Snyder Proposes Changes to Michigan Gas Tax
Governor Snyder is proposing changes to the gas tax in efforts to fix Michigan’s aging road system.
The Governor’s plan would eliminate the current per-gallon fuel tax of 19 cents for gasoline and 15 cents for diesel and replace it with a wholesale fuel tax that would gradually increase over three years. The plan also would double the fines for truck weight limit violations, dedicating half of the revenue to the State Trunkline Fund.
About 60 percent of the revenue generated would go to counties, cities and villages for local roads and bridges. According to Snyder, these groups would receive an average funding increase of 73 percent by 2018.
Michigan’s gas tax was last increased in 1997, and Michigan is currently ranked the single worst state in terms of per capita investment in roads.