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Public Statements

Issue Position: Gas Prices

By:
Date:
Location: Unknown

ON GAS PRICES

Our gas prices are among the highest in the region, in part because of our gas tax.

The gas tax currently accounts for more than half of state revenues dedicated for transportation projects like repairing bridges, repaving roadways, providing public transit, and constructing highways.

Capping the gas tax rate (as has been suggested by some in the General Assembly) without replacing the lost revenue, would likely cause costly delays in many of these critical transportation projects in the years ahead.

Currently, the gas tax is in part based on a 17.5 cent flat tax PLUS a percentage of the wholesale price of gasoline.

That means when the wholesale price of gasoline goes up, the gas tax increases too.

It does not make sense that the consumers get hit with this double whammy.

We need to have the gas tax rate tied to something much more stable, like actual transportation construction costs, instead of something so volatile as the ever-changing wholesale price of gasoline.


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