Wednesday, January 28, 2015
FAIRFIELD-SUISUN, CALIFORNIA
99 CENTS

Senators propose 12-cent gas tax increase

By
From page B6 | June 19, 2014 |

WASHINGTON — Two senators unveiled a bipartisan plan Wednesday to raise federal gasoline and diesel taxes for the first time in more than two decades, pitching the proposal as a solution to Congress’ struggle to pay for highway and transit programs.

The plan offered by Sens. Chris Murphy, D-Conn., and Bob Corker, R-Tenn., would raise the 18.4-cents-a-gallon federal gas tax and 24.4-cents-a- gallon diesel tax each by 12 cents over the next two years, and then index the taxes to keep pace with inflation. The increase would be applied in two increments of 6 cents each.

The plan also calls for offsetting the tax increases with other taxes cuts. Senators said that could be done by permanently extending six of 50 federal tax breaks that expired this year, but they indicated they would be open to other suggestions for offsets.

The plan was immediately embraced by industry and transportation advocacy groups seeking a long-term means to keep the federal Highway Trust Fund solvent. However, it would require a lot of heavy lifting from Congress in the politically-charged atmosphere of an election year to pass such a plan before late August, when the trust fund is forecast to go broke.

Senate Finance Committee Chairman Ron Wyden, D-Ore., has indicated he’s looking for means to shore up the fund for about the next six months while working on a long-term plan. That would move debate on a gas tax increase or some other revenue-raising scheme to after the mid-term election in November.

Revenue from gas taxes and other transportation user fees that for decades hasn’t kept pace with promised federal transportation aid promised to states. People are driving less per capita and cars are more fuel efficient, keeping revenues fairly flat. At the same time, the cost of construction has increased, and nation’s infrastructure is aging, creating greater demand for new and rebuilt roads and bridges.

The last time federal gas and diesel taxes were increased was in 1993 as part of plan to reduce the federal budget deficit. Republicans castigated Democrats for the tax increase, and it was a factor in the GOP takeover of the House and Senate the following year.

Since then, lawmakers have been reluctant to raise fuel taxes despite calls from several blue-ribbon commissions to do so.

“For too long, Congress has shied away from taking serious action to update our country’s aging infrastructure,” Murphy said in a statement. “We’re currently facing a transportation crisis that will only get worse if we don’t take bold action to fund the Highway Trust Fund.”

Sen. Tom Carper, D-Delaware, who attempted to increase the gas tax increase in 2010, said he was glad to see the idea “gaining more bipartisan support.”

Since 2008, Congress has repeatedly dipped into the general treasury for money to keep the trust fund solvent, sometimes waiting until the government was the verge of slowing down payments to states. States have complained that the uncertainty over whether federal aid will be forthcoming has limited their ability to commit to larger projects that take years to plan and construct.

“Congress should be embarrassed that it has played chicken with the Highway Trust Fund and allowed it to become one of the largest budgeting failures in the federal government,” Corker said.

The six expired tax breaks identified by the senators as possible offsets for fuel tax increases are a research and development tax credit, certain expensing by small businesses, the state and local sales tax deduction, increasing employer-provided transit benefits to the same level as parking benefits, a deduction for spending by teachers on classroom supplies, and an increased deduction for land conservation and easement donations.

 

The Associated Press

The Associated Press

LEAVE A COMMENT

Discussion | No comments

The Daily Republic does not necessarily condone the comments here, nor does it review every post. Read our full policy

  • Recent Articles

  • Enter your email address to subscribe and receive notifications of new posts by email.

  • .

    Solano News

     
    Youngster battles brain cancer a 2nd time

    By Susan Winlow | From Page: A1 | Gallery

    2 Solano road projects get green light

    By Kevin W. Green | From Page: A1

     
     
    Rush Ranch seeks docents

    By Kevin W. Green | From Page: A2

    Health officials report 1st Solano flu death

    By Kevin W. Green | From Page: A3, 5 Comments | Gallery

     
    Kroc Health Fair offers free screenings

    By Amy Maginnis-Honey | From Page: A3

     
    Vanden to host science fair

    By Bill Hicks | From Page: A4

    Woman with Solano ties caught up in tax fraud case

    By Jess Sullivan | From Page: A4

     
    Fairfield police to offer parenting class

    By Ian Thompson | From Page: A4

    Frazier schedules coffee in Suisun City

    By Ryan McCarthy | From Page: A4

     
    Vacaville police to offer law enforcement academy

    By Ian Thompson | From Page: A4

     
    Motorcyclist leads CHP on afternoon chase

    By Ian Thompson | From Page: A5

     
    Coalition members review tobacco control report card

    By Kevin W. Green | From Page: A5

     
     
