motorized travel. Dakota County stands to lose roughly $14 million, threatening critical engineering and infrastructure efforts across multiple cities. Concern among local officials is growing, especially given that the Met Council neither requested the reallocation nor has an urgent financial need for the funds to complete already-planned BRT projects. Nonetheless, the proposed redirection remains a central point of contention.

The counties have made it clear that such a legislative maneuver would undermine regional progress and the delivery of transformational change within their transportation systems. Concerned about the breadth of impact on dozens of county projects, officials like Halverson are urging lawmakers to reconsider. “We sincerely ask you to remove the proposal that threatens county projects and reduces our ability to deliver on the promise of transformational change in our transportation system," Halverson expressed, as shared by Dakota County.