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Senator amends gas tax bill to remove future increases

When a bill to increase the gas tax comes to the Senate floor later this month, lawmakers will only be asked to swallow a one-time 4-cent increase, which is significantly less than the original bill proposed.

Sen. Jim Rausch, a Derry Republican, amended his bill yesterday to take out future increases tied to the Consumer Price Index planned for every four years after critics said it would remove the public’s voice from future tax increases. The Senate Ways and Means Committee voted, 4-1, to support the bill, with Senate President Chuck Morse, a Salem Republican, casting the sole no vote.

The 4-cent increase, which would take effect this year, is projected to bring in $32 million, which the Department of Transportation will attempt to earmark for roads and bridges. The bill doesn’t dictate which projects the money will go toward, but Rausch said the department wants to use $12 million to reconstruct state roads in very poor condition, $13 million for pavement reconstruction of fair to poor roads and $7 million for state bridge projects, which would accelerate about nine such projects.

“You drive down our roads, this winter has been brutal,” Rausch said. “At this point, I think the 4 cents will be used wisely to help our road conditions.”

Rausch said the increase is a “user fee” rather than a tax, because the amount of miles people drive will determine how much the increase affects them.

To Morse, that difference in words is meaningless.

“The citizens of New Hampshire will end up paying it,” he said.

Before voting against the amended bill, Morse said the Department of Transportation’s budget has been adequately increased and that not every department can have all of the money it wants. He also expressed skepticism that all of the money would go toward roads and bridges because that is not written into the bill.

“If we’ve underfunded those budgets for every year that I’ve been here, shame on us,” Morse said. “That’s what’s being said out there – that we haven’t done our jobs. I don’t believe that.”

(Kathleen Ronayne can be reached at 369-3309 or or on Twitter @kronayne.)

Legacy Comments1

And the NH Republican party wonders why the can't win elections in NH anymore? Silly me, I thought Republicans stood opposed to tax increases and endless expansion of government. It is clear between the Morse support for medicaid expansion and the Rausch clown supporting a gax tax increase, the party stands for nothing...nice work!

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