Street light services are currently paid by a gas tax revenue called the Local Option Gas Tax (LOGT) and the City’s general fund. As automobiles continue to become more efficient and in some cases 100% electric, the LOGT fund will decline to the point where it could only cover construction costs for required transportation projects (i.e., new roadways, turn lanes, traffic signals, sidewalks, etc.).
Additionally, LOGT funds are allocated to municipalities based on the proportional share of transportation expenditures made by each municipality. Street light expenditures are an allowable expense from LOGT funds, but reduce the City’s ability to maintain and construct new roadways. By utilizing the street light assessment funding source, the ongoing costs of street lights can be covered and, at the same time, the City’s LOGT and general fund can be maximized.