6/5/09-Gov. Jim Douglas signed a $540 million transportation budget that allows for the state’s fuel taxes to increase about 3 cents per gallon.
A 2-percent tax on wholesale gas prices took effect June 1 rather than the more usual July 1 start date. Declining transportation revenue was cited for moving up the effective date.
The wholesale increase equates to a 3.3-cent-per-gallon boost that brings the state’s tax rate on gas to 22.3 cents. The diesel tax is 26 cents per gallon.
The tax on gas will be figured quarterly at a per-gallon rate based on the average prices charged to distributors. That rate starts at 3.3 cents and will be adjusted July 1 for the first quarter of the new fiscal year.
A 3-cent-per-gallon diesel tax increase won’t take effect until Oct. 1. Combined with the higher gas tax rate, the fees will raise about $13 million in fiscal year 2010.