Nebraskans are paying more at the pump today. The state’s gas tax jumped 3-cents per gallon today. District 29 State Senator Tony Fulton from Lincoln is a huge opponent of this increase. He says the argument was made in the legislature that our roads department absolutely needed this money for necessary repairs. Senator Fulton says that isn’t how it works. He says the Department of Road’s receives a flat dollar amount which is set in the budget. That money is raised through the gas tax but even if that amount goes up, the department does not receive more money. He says with the increase, a good portion of that money will go for raises for Department of Road’s employees.
Senator Fulton’s plan is to use money from the motor vehicle tax to pay for road repairs. Currently, 60% of that money goes to fund schools. He would like to shift the money collected from motor vehicle tax to go to roads and then fund schools through the general fund.
Nebraskans pay 27-cents per gallon in state taxes. Along with federal tax, Nebraska drivers pay more than 45-cents per gallon in taxes.
The state gas tax is adjusted two times a year so we will not see a jump in the tax at least until the end of the year.