    American Legion Post schedules head-shaving fundraiser

    By Kevin W. Green | From Page: A6

    Vacaville Toastmasters welcome guests

    By Amy Maginnis-Honey | From Page: A6

     
    Chipotle fundraiser to benefit Armijo newspaper

    By Amy Maginnis-Honey | From Page: A6, 2 Comments

     
    Dramas, thrillers lead week’s box office openings

    By Amy Maginnis-Honey | From Page: B8

     
    Suisun City police log: Jan. 24, 2015

    By Susan Hiland | From Page: A12

    Fairfield police log: Jan. 26, 2015

    By Susan Hiland | From Page: A12

     
    Fairfield police log: Jan. 25, 2015

    By Susan Hiland | From Page: A12

    Fairfield police log: Jan. 24, 2015

    By Susan Hiland | From Page: A12

     
    Suisun City police log: Jan. 26, 2015

    By Susan Hiland | From Page: A12

    Suisun City police log: Jan. 25, 2015

    By Susan Hiland | From Page: A12

     
    .

    US / World

    Gold nuggets stolen in smash and grab

    By The Associated Press | From Page: A7

     
    Officials lose track of billions in funding

    By The Associated Press | From Page: A8

    Bill would treat e-cigs the same as regular cigarettes

    By The Associated Press | From Page: A8

     
    CSU chancellor looks to increase graduation rates

    By The Associated Press | From Page: A8

    Police: Parents who killed selves, kids feared apocalypse

    By The Associated Press | From Page: A13

     
    NTSB: Systemic flaws in safety oversight of gas pipelines

    By The Associated Press | From Page: A14

    Catholic church in San Francisco to phase out altar girls

    By The Associated Press | From Page: A14

     
    Military has wide discretion on Bergdahl charges

    By The Associated Press | From Page: A14

    Gunmen storm Libya hotel, killing American, 9 others

    By The Associated Press | From Page: A14

     
    Famed civil rights protesters to have arrest records erased

    By The Associated Press | From Page: A14

    Secret talks in Jordan try to win release of hostages

    By The Associated Press | From Page: A14

     
    ‘Wicked storm': Blizzard drops 2 feet of snow on New England

    By The Associated Press | From Page: A14

    On Auschwitz anniversary, leader warns Jews again targets

    By The Associated Press | From Page: A14

     
    .

    Opinion

     
    Economic recovery, brought to you by technocrats

    By Jared Bernstein | From Page: A11

     
    .

    Living

    Community Calendar: Jan. 28, 2015

    By Susan Hiland | From Page: A2

     
    Today in History: Jan. 28, 2015

    By The Associated Press | From Page: A2

    Horoscope Jan. 28, 2015

    By Holiday Mathis | From Page: B6

     
    We live close to my nephew but he chooses to remain distant

    By Kathy Mitchell and Marcy Sugar | From Page: B6

     
    10 Things: 10 fresh takes on Super Bowl guacamole

    By The Associated Press | From Page: B7

     
    .

    Entertainment

    Christina Aguilera to perform ahead of NBA All-Star Game

    By The Associated Press | From Page: B8

     
    Common, John Legend to perform ‘Glory’ at Academy Awards

    By The Associated Press | From Page: B8

    Katie Holmes to guest on ‘Ray Donovan’

    By The Associated Press | From Page: B8

     
    .

