Cook and Schneider write:
House Speaker Brian Bosma’s plan would initially increase the state’s gasoline tax by 10 cents a gallon, resulting in a tax increase of $48 per year for the average Hoosier motorist.
The proposal also would create a new $15 per year fee on every vehicle registered in the state. Electric vehicles would pay more at $150 per year as a way to compensate for using less gasoline. Those fees are expected to generate an estimated $92 million per year with that funding going toward local roads.
“The overarching goal of the House Republican caucus this year is to have a sustainable, long-term and comprehensive road funding program," said Bosma, R-Indianapolis. "For far too long, we’ve kicked this can down the road and been concerned about a single session or a two-year term or the next administration. It’s time for us to think about the next generation."
The announcement amounts to the second year in a row House Republicans have sought tax increases to support long-term road funding. Last year, those plans were blocked by Senate Republicans and Gov. Mike Pence who were hesitant to support tax increases.
But this year, Senate leaders seem more open to the role tax hikes could play in highway funding, though Senate Republican leader David Long declined to comment Wednesday. Incoming Gov. Eric Holcomb has said “all options” were on the table and is expected to say more on road funding Thursday.
"I’m very encouraged by where we are all starting on the many important issues we’ll be discussing over the next several months," Holcomb said in a statement. "When it comes to road and bridge funding, we all share the same goal — creating a long-term, sustainable plan that strongly positions us for the future, and I’m confident we’ll have one before we adjourn."
The House GOP plan would send nearly $300 million in new dollars to state roads in 2018 and then $480 million in 2019, House fiscal leader Rep. Tim Brown said. An estimate by the nonpartisan Legislative Services Agency estimates higher revenue in 2019 at $540 million.
In 2018, the state would begin shifting more of the sales tax on gasoline to highway funding, a move that’s expected to raise more than $360 million when fully implemented in 2022, Brown said.
However, the shift would leave a hole in the state's general fund. Bosma made no commitment to plug the gap, but suggested lawmakers could look to increase taxes on cigarettes. Last year, House Republicans proposed to increase the tax by $1 per pack to help pay for roads.
Not surprisingly many true conservative republicans are opposed to Speaker Bosma's shafting of the taxpayers. The article goes onto say:
The conservative Americans for Prosperity-Indiana plans to oppose the tax hike through door-to-door visits with Hoosier voters, as well as by phone and mail. "Before any tax increases are discussed, gasoline sales tax revenue should be moved to a designated fund immediately, and spending should be frozen at current levels using a portion of revenue increases to fill the gap," state director Justin Stevens said. "Hoosiers overwhelmingly agree that if lawmakers aren’t using existing money to make roads a priority, they should not be trusted with more of our hard-earned paychecks.”
Legislative leaders say new revenue is needed because the state's 18 cents-a-gallon gasoline tax has not been increased since 2003. The introduction of more fuel-efficient vehicles since then has caused that revenue stream to stagnate.
The House plan also would increase the special fuel tax and motor carrier tax by 10 cents a gallon. It also would require the Indiana Department of Transportation to study the potential for tolls on existing interstate highways.
Justin Stevens makes an excellent point if our legislators are failing to use taxpayers money responsibly there is absolutely no reason to give them more of other peoples money to squander! This is another good pieces by Ms. Schneider and Mr. Cook. One point that nobody seems to be making though. Is back in 2006 when then Governor "Godfather" Mitch Daniels pushed his "Major Moves" legislation through it was sold as being able to take care of the state's road funding problems for decades. If that was true then the legislators need to be asked why in the name of hell do they need more money for roads now? Governor-elect Eric Holcomb also has come out in support of this plan. Not a surprise since Holcomb is a longtime tool of Mitch Daniels and his fake republican cohorts who have done nothing but enrich themselves by draining the lifeblood out of hoosier taxpayers! It is long past time that Brian Bosma should be put out to pasture. He has done nothing but enrich himself and try to hide lawmakers emails from the voters. Someone needs to ask what he is afraid that taxpayers will see. Let's all keep our eyes trained on dear old Brian and see what other nonsense he tries to pull!
We urge our readers to contact Chelsea Schneider & Tony Cook and urge them to keep digging into Brian Bosma's agenda and how it will impact all of us. Here is their contact information:
Chelsea Schneider (317) 444-6077. Twitter: @IndyStarChelsea.
Tony Cook (317) 444-6081. Twitter: @indystartony.
