A Nov. 6 California ballot measure will decide whether to mandate a state referendum for any gas tax increases, retroactive to January 2017. The immediate impact would be the repeal of Senate Bill (SB) 1, which raises an estimated $5.2 billion annually for...read more
Updated resource: Read ARTBA-TIAC’s “State Motor Fuel Tax Increases: 2013 - 2018” handout to learn about the 27 states that have raised or adjusted their gas taxes since 2013. A spokesman for the Michigan Department of Transportation (MDOT) said that federal funding...read more
Dozens of Georgia transportation projects do not have sufficient funding to move forward, according to a May 31 report by The Road Improvement Program (TRIP). Read More>> The Oklahoma legislature’s diversion of transportation revenue to balance the general fund...read more
The California Department of Transportation (Caltrans) expects its staff to swell by 10 percent over the next five years, adding 2,000 employees as it works on projects funded by the new gasoline tax in Senate Bill 1. Caltrans began escalating its hiring efforts a...read more
A Wisconsin project to build a $10 billion Foxconn Technology Group plant in the southeast region of the state could reduce road funding for state projects by $90 million, the nonpartisan Legislative Fiscal Bureau said in a memo to Democratic lawmakers on Feb. 28....read more
Connecticut Gov. Dannel Malloy (D) on Jan. 31 released a proposal to stabilize the state’s dwindling Special Transportation Fund by increasing the state gas tax by 7 cents-per-gallon (phased in over four years), implementing statewide electronic tolling over the next...read more
Washington state gas stations on Oct. 30 began posting legislatively-required stickers that explain the 68 cents-per-gallon federal and state gas tax to consumers. All state fuel pumps will receive the stickers over the next three years, which amendment sponsor Rep....read more
A Mississippi bridge with a posted weight limit collapsed Aug. 28 when a truck that may have weighed more than the limit crossed it. Read More>> Pennsylvania House Republicans proposed a state revenue plan on Sept. 5 that would reallocate funding from a variety...read more
South Carolina Gov. Henry McMaster (R) vowed on April 4 to veto any legislation that includes a state gas tax increase. Instead, the governor urged lawmakers to approve bonds for highway construction. The legislature approved $1 billion in bonds in 2013 and $2 billion...read more
Indiana House Democrats announced a plan on Feb. 6 to increase transportation funding by $800 million to $900 million annually by dedicating the annual state agency budget reversions toward state and local funding; ensuring all motor fuel taxes—including the state...read more
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...read more
by Carolyn Kramer, Transportation Investment Advocacy Center Manager A new analysis of eight states that passed legislation to increase their state motor fuel taxes in 2015 to pay for important new transportation improvements shows that 98 percent of Republican and...read more
Four states express transportation funding concerns, while one organization proposes a solution to their state's transportation funding shortfall. Facing concerns that the state legislature will not reach a long-term transportation funding agreement this session, the...read more
Preliminary election results show that voters approved $7 million in transportation funding on local ballots in two states March 8. Two additional ballots failed to pass voter consideration. In Michigan, three townships voted on transportation funding increases....read more
Forty-four bills to increase transportation funding have been considered in 23 states so far in the 2016 legislative session, according to an updated report from the Transportation Investment Advocacy Center. Of those considering methods to increase transportation...read more
Michigan Ballot Measure Results
- 12 cents-per-gallon for diesel fuel containing a minimum of 5 percent biodiesel or at least 70 percent ethanol.
Note: 2015 legislation will make future changes to the taxation of alternative fuels, hybrids, and electric vehicles. New annual registration fees (beginning Jan. 1, 2017):
- $30 for vehicles weighing 8,000 pounds or less.
- $100 for vehicles weighing over 8,000 pounds.
Electric-only vehicles (nonhybrids):
- $100 for vehicles weighing 8,000 pounds or less.
- $200 for vehicles weighing over 8,000 pounds.
New alternative fuel dealer license (beginning Jan. 1, 2018): $500
Increased taxes on alternative fuels (beginning Jan. 1, 2017 for commercial drivers and Jan. 1, 2018 for noncommercial drivers): Convert alternative fuels to their MFGE, based off of the energy equivalent to motor fuels.
Use: Deposited into State Treasury to the credit of the state transportation fund.
Source: Michigan Compiled Laws 207.1143, Michigan Compiled Laws 207.1008
** Variable-Rate Formula: Flat excise tax of 19 cents-per-gallon, plus an additional 6 percent general sales tax on motor fuel
purchases. Additional 4.875 cents-per-gallon- Delivery and Distribution charges & Evaporation Credit & MUSTFA fee.
Beginning Jan. 1, 2017 legislation signed into law in 2015 will increase the state gasoline and diesel taxes to 26.3 cents-per-gallon (an increase of 11.3 cents-per-gallon for diesel and 7.3 cents-per-gallon for gasoline).
Starting Jan. 1 2022, the legislation will annually adjust the state motor fuel tax rates based off of changes in inflation as reported by the Consumer Price Index.
*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.