Haslam: Return gas tax element to transportation proposal

Mar 3, 2017

Credit fuelgaugereport.aaa.com

  NASHVILLE, Tenn. (AP) — Gov. Bill Haslam is lauding lawmakers for advancing his plan to begin tackling Tennessee's more than $10 billion backlog in road and bridge projects, but the Republican wants to see his bill returned to its original form that includes boosting funding through fuel tax increases.

Haslam told The Associated Press on Thursday that he doesn't want Tennessee to become the only state in the country to subsidize its road program through revenues raised for the general fund.

The governor argues that while almost all general fund taxes are paid for by Tennesseans, about half of fuel taxes are paid for by out-of-state drivers and trucking companies.

Haslam's original plan calls for a hike of 7 cents in the tax paid on each gallon of gasoline, and 12 cents on diesel.