One of the major components in the just passed Tax Extender’s legislation this week was a nine cent increase in the barge tax. That money goes to the inland waterways trust fund used to pay for infrastructure upkeep and development. Soy Transportation Coalition Executive Director Mike Steenhoek says it’s a good first step in helping fund an aging inland waterway system critical to shipping ag exports.
Steenhoek says for soybean and corn exports the Mississippi Gulf is the largest port region and this funding is important to getting those out to our customers.
The Inland Waterways Trust Fund annually generates between $ 75 to $ 85 million and those funds are matched by the federal treasury. Each one cent increase in the Inland Waterways Tax equates to $ 3 to $ 4 million of additional revenue each year.