Utah Gas Tax Tries To Keep Pace With Roads, Drivers

With budgets sinking and transportation needs rising, Utah legislators consider passing a $.05/gal tax increase on gasoline. In better economic times, sales tax revenues were diverted to transportation projects, but the door has recently begun to swing the other way. Last year, lawmakers took nearly $100 million from the transportation fund to balance the budget, and the governer has proposed taking more this year increase public education funding. UDOT officials proposed the tax hike based on a Utah precendent of periodic gas tax increases. Residents and businesses worry about the impact of any tax increase now, and it seems unlikely that the issue will be pressed during this year, an election year. Utah currently has the 18th highest fuel tax rate, and the increase would raise it to 9th.