    Sports

    Falcon boys drop 69-61 SCAC loss to Bethel

    By Marcus Lomtong | From Page: B1 | Gallery

     
    Local Report: Armijo boys roll past Napa 69-41

    By Daily Republic staff | From Page: B1

    Nadal loses; Sharapova to play all-Russian semi in Australia

    By The Associated Press | From Page: B1

     
    Belichick and The Beast talk but don’t say much at Media Day

    By The Associated Press | From Page: B1

    Deflated topic: air pressure in footballs

    By The Associated Press | From Page: B1, 1 Comment

     
    Rose’s shot lifts Bulls over Warriors 113-111 in overtime

    By The Associated Press | From Page: B1 | Gallery

     
    Lynch at Media Day: ‘I’m here so I don’t get fined’

    By The Associated Press | From Page: B1

     
    Christina Aguilera to perform ahead of NBA All-Star Game

    By The Associated Press | From Page: B2

    Super Bowl, Tiger make Phoenix center of sports universe

    By The Associated Press | From Page: B2

     
    Long after Twitter feud, Revis, Sherman pledge respect

    By The Associated Press | From Page: B2

    The distinctive international flavor of Super Bowl Media Day

    By The Associated Press | From Page: B2

     
    Serena Williams advances, Venus out of Australian Open

    By The Associated Press | From Page: B2

    Getting fired from New England led to Carroll’s reinvention

    By The Associated Press | From Page: B2

     
    Sharks in ‘dogfight’ to secure playoff berth

    By The Associated Press | From Page: B2

     
    Jury convicts 2 ex-Vanderbilt players of raping woman

    By The Associated Press | From Page: B2

     
    Rio official says there’s ‘no plan B’ for Olympic sailing

    By The Associated Press | From Page: B2

    Golfer Allenby stands by story, says truth will come out

    By The Associated Press | From Page: B2

     
    Tony Stewart returns with a swagger not seen in 2 years

    By The Associated Press | From Page: B2

    Shooters find not every basketball is same in college game

    By The Associated Press | From Page: B2

     
    Patrick heads into 2015 in final season with team, sponsor

    By The Associated Press | From Page: B2

    Manfred hopeful of A’s getting new ballpark in Oakland

    By The Associated Press | From Page: B2

     
    This date in sports history for Jan. 28, 2015

    By The Associated Press | From Page: B4

     
    .

    Business

    US home price gains slow in November on weaker sales

    By The Associated Press | From Page: A14

     
    FTC clears Albertsons’ purchase of Safeway

    By The Associated Press | From Page: A14

    .

    Obituaries

    Clarence E. Morgan

    By Nancy Green | From Page: A4

     
    Don Johnson

    By Nancy Green | From Page: A4, 9 Comments

    Dzhon Athanc

    By Nancy Green | From Page: A4

     
    Julia P. Tan

    By Nancy Green | From Page: A4

    Woodrow Allen Oakley

    By Susan Hiland | From Page: A4

     
    Donald Wesley Johnson

    By Susan Hiland | From Page: A4

    Joseph Phillip Raiff

    By Nancy Green | From Page: A4

     
    .

    Comics

    Blondie

    By Daily Republic Syndicated Content | From Page: B5

     
    Dilbert

    By Daily Republic Syndicated Content | From Page: B5

    Rose is Rose

    By Daily Republic Syndicated Content | From Page: B5

     
    Get Fuzzy

    By Daily Republic Syndicated Content | From Page: B5

    Wizard of Id

    By Daily Republic Syndicated Content | From Page: B5

     
    Peanuts

    By Daily Republic Syndicated Content | From Page: B5

    Zits

    By Daily Republic Syndicated Content | From Page: B5

     
    Garfield

    By Daily Republic Syndicated Content | From Page: B5

    Sally Forth

    By Daily Republic Syndicated Content | From Page: B5

     
    For Better or Worse

    By Daily Republic Syndicated Content | From Page: B5

    Pickles

    By Daily Republic Syndicated Content | From Page: B5

     
    Beetle Bailey

    By Daily Republic Syndicated Content | From Page: B5

    Baby Blues

    By Daily Republic Syndicated Content | From Page: B5

     
    Frank and Ernest

    By Daily Republic Syndicated Content | From Page: B5

    B.C.

    By Daily Republic Syndicated Content | From Page: B5

     
    Baldo

    By Daily Republic Syndicated Content | From Page: B5

    Sudoku

    By Daily Republic Syndicated Content | From Page: B6

     
    Cryptoquote

    By Daily Republic Syndicated Content | From Page: B6

    Bridge

    By Daily Republic Syndicated Content | From Page: B6

     
    Word Sleuth

    By Daily Republic Syndicated Content | From Page: B6