2/4/10-The Senate Transportation Committee voted unanimously to kill a bill that targeted more transportation funds by raising fuel taxes over two years, increasing vehicle registration fees and the excise tax on vehicles.
Sen. Mike Vehle, R-Mitchell, requested that his bill be rejected. He cited lawmakers’ unwillingness to endorse such a measure during an economic downturn.
SB1 included a provision to increase the state’s 22-cent-per-gallon fuel tax by 6 cents. As introduced the bill included a 10-cent increase, but Vehle trimmed that to 6 cents late last month. Half of the increase would have been imposed May 1 this year and the other half in 2012.
Other provisions called for increasing the average license fee by $18 and the excise tax on vehicles sales by 1 percent.

1/13/10-A bill in the Senate Transportation Committee is targeting more transportation funds.
SB1 includes a provision to increase in the state’s 22-cent-per-gallon fuel tax by 10 cents per gallon. Half of the increase would be imposed May 1, 2010, and the other half in 2012.
Other provisions call for increasing license fees to raise $62 million for cities and counties, and increasing the excise tax on vehicles sales by 1 percent to raise $19 million.
For bill status, call 605-773-3251.

1/6/10-The first Senate bill to be prefiled in anticipation of the start of the regular session, which begins next week, is targeting more transportation funds by raising fuel taxes over two years, increasing vehicle registration fees and the excise tax on vehicles.
The initiative is led by nearly a dozen lawmakers from both parties. Each one was a member of a special interim panel that studied highway money during the summer. The group decided to pursue this legislation – SB1 – during the 2010 session.
With the state in need of more than $240 million a year for road funding, the lawmakers spent the summer looking at multiple options to help bridge the gap.
Among the provisions endorsed by the interim panel, thus making it to the bill, is an increase in the state’s 22-cent-per-gallon fuel tax by 10 cents per gallon. Half of the increase would be imposed May 1, 2010, and the other half in 2012.
Boosting the current rate to 32 cents per gallon would generate $57 million for the state’s transportation system.
Other provisions call for increasing license fees to raise $62 million for cities and counties, and increasing the excise tax on vehicles sales by 1 percent to raise $19 million.
While there is some bipartisan support for the tax and fee increases, passage is likely to be a difficult task. A two-thirds majority of lawmakers would need to endorse the effort to approve it. Backing such hikes during an election year could be an intimidating task for lawmakers.
The bill can be considered during the session that convenes Monday, Jan. 12.