Just before adjourning for the year, the Republican-controlled Utah House and Senate settled on a compromise—increase the gas tax by a nickel; the first hike in 18 years. Gov. Gary Herbert, also a Republican, has indicated he will sign the bill.
The Utah State Legislature's 2015 General Session ended on March 12 with an historic settlement between the two branches to "address (the) projected $11.3 billion shortfall for key road projects through 2040," writes Lee Davidson of The Salt Lake City Tribune. "Gov. Gary Herbert has supported the approach taken by the compromise, indicating he would likely sign it." Herbert was quoted in a post last month on governors resorting to increasing gas taxes out of necessity to maintain transportation infrastructure:
"Nobody wants to raise a tax," [Republican] Utah Gov. Gary Herbert said on C-SPAN last month. "My gosh, that's the worst thing you can do as a politician. But the practical realities are, we've got to do something."
After "raising the gas tax by about 5 cents a gallon on Jan. 1, 2016," writes Davidson, it would convert it to a wholesale fuel sales tax.
The compromise adopts a House proposal to convert the current [24.5 (PDF)] cents-per-gallon gas tax into a system similar to a sales tax. That allows the tax collected at the pump to increase automatically when gas prices rise.
The Senate had hoped to raise the gas tax by 10-cents [S.B. 160]. The House was against any gas tax hike.
The deal would impose a 12 percent tax on the wholesale price of gasoline, adjusted once a year.
Those adjustments are conditional upon the "the wholesale price of gasoline reaches $2.45 a gallon, which is not projected to happen for six to 10 years," according to Rep. Johnny Anderson, R-Taylorsville.
While the tax hike is of great significance to meeting the state's infrastructure needs, the five cent increase will likely put the Beehive State just below the current state average of 30-cents per gallon when it takes effect next year.
"The deal has a cap to ensure the gas tax does not rise above 40 cents a gallon over time," notes Davidson.
Public opinion NOT on their side
As we noted in January, recent polling showed that only 30-35 percent of Utahs residents supported increasing the gas tax, but that does not appear to have deterred supporters. The photo on top of Davidson's piece shows a rally to support the gas tax legislation. One member in in the crowd holds a sign, "Fix the $11.3 billion pothole".
Raising gas taxes to fund infrastructure is non-partisan
"The Republicans currently have super-majorities in both the [Utah] House and Senate," according to Wikipedia."They control the House by a margin of 63-12 and the Senate by 24-5."
If Gov. Herbert signs the five-cent gas tax hike bill, he will be the second Republican governor to have signed gas tax increase legislation this month. Iowa Gov. Terry Branstad signed a 10-cent increase on March 1.
Hat tip to AASHTO Journal.
FULL STORY: Utah Legislature: Compromise increase in gas tax OK’d at eleventh hour
A Small but Significant Fuel Tax Hike for Arkansas
The 3 cent gas tax and 6 cent diesel tax increases are among the lowest of any states that have hiked fuel taxes since 2013, but combined with other revenue sources in the legislation, plus an upcoming sales tax ballot measure, it's historic.
West Virginia Becomes the Seventh State to Hike Gas Taxes, But Not by Much
Democratic Gov. Jim Justice signed legislation to increase its 32.2 cent state gas tax by about 3.5 cents per gallon and add substantial hybrid and EV fees. He also signed legislation to increase and expand road and bridge tolling.
Utah's New Years Day Surprise: Nickel Gas and Diesel Tax Increase
The fuel tax increases in the Beehive State by 4.9 cents on Friday. But don't count on gas prices increasing. Not only are prices dropping due to plummeting crude oil prices, but service station owners may be reluctant to pass on the increase.
Planetizen Federal Action Tracker
A weekly monitor of how Trump’s orders and actions are impacting planners and planning in America.
Chicago’s Ghost Rails
Just beneath the surface of the modern city lie the remnants of its expansive early 20th-century streetcar system.
San Antonio and Austin are Fusing Into one Massive Megaregion
The region spanning the two central Texas cities is growing fast, posing challenges for local infrastructure and water supplies.
Since Zion's Shuttles Went Electric “The Smog is Gone”
Visitors to Zion National Park can enjoy the canyon via the nation’s first fully electric park shuttle system.
Trump Distributing DOT Safety Funds at 1/10 Rate of Biden
Funds for Safe Streets and other transportation safety and equity programs are being held up by administrative reviews and conflicts with the Trump administration’s priorities.
German Cities Subsidize Taxis for Women Amid Wave of Violence
Free or low-cost taxi rides can help women navigate cities more safely, but critics say the programs don't address the root causes of violence against women.
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.
planning NEXT
Appalachian Highlands Housing Partners
Mpact (founded as Rail~Volution)
City of Camden Redevelopment Agency
City of Astoria
City of Portland
City of Laramie