Alabama Gov. Kay Ivey’s (R) “Rebuild Alabama Infrastructure Plan” introduced Feb. 27 proposes a 10 cent-per-gallon fuel tax increase indexed to rising road construction costs and phased in over three years. The state’s current flat excise tax of 18 cents per gallon on gasoline and 19 cents per gallon on diesel has not been adjusted since 1992, while increased fuel efficiency, fleet makeup and inflation have combined with population and economic growth to increase demands on the state’s road system.
New revenue generated by the plan would be divided between state, county, and municipal governments to fund transportation improvements and preservation. A separate portion would finance improvements to ship channels at the port of Mobile. The combined investments will create jobs and spur industry growth, Ivey said.
The plan also aims to preserve public safety, which has become a severe concern for Alabamians amid increased road congestion. One-third of all traffic fatalities are estimated to be a direct result of a deficient roadway feature, according to the latest American Society of Civil Engineers report which graded Alabama roads a D+.
State Rep. Bill Poole (R – 63), who was instrumental in the plan’s crafting, will sponsor it during the 2019 legislative session, while Sen. Clyde Chambliss (R – 30) will carry the bill in the senate.