5/3/05-An effort to charge oil companies serving fuel stations in the state a 5 percent franchise fee to help pay for road work is likely dead.
The bill failed to meet a May 1 deadline to pass the House. Now it will take a two-thirds vote in favor to restart the bill.
H3220, sponsored by Rep. Rex Rice, R-Easley, would raise $268 million a year for the South Carolina Department of Transportation.
Intended as an alternative to raising the state’s fuel tax on drivers, the 5-percent fee would be charged monthly to companies based on the amount of fuel sold to fuel stations, with the revenue earmarked for road improvements.
Half of the money generated through the franchise fee, about $134 million a year, would go toward repairs, with a primary focus on repaving roads.
The other $134 million would go toward the state’s larger road improvement projects.
H3220 also would allow SCDOT to sell bonds earmarking the franchise fee as a steady revenue source.

1/26/05-Rep. Rex Rice, R-Easley, has introduced a bill that would charge oil companies serving fuel stations in the state a 5 percent franchise fee to help pay for road work.
The bill would raise $268 million a year for the South Carolina Department of Transportation.
Intended as an alternative to raising the state’s fuel tax on drivers, the 5-percent fee would be charged monthly to companies based on the amount of fuel sold to fuel stations, with the revenue earmarked for road improvements.
Half of the money generated through the franchise fee, about $134 million a year, would go toward repairs, with a primary focus on repaving roads.
The other $134 million would go toward the state’s larger road improvement projects.
H3220 also would allow SCDOT to sell bonds earmarking the franchise fee as a steady revenue source.
For House bill status, call (803) 734-6720.
A similar Senate bill – S101 – is in the Senate Finance Committee.