Wisconsin Gov. Scott Walker Drops Gas Tax Hike in Favor of Bond Financing

Walker had supported increasing the gas tax and user fees last November, but now that he's being taken as a serious contender for the Republican nomination for president, he's changed his transportation funding preference to increased bonding.

2 minute read

February 3, 2015, 10:00 AM PST

By Irvin Dawid


Gov. Scott Walker's new transportation funding plan calls for increasing debt service while forsaking a pay-as-you go approach based on raising user taxes and fees, an abrupt change from what his transportation secretary had proposed in November. The governor "leads a big, tightly packed field of potential contenders in a new Des Moines Register/Bloomberg Politics Iowa Poll of likely Republican caucusgoers," according to The Des Moines Register.

"The [governor's transportation] plan, released (Jan. 30) to the Milwaukee Journal Sentinel, comes after Walker has spent more than a year calling for finding new long-term solutions for funding transportation," writes Patrick Marley of the Journal Sentinel. Relying on transportation bonds is not viewed as a long-term solution.

The plan will allow Walker to tout his opposition to raising taxes as he considers a possible run for president. But the increased reliance on borrowing to fund highways may not go over well with his fellow Republicans who control the Legislature.

Last November, his transportation secretary had proposed increasing the gas tax, largely by restructuring it to a wholesale sales tax, and increasing registration fees, i.e., creating a long-term financing plan based on increased user fees.

Roads are funded largely with gas taxes and vehicle registration fees. Paying past debt takes up about 19% of the state money that flows into the transportation fund each year. That percentage would rise under Walker's plan, though [Walker's] office did not provide specifics.

The new plan ignores the recommendation of his own transportation commission, which "recommended raising the state's gas tax by five cents and creating a mileage-based registration fee for drivers," wrote Kris Maher of The Wall Street Journal in February 2013. "Drivers would report their odometer readings when renewing their registration each year and pay a fee based on how many miles they drove."

Hat tip to AASHTO Daily Transportation Update.

Friday, January 30, 2015 in Milwaukee Journal Sentinel

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

Use Code 25for25 at checkout for 25% off an annual plan!

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.

May 7, 2025 - Diana Ionescu

People biking along beach path with moored ship in San Diego, California.

San Diego Adopts First Mobility Master Plan

The plan provides a comprehensive framework for making San Diego’s transportation network more multimodal, accessible, and sustainable.

May 2, 2025 - SD News

Front of Walmart store with sign.

Walmart Announces Nationwide EV Charging Network

The company plans to install electric car chargers at most of its stores by 2030.

May 7, 2025 - Inc.

Pump station with blue pipes coming out of concrete wall in Seattle, Washington.

Seattle Builds Subway-Sized Tunnel — for Stormwater

The $700 million ‘stormwater subway’ is designed to handle overflows during storms, which contain toxic runoff from roadways and vehicles.

May 13 - City Observatory

Sign for Deschutes National Forest in Oregon.

Feds Clear Homeless Encampment in Oregon Forest

The action displaced over 100 people living on national forest land near Bend, Oregon.

May 13 - The New York Times

Seeing the Better City

Is This Urbanism?

Chuck Wolfe ponders a recommended subscription list of Substack urbanists and wonders — as have others — about the utility of the "urbanist" moniker.

May 13 - Resurgence: A Journey via Substack

Urban Design for Planners 1: Software Tools

This six-course series explores essential urban design concepts using open source software and equips planners with the tools they need to participate fully in the urban design process.

Planning for Universal Design

Learn the tools for implementing Universal Design in planning regulations.