Ron Liggett (D-Redkey) has announced he has filed legislation
to fund maintenance and highway improvements across the state.
If passed, the state's gasoline tax will increase by 10 cents
over the next three years.
from the increase will go to the Indiana Department of Transportation
(INDOT) and local government for improvements to highways, roads,
residential streets and bridges. If enacted, the gas tax would
increase from 15 to 17 cents in July 2002. In the second year,
the increase would be from 17 to 21 cents. In 2004, the tax would
increase to 25 cents.
his legislation is based on a 2001 study that concluded an additional
$200 million in revenue will be needed in each of the next 10
years to pay for road improvements. "The situation at the
state level is just as critical," he said.
the sixth-lowest gasoline tax rate in the nation. This is the
third time in the past five years that a gas tax increase has
been proposed. Last year, a 3-cent proposal died; in 1997, a 2-cent
proposal was defeated.