Senate has given final approval for a $594 million state highway budget
that relies on fuel tax hikes starting this summer, the Bangor Daily
budget passed the Senate 31-1 on April 7. It now heads to Gov. John E.
Baldacci, who is expected to sign it.
covers state expenses for roads, bridges, state police, motor vehicles
and other transportation services for the two years, starting July 1. It's
funded mostly by excise taxes on motor fuels.
A law that
passed last spring authorized indexing of diesel fuel and gas taxes to
account for cost-of-living increases, the newspaper reported. A 2.6-cent-a-gallon
increase to take effect this summer is included in the highway budget that
passed April 7, and the tax could increase another half-cent in July 2004.