Iowa


State News


 

May 6 Weekly Roundup: Transportation Funding Cuts

Moody’s downgraded Kansas’s highway revenue bonds to ‘negative’ from ‘stable’ on May 3 after state lawmakers voted to redirect $185 million in sales tax revenue intended for transportation projects to reduce the state deficit. The bond rating service also lowered the...

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March 4: State News Roundup

State Legislative Activity The South Carolina Senate introduced a deal to increase transportation funding by $400 million, transferred annually from the state’s General Fund. The Senate will debate the bill on March 8. Read More. After passing competing bills, Indiana...

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Iowa Governor Approves State Gas Tax Increase

Iowa Governor Terry Branstad (R) on Feb. 25 approved a 10 cents-per-gallon state gas tax increase, the first in the state since 1989. The increase, effective March 1, is estimated to generate over $200 million for transportation funding in the next fiscal year. Before...

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cents-per-gallon

%

Alternative
Fuel Taxes

Excise tax:

  • Compressed natural gas (CNG): 31 cents-per-GGE
  • Liquefied natural gas (LNG): 32.5 cents-per-DGE
  • Liquefied petroleum gas (LPG): 30 cents-per-gallon
  • E85: 29.3 cents-per-gallon
  • Biodiesel: excise tax based on number of gallons of biodiesel blended fuel classified as B-11 or higher that is distributed in the state as expressed as a percentage of the number of gallons of special fuel for diesel engines of motor vehicles distributed in the state.

Fee/Tax in addition to Gas Excise Tax: Environmental fee (1 cent-per-gallon).

*Federal funding percentages are from an ARTBA analysis of FHWA Highway Statistics data, total ten year average 2004-2013 from tables SF-1 and SF-2. The percent is the ratio of federal aid reimbursements to the state and total state capital outlays and is indicative of the importance of the federal aid program to state capital spending for highways and bridges. Does not include local capital spending. Federal highway reimbursements are primarily used for capital outlays, including construction, right of way and engineering, but are also used for debt service for GARVEE bonds.