Gas tax increase decision delayed
state house

Gas tax increase decision delayed


By Kevin Miller
BDN Staff

AUGUSTA, Maine — Members of a legislative committee failed to reach consensus Tuesday on how to address Maine’s deteriorating road network, opting instead to revisit the issue again early next year.

The Legislature’s Transportation Committee had been charged with coming up with recommendations for generating approximately $25 million a year for maintenance of some of the worst roads within the state’s jurisdiction.

Arguably the biggest issue under consideration was whether to increase Maine’s gas tax to help replenish the budget for “maintenance surface paving,” which is typically a thin layer of asphalt intended to keep older roads passable.

There appeared to be bipartisan support on the committee for raising the gas tax, but it was not universal. And even those in support of a gas tax increase struggled to coalesce behind a single proposal.

Ultimately, the committee decided to take no action at all. Several members expressed concerns about releasing a proposal five months before the Legislature’s next scheduled meeting and less than three months before an election featuring at least one tax-related referendum question.

“I am wondering if we wouldn’t be better off waiting until January and not complicating what is going to be a very complicated election,” said Rep. Ann Peoples, D-Westbrook.

“I don’t think we are anywhere near unanimous,” said the committee’s co-chairman Sen. Dennis Damon, D-Hancock. “I think we all understand we have a need.”

Earlier this year, Transportation Committee members floated a proposal for an 11-cent increase to the gas tax spread over four years. That proposal was whittled down to 5 cents over two years before being spiked once it reached the full Legislature.

The Department of Transportation followed suit by announcing in June that it was canceling more than 130 maintenance paving projects — including all projects planned for 2010 — because of a lack of funding.

Anyone who fills up in Maine now pays 29.5 cents in fuel taxes per gallon of gasoline and 30.7 cents per gallon of diesel. Every penny increase would result in roughly $7.1 million in revenue for the state, according to DOT officials.

Several lawmakers proposed a 3-cent hike combined with shifting money from other programs to come up with more than $25 million for paving. Secretary of State Matt Dunlap presented the committee with a list of fees that could be increased — such as raising the specialty plate renewal fee from $15 to $20 — in order to generate $6.7 million.

But most of the debate came back to the gas tax.

“I have come to the conclusion in my mind that there is only one route for this committee to take as far as establishing some sustainability in the road system, and that is an increase to the gas tax,” said Rep. George Hogan, D-Old Orchard Beach. “I think this committee has to show some courage.”

Other lawmakers had different views, however.

Rep. Charles Theriault, D-Madawaska, said a gas tax increase would not sit well with residents of his district. Instead, business owners he has spoken with have been more amenable to a 1-cent increase on the sales tax with some of that money dedicated to transportation.

Theriault also cautioned his colleagues against framing the debate in a way that pits urban areas against rural areas. “We all have a problem so I think we need to work together on it,” he said.

Rep. Douglas Thomas, R-Ripley, said he believes the state could come up with additional paving money through efficiencies at the DOT and redirecting money from less-pressing projects. Thomas has been especially critical of repaving and reconstruction work on Interstate 295, which he said was in far better shape than other roads in the state.

Thomas