Jan. 10: New Jersey Gas Tax Legislation and Lockbox Ballot Measure Case Studies Now Available
In 2016, New Jersey lawmakers and voters approved two measures to significantly advance transportation funding within the state. The Transportation Investment Advocacy Center’s™ (TIAC) latest case studies explore how and why New Jersey lawmakers passed a measure to increase motor fuel taxes, and one month later, how residents approved a lockbox to protect motor fuel tax revenue. The reports also review the history of the state’s transportation funding, the factors that contributed to its funding shortfall, and major players involved in the campaigns.
On Oct. 7, 2016, New Jersey lawmakers approved legislation to increase the state gas tax by 23 cents-per-gallon and the diesel tax by 27 cents-per-gallon (effective Nov. 1, 2016) in order to generate $2 billion annually in new revenue for transportation infrastructure. Combined with matching federal funds and bonds, the legislation is expected to enable $32 billion in transportation investment over the next eight years. As a compromise to balance the tax increase, the measures also include several tax cuts.
On Nov. 8, 2016, New Jersey voters approved a measure to constitutionally dedicate all revenue derived from the sale of motor fuels—including the motor fuel excise tax and the Petroleum Products Gross Receipts tax—to the state’s Transportation Trust Fund, to be used exclusively for transportation infrastructure purposes.
The TIAC staff researches and prepares detailed case studies of recent successful—and unsuccessful—state and local legislative and ballot initiative campaigns aimed at increasing transportation infrastructure investment. For each case, the studies dig into the politics, issues, media and major players involved in the effort. To view other case studies, visit the ‘Campaign Case Studies’ tab on the TIAC website.
TIAC attempts to track all ongoing state and local transportation funding and financing developments in real time and reports on them frequently through TranspoAdvocate News. If you would like to contribute information to this effort, please contact the TIAC staff.