In the aftermath of the recent hurricanes along the Gulf Coast, Kentucky Gov. Ernie Fletcher is weighing the possibility of suspending his state’s per gallon tax on gasoline and diesel.

However, Fletcher said temporarily suspending the state’s nearly 20-cent-per-gallon tax on motor fuels may not be doable because the revenue goes for paying off bonds for state and local road taxes, The Associated Press reported.

Fletcher doesn’t normally have the authority to suspend taxes, The AP reported. But during a declared state emergency, the governor can issue orders he deems necessary to ensure the safety and security of residents.

The state has been under a state of emergency for a month because of the effects of Hurricane Katrina, which hit on Aug. 29.

The governor has asked the Kentucky Transportation Cabinet to study the impact a suspension of the state’s fuel taxes would have on road funding. He will look at the results before making a decision.

Kentucky isn’t alone in its pursuit of combating the higher fuel prices seen in recent weeks.

Georgia Gov. Sonny Perdue issued a month-long moratorium on the state’s 7.5-cent-per-gallon tax on gasoline and diesel fuel. It included a suspension of Georgia’s 4 percent sales tax on fuel. The moratorium expired Sept. 30. The tax breaks will cost the state about $75 million in tax revenue.

Perdue and state legislators also took action to temporarily remove the IFTA obligation for Georgia miles driven by truckers. Truckers driving through Georgia during the tax holiday will still have to report their IFTA miles, but they won’t owe any tax on miles driver during that period.

Other states considering fuel cost relief actions include:

• Republicans in Wisconsin are pushing a plan to give residents a fuel tax holiday for the rest of the year. Instead, Democratic Gov. Jim Doyle wants to repeal the state’s minimum markup requirement for diesel and gasoline.
• A New Jersey lawmaker is considering legislation that would limit the wholesale price of diesel fuel and gasoline.
• Pennsylvania Gov. Ed Rendell said he may ask state lawmakers to temporarily lift the state’s per-gallon fuel tax.
• Democrats in the Missouri House want a two-week fuel tax holiday that would cut the state’s 17-cent-a-gallon tax on diesel and gasoline to 7 cents a gallon.
• An Oklahoma lawmaker is calling for the suspension of motor fuel taxes in the state for the final three months of the year.
• New Mexico Gov. Bill Richardson has rejected calls from some Republicans in the state to offer a fuel tax holiday. Instead, the Democratic governor is pushing a price gouging law.
• Gov. Joe Manchin has vowed to freeze fuel taxes for one year in West Virginia. Manchin announced plans to sign an executive order to stop the scheduled increase, which was expected to take effect on Jan. 1.
• Some Republican lawmakers in Tennessee are urging Democratic Gov. Phil Bredesen to temporarily suspend the state’s per gallon tax on gasoline and diesel fuel. Bredesen said he thinks it’s a bad idea.
• North Carolina Gov. Mike Easley said he has no plans to roll back the state’s motor fuel taxes. Easley said the state relies too heavily on the dollars generate for road and bridgework to temporarily suspend the state’s 27.1-cent-per-gallon tax on gasoline and diesel fuel. Instead, the governor is calling for the federal government to solve the problem of higher fuel prices.
• A leading Republican lawmaker in Montana is calling for the state Legislature to consider temporarily suspending the state’s 27-cent-per-gallon tax on motor fuels. Lawmakers are expected to meet for a special session in December to address other issues.

– By Keith Goble, state legislative editor
keith_goble@landlinemag.com