CEO DATELINE - Associations spar with conservatives on gas tax
CEO DATELINE - Associations spar with conservatives on gas tax
- March 17, 2015 |
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Walt Williams
Groups say bill would shift cost of transportation upkeep to states
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A transportation funding proposal being pushed by several conservative activist groups would force states to raise fuel taxes by an average of 23.5 cents per gallon, a coalition of transportation and construction associations said Monday.
At issue is the Transportation Empowerment Act, a proposed law sponsored by two Republican House members that would transfer almost all federal authority on highways and transit programs to the states. As a result, it would lower the federal gas tax from 18.4 cents to 3.7 cents over a five-year period. http://1.usa.gov/1BQq4Bm
Heritage Action, Club for Action and other conservative groups back the bill. But the Transportation Construction Coalition said all the legislation does is shift the burden of paying for highway and bridge construction and upkeep to the states, and rural states would be hardest hit.
Alaska would need to raise state gas tax by $1 a gallon to maintain current transportation funding levels, according to the coalition. Montana would need to raise its tax by 44.5 cents per gallon, while West Virginia would need a raise of 32.5 cents per gallon.
"It would be, at best, irresponsible for a member of Congress to put their name on this legislation unless they first commit to leading the charge in their state to raise their gas tax, or other state taxes, or cut other specific state programs to fill the funding gap this legislation would create," said Pete Ruane, coalition co-chair and CEO of the American Road & Transportation Builders Association.
"All this legislation would do is force drivers to pay more at the pump without delivering any improvements to the quality of safety of the roads and bridges they use," said Stephen Sandherr, coalition co-chair and CEO of the Associated General Contractors of America.
Other coalition members include the American Iron and Steel Institute, American Subcontractors Association, National Electrical Contractors Association and National Stone, Sand and Gravel Association.http://bit.ly/1O2DZtf