Will Other States Follow Wyoming's Lead In Raising Gas Tax?

Wyoming has gone where few states have gone recently - defied conventional wisdom that the 'gas tax is dead' and shown that it is very much alive with the Senate increasing the state excise tax by 71% (10-cents). Gov. Matt Mead is expected to sign.

2 minute read

February 17, 2013, 7:00 AM PST

By Irvin Dawid


If Gov. Matt Mead signs the tax increase bill which earlier passed the Assembly and cleared the Senate on Feb. 14 on a "18-12 roll-call vote after a lively third debate", the state excise tax on gasoline will increase from 14 cents to 24 cents effective July 1.  Joan Barron writes that "Mead has said he favors a tax hike as a means to create a steady revenue stream for highway and road repairs and construction."

Only Alaska has a lower state gas tax as shown by the Tax Foundation's Weekly Map: State Gasoline Tax Rates.  In fact, the Tax Foundation highlighted the state's low tax in a brief paper accompanied by a graph of its tax rate from 1923 to 2010 in nominal and 2012 cents.  

While most of the anticipated $71 million in new revenue for the 2014 fiscal year would go to state highways and county and city roads, state parks will also be the recipients of $1.2 million.  It will cost families about $112 annually.

A major issue in the debate was who should pay for road upkeep - trucks vs. cars, industry vs residents? 

The Wyoming Taxpayers Association, a major tax hike advocate, had been accused of having "been heavily lobbied for by a number of "commercial interests" during the debate on Feb. 14.  Other tax supporters included the Wyoming Association of Municipalities and the Wyoming Association of County Commissioners.

Sen. Charles Scott, R-Casper "said the real problem is the trucking industry has not been paying its fair share since the repeal of the per-ton-mile tax.  "I don't think we should raise the tax on people until we raise the tax on the industry that is causing the problem," he said.

Casper went on to blast the Wyoming Dept. of Transportation's " traffic circles as "inventions of the devil."  In reality, they are roundabouts - WYDOT has sought to educate drivers on how to use them on their website.

Senate Republican Majority Floor Leader Phil Nicholas "said the regional nature of the gasoline market means that by having lower fuel taxes than its neighboring states, Wyoming has subsidized lower prices in the other states. He said the state hasn't seen its lower tax rate reflected in lower pump prices at Wyoming filling stations."

"We all have constituents who frankly believe that they should pay no taxes -- that the mining industry, oil and gas, and coal should pay for everything," Nicholas said.

Another state to keep an eye on is Vermont where "lawmakers are considering increasing the statewide education property tax by 5 cents and creating a new sales tax on gasoline" according to WCAX-TV. 



Friday, February 15, 2013 in Casper Star-Tribune

portrait of professional woman

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching. Mary G., Urban Planner

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching.

Mary G., Urban Planner

Get top-rated, practical training

Close-up of "Apartment for rent" sign in red text on black background in front of blurred building

Trump Administration Could Effectively End Housing Voucher Program

Federal officials are eyeing major cuts to the Section 8 program that helps millions of low-income households pay rent.

April 21, 2025 - Housing Wire

Logo for Planetizen Federal Action Tracker with black and white image of U.S. Capitol with water ripple overlay.

Planetizen Federal Action Tracker

A weekly monitor of how Trump’s orders and actions are impacting planners and planning in America.

April 30, 2025 - Diana Ionescu

Ken Jennings stands in front of Snohomish County Community Transit bus.

Ken Jennings Launches Transit Web Series

The Jeopardy champ wants you to ride public transit.

April 20, 2025 - Streetsblog USA

Close-up of white panel at top of school bus with "100% electric" black text.

Driving Equity and Clean Air: California Invests in Greener School Transportation

California has awarded $500 million to fund 1,000 zero-emission school buses and chargers for educational agencies as part of its effort to reduce pollution, improve student health, and accelerate the transition to clean transportation.

April 30 - California Air Resources Board

Aerial view of Freeway Park cap park over I-5 interstate freeway in Seattle, Washington at night.

Congress Moves to End Reconnecting Communities and Related Grants

The House Transportation and Infrastructure Committee moved to rescind funding for the Neighborhood Equity and Access program, which funds highway removals, freeway caps, transit projects, pedestrian infrastructure, and more.

April 30 - Streetsblog USA

"No Thru Traffic - Open Streets Restaurants" sign in New York City during Covid-19 pandemic.

From Throughway to Public Space: Taking Back the American Street

How the Covid-19 pandemic taught us new ways to reclaim city streets from cars.

April 30 - Next City