Virginia roads bill signed into law

The commonwealth of Virginia’s road construction fund was on a pace to run out in four years. But a landmark transportation-funding bill Gov. Bob McDonnell (R-Va.) ceremoniously signed Monday will generate $1.4 billion per year for Virginia’s roads and highways.

According to the Washington Post, the law changes the way Virginia raises funds for transportation, creating the first new revenue stream in nearly a generation to one of the nation’s largest and most congested road systems. The law cuts the fuels tax but allows it to rise with inflation. It raises the sales tax from 5 percent to 5.3 percent and allocates a portion of existing revenue to roads.

In addition, the bill raises funds for regional authorities in Northern Virginia and Hampton Roads for transportation projects in those congestion-prone areas.

“This bill is crucial to the future growth of Virginia’s economy, and this is a great day for job creation in the commonwealth,” McDonnell said.