Committee advances HB1382 to raise motor fuels tax 3¢ and direct proceeds to local governments

Representative Craig Hedlund introduced House Bill 1382 as “a fairly simple bill” to add 3 cents per gallon to the motor fuels tax and distribute that increase evenly among counties, cities and townships.

Hedlund said the change would put one additional cent to counties, one cent to cities and one cent to townships; he and other members discussed distribution formulas for townships and noted the committee revised an initial plan to use an Upper Great Plains transportation study in favor of an existing distribution formula based on township rolls.

Committee members supported directing the additional revenue to local governments that manage more local roads and bridges. Representative Pyle said smaller jurisdictions “don’t levy enough money in their roads and bridges” to cover unusual costs and welcomed a revenue stream dedicated to local repairs. Representative Wagner and others emphasized the high per-mile cost of road projects and the need for local funds for maintenance and capital projects.

The committee moved a due-pass recommendation on House Bill 1382. The transcript records the roll-call result as 13 yeas, 7 nays and 3 absent; the chair announced the bill will return to the bill carrier, Representative Dee Anderson.

Ending: The bill was advanced with a due-pass recommendation; committee members said additional coordination on distribution details (including non-oil county distributions and ties to other transportation formulas) may continue in other bills and hearings.