State News


Jan. 3: Nine States Adjust Gas Tax Jan. 1

The New Year brought adjusted motor fuel taxes to nine states, with seven states increasing their motor fuel taxes and two states decreasing the tax. Of the states that increased their motor fuel taxes, three of them—Florida, Georgia and North Carolina—did so based on...

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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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Feb. 29: State News Roundup

Current low fuel prices make it a “good time” to increase motor fuel taxes in order to fund transportation projects, according to a Ball State University Center for Business and Economic Research report released Feb. 15. The study concluded that businesses and...

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Feb. 19: State News Roundup

An additional $5 billion is needed over the next decade in order to address congestion problems on South Carolina’s interstates, Department of Transportation Officials said Feb. 10. Read More. Meanwhile, South Carolina Sen. Tom Davis (R-Beaufort) during a legislative...

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Feb. 5: State News Roundup

While some states move forward on transportation funding legislation, others grapple with transportation revenue shortfalls. State Transportation Funding Legislation Activity Hawaii Gov. David Ige included a plan to increase the state gas tax by 3 cents-per-gallon, as...

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Jan. 22: Weekly Roundup

Gas tax increases advanced in state legislatures, state transportation funding gaps were examined, a governor endorsed a gas tax increase, and more this week in state transportation funding news. Aging and underfunded infrastructure is the greatest concern for mayors,...

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Indiana Ballot Measure Results



Fuel Taxes

Electric Vehicle Fee: $150 (annual fee, indexed)
Hybrid Vehicle Fee: $50 (annual fee, indexed)

Excise tax:

  • Liquefied natural gas (LNG): 18 cents-per-DGE.
  • Compressed natural gas (CNG), butane, and propane: 18 cents-per-GGE.
  • The tax does not apply to nominal biodiesel blends of at least 20 percent (B20); special fuel used only for a personal, noncommercial use and not for resale; or biodiesel used by a biodiesel producer holding an exemption certificate.
  • Commercial vehicles pay a surcharge tax: $0.11 per DGE for LNG and $0.11 per GGE for CNG, butane, or LPG.

Fee: Alternative fuel vehicles (defined as vehicles using liquid petroleum gas only) require an annual decal.

Fee/Tax in addition to Gas Excise Tax: Seven percent gasoline use tax rate (charged in addition to the state’s flat excise gas tax), calculated by multiplying the statewide average retail price per gallon of the previous month (provided by Oil Price Information Service) by 7 percent, and then rounding to the nearest one-tenth of 1 cent. Tax is collected when a qualified gasoline distributor sells to a nonqualified distributor, and the tax is then included in gas price at the pump.

*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.