New Mexico could hike fuel taxes

| 4/7/2003

A diesel tax increase is well on its way through the New Mexico Legislature. HB975 would increase diesel by 4.4 cents per gallon and gasoline by 5.4 cents per gallon, bringing the fuel tax for both to 22.4 cents per gallon.

The increase would back bonds issued to finance 15 road projects, including interchange improvements, upgrading interstates and expanding roads to four lanes. For these projects, the bill could total $561 million.

Additionally, the bill would stop a 1-cent-a-gallon tax reduction scheduled for July.

The bill passed the House and gained a “do pass” March 15 from the Senate Corporations and Transportation Committee, which passed it on to the Senate Finance Committee.