Rhode Island lawmakers push fuel tax hike

| 6/4/2002

The Rhode Island House of Representatives passed a 2-cent fuel tax hike last week as part of a budget bill to avoid future projected deficits. If the tax hike is passed, the state's diesel tax would climb to 30 cents.

The $5.4 billion state budget package would erase a projected deficit with the aid of tax and fee hikes, spending reductions and tobacco-related revenues. The proposal is awaiting approval in the Senate before an expected showdown with Gov. Lincoln Almond, who has threatened a veto.

Gov. Almond says he doesn't believe the proposed budget trims enough spending to avoid future deficits, but he believes the Senate will approve the plan. Almond says he will wait to see what changes the Senate makes to the proposal before considering a veto.