6/19/06-Gov. Jim Douglas has approved a new state budget that includes more money for transportation work throughout the state.
The budget bill – H869 – was intended to help the state pay for transportation projects and meet federal cost-sharing requirements. To receive the state’s full share of money appropriated by Congress for road and bridge projects during the next five years, the state is required to pay for 20 percent of the overall cost.
To help meet that requirement, Douglas sought to redirect about $28 million from the state’s education fund back to transportation. Lawmakers, however, said it wasn’t viable to take back the dollars for road and bridgework.
Another failed plan to match federal funding requirements was to include a 6-cent increase in the state’s per gallon diesel tax, which would increase it to 31 cents. The tax on gasoline would have increased 4 cents to 24 cents.
In the end, lawmakers agreed to charge residents higher fees for driver’s licenses and vehicle registrations to help pay for road and bridge work. They also decided to postpone certain projects and tap other general accounts. In addition, they shifted rest area expenses out of the transportation fund.

4/20/06-Lawmakers from the House and Senate began negotiations last week to figure out how to pay for road and bridge work in the state.
Debate in a conference committee will focus on whether taxes should be increased to help pay for transportation projects and secure federal funding.
The Democratic-led House approved a transportation budget that included a 6-cent increase in the state’s per gallon diesel tax, which would increase it to 31 cents. The tax on gasoline would increase 4 cents to 24 cents.
Republican Gov. James Douglas and senators, however, are against increasing fuel taxes. Instead, they want to raise $11.8 million from motor vehicle fees, postpone $4 million in project costs and tap other general accounts for $7 million.
The House plan also includes an increase in the motor vehicle fees that would generate $5.8 million.
If a solution can be found, the state would stand to claim $300 million during the next five years that Congress appropriated for Vermont under the condition the state pay its share of projects, up to 20 percent of the overall cost.
The budget bill is H869.
For bill status, call (802) 828-2231. In Vermont, call 1-800-642-3280.

3/22/06-The House voted 90-50 to approve a transportation budget that would increase the state’s per gallon taxes on gasoline and diesel by 6 cents for the next five years.
The budget bill – H869 – now heads to the Senate for further consideration.
For bill status, call (802) 828-2231. In Vermont, call 1-800-642-3280.

2/28/06-The House Transportation Committee voted 7-4 Feb. 23 to boost the state’s per-gallon tax for diesel from 25 cents per gallon to 31 cents and the tax on gasoline from 19 cents per gallon to 25 cents.
H869 has been forwarded to the House Ways and Means Committee for further consideration.
Revenue from nearly 8 cents of the fuel taxes would be allocated for local projects.
For bill status, call (802) 828-2231. In Vermont, call 1-800-642-3280.