The Minnesota Department of Transportation took a notable loss of $155 million in its highway income due to the COVID-19 pandemic. | Image Source: flickr.com - Credit: Marco Verch
The Minnesota Department of Transportation took a notable loss of $155 million in its highway income due to the COVID-19 pandemic. | Image Source: flickr.com - Credit: Marco Verch
The Minnesota Department of Transportation (DOT) took a notable loss of $155 million in its highway income due to the COVID-19 pandemic, Finance&Commerce reported.
The pandemic-related losses in the important income sources made the Minnesota Department of Transportation’s highway assets drop significantly. Reports prognosticate that the losses will rise by the end of the year.
However, the department assumed that the losses would be more than they were. After the introduction of the COVID-19 crisis, the DOT refreshed its estimate for the years 2020 and 2021 in May.
The new calculations showed that the department would see a 20% drop which adds up to $300 million in the Highway User Tax Distribution Fund.
Meanwhile, it’s been “a little less bad than forecasted,” the DOT Budget Director Josh Knatterud-Hubinger said during the Transportation Alliance’s annual meeting on Nov. 12.
According to the press release, the department witnessed an approximate 10% hit from April to October of this year. That was a little less than $155 million.
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