Tax Diversions

After Minnesota's new Democratic Gov. Tim Walz proposed a 20-cents gas tax hike over two years, even leaders in his own party were caught off-guard, but one-third of the tax increase will replace the diversion of general funds to roads.

March 14, 2019 - Minnesota Public Radio News

Repeal proponents have already planned a sequel for Proposition 6, regardless of whether the measure passes, resulting in the loss of over $5 billion annually from new transportation user fees, including a 12-cents per gallon gas tax increase.

August 8, 2018 - The Sacramento Bee

In a landmark, unanimous vote, the Texas Transportation Commission eliminated all 15 express lane projects from their 10-year capital plan despite pleas from Austin area officials to retain the $8 billion, I-35 project that includes four toll lanes.

December 19, 2017 - Austin American-Statesman

It's not funding Trump's much-talked-about infrastructure package, but the 2020 termination date of the FAST Act has state transportation officials urging Congress to hike fuel taxes to sustain the Highway Trust Fund.

July 24, 2017 - AASHTO Journal

Just past midnight on Saturday morning, the Indiana State Senate passed the transportation plan after the Housed approved it Friday. It also passed a $32 billion, two-year state budget bill, then adjourned for the year, one week ahead of schedule.

April 28, 2017 - Eagle Country

Both chambers of Tennessee's General Assembly approved Gov. Bill Haslam's transportation plan on April 19, which hikes diesel taxes by 10 cents per gallon but lowers other taxes. Indiana appears poised to follow with a 10-cent gas tax increase.

April 23, 2017 - The Tennessean

Writing that a $320 million transportation finance bill "violates my user-pay, pay-as-you-go philosophy toward transportation funding," Governor C.L. "Butch" Otter explained why he allowed the bill to become law without his signature.

April 17, 2017 - Idaho Mountain Express

Diverting billions of dollars of sales tax revenue from the state's general fund to the Texas Department of Transportation is taking a toll on other programs that lawmakers must fund.

February 27, 2017 - The Texas Tribune

Instead of voting on new taxes to reduce transportation revenue shortfalls, Illinois voters will decide on a constitutional amendment to ensure that transportation fees and taxes are only spent on roads and transit, the so-called "lockbox" measure.

May 11, 2016 - Chicago Tribune

With gas prices the lowest since 2009, ten state legislatures and governors consider raising state gas taxes, though many are accompanied by fiscally questionable tax shifts. Some tried and failed last year. All of the proposed increases are modest.

February 24, 2016 - Tax Justice Blog

Refusing to raise the 20-cent gas tax, creative Texas legislators have devised another scheme to divert existing revenue streams to roads. Last year it was a portion of the Rainy Day Fund. This year, from general sales and motor vehicle sales taxes.

September 17, 2015 - KCBD

A bill to increase both gas and diesel taxes by five cents in Alabama has passed its first committee on a voice vote and goes to the full House of Representatives on Thursday. The bill indexes both taxes using only two-cent increments.

September 16, 2015 - The Anniston Star

Anti-tax, business groups are backing plans to fill the road budget shortfall by increasing fuel taxes and registration fees, but they want general fund dollars diverted to the road budget as well.

August 25, 2015 - Sacramento Business Journal

The senate majority leader made clear that a mileage fee is not in the state's future. Diverting a half cent from the sales tax to the transportation budget took pressure off finding a sustainable solution to the state's transportation funding crisis

August 16, 2015 - CT Post

SB 16, Sen. Jim Beall's transportation funding bill that would hike gas taxes by 10 cents, diesel taxes by 12, and increase other fees, is stuck in the Senate, lacking one vote to pass.

July 10, 2015 - The Sacramento Bee

Now that voters have decisively rejected a sales tax measure that would have also hiked the gas tax, House representatives have proposed eliminating the state's Earned Income Tax Credit that benefits the working poor to help pay for roads.

June 15, 2015 - Record-Eagle

A transportation sales tax can be a designated state or local sales tax where revenues are used for transportation, or a sales tax applied to fuel sales. A bill in Minnesota would grab sales taxes paid on auto parts, car rentals and leases.

April 23, 2015 - KARE 11

Once again, rather than increasing the state's 20-cent gas tax (29 percent below the national average of 28-cents), policy makers seek to divert revenue to the state's ailing highway fund at the expense of the state's general fund.

March 2, 2015 - The Dallas Morning News

Under the transportation funding plan proposed by Assembly Speaker Toni Atkins, motorists would pay an annual road user charge of about $50 to help pay for the $59 billion in deferred highway and bridge maintenance that Gov. Brown noted recently.

February 20, 2015 - U-T San Diego

Plummeting oil prices means Texans are seeing savings at the gas pump, but they also mean reduced revenue due to Proposition 1, the November 4 ballot measure that diverted energy taxes from the state's rainy day fund to the transportation budget.

January 3, 2015 - The Dallas Morning News