Money that is collected to advance a specific goal should be spent only for that purpose, not for unrelated state projects: this is the basis for recently introduced legislation. Currently, 30% of the solid waste tax that is collected to aid local recycling efforts is diverted to the state’s general fund, putting a huge burden on local officials who must balance their budgets and increase their recycling rates. Under a new proposal, 100% of the collected money would go to the Minnesota Pollution Control Agency’s (MPCA) Environmental fund for recycling grants to counties.
The chief author of the bill, State Senator Carrie Ruud (R-Breezy Point) said dedicating the tax for solid waste activities makes sense for Minnesota. “I call it the trash tax. It pays for recycling efforts as we run out of landfills. Many people don’t realize they are paying this tax on their garbage bill. Homes and businesses pay this tax and part of it is being spent on non-related state projects. That’s not right.”
“The costs of recycling programs are putting pressure on county budgets, which get passed onto residents through property taxes. By returning 100% of the solid waste tax to the Environmental Fund for recycling grants to counties, these counties will have more resources to support their programs and help their communities,” added Ruud.
Counties are covering over $50 million in recycling costs out of their own budgets each year funded by property taxes, while the state has set aggressive recycling standards for metro and rural counties that continue to increase costs. Dedicating the total solid waste tax revenue to counties will help cities and towns cover the costs of their programs, without passing costs onto residents through increased property taxes.
“Minnesota counties are very committed to meeting the aggressive environmental goals established by the legislature, said Ramsey County Commissioner Victoria Reinhardt, Chair of the County Partnership on Waste and Energy. “But right now, counties are spending 5 to 6 times more than we receive from the state. Correcting the solid waste tax distribution will help local governments achieve recycling standards.”
Senator Ruud’s bill would deposit 75% of solid waste tax receipts into the Environmental Fund for recycling in 2020 and 2021; 80% in FY 2022 and 2023 and 100% thereafter.
Senator Ruud added “If you want your solid waste tax to fully fund its purpose, contact your state legislators and ask them to support SF 1227 and HF1215.
For information on this or any legislation, please contact Senator Ruud at 651-296-4913 or by email at sen.carrie.ruud@senate.mn.