Arkansas Gov. Asa Hutchinson (R) on March 12 signed into law legislation to raise the state gas tax by 3 cents-per-gallon and diesel tax by 6 cents-per-gallon (effective Oct. 1) and add an additional levy based on the average wholesale price of fuel. Senate Bill 336 also implements an annual registration fee of $200 for electric motor vehicles and $100 for hybrid motor vehicles, and transfers $35 million annually from casino revenues to the state’s transportation fund. The measure is projected to raise an additional $95 million annually for the state department of transportation and $13 million annually for cities and counties to use on local transportation projects.
This study analyses the campaign to increase Alabama’s transportation investment, examining who the major players were, why the state needed to increase revenue, and how organizations built a coalition and obtained bipartisan consensus. It explores several significant trends tracked by ARTBA-TIAC in recent years, including the importance of the governor acting as a champion of legislation, comprehensive research to support the need for increased funding, and more. Readers will walk away with best practices and strategies to utilize for their own state.