Introduced
by
To replace the current 19-cent per gallon gas tax and 15-cent diesel tax with a 7.5 percent wholesale fuel tax, gradually increasing to 13.5 percent over six years, and allocate all the increased revenue to roads rather than municipal bus subsidies and other transit spending. House Bill 4318 would phase out the state sales tax on fuel sales over the same period, and the two bills are “tie-barred,” meaning one cannot become law unless both do. At current prices a 7 percent wholesale tax would extract approximately the same as the current 19 cent per gallon gasoline tax, and increase the current 15 cent per gallon tax on diesel to the same rate.
Referred to the Committee on Government Operations
