Iowa bill re-establishes state aviation fund
The Iowa Senate Appropriations Committee has approved a bill that would re-establish a state aviation fund to provide money for airport improvements. The provisions of the bill (Senate File 2400) would be phased in over two years, with 50 percent of aircraft registration fees and 100 percent of excise taxes on aviation fuels being deposited into the fund in fiscal year 2008. Beginning in fiscal year 2009, all of the aircraft registration fees and excise taxes would be deposited into the fund. Iowa had a dedicated aviation trust fund until 1999, at which time the money in the fund was routed back into the general fund. Sens. Steve Kettering and Steve Warnstadt have been working for some time to re-establish the fund.
April 14, 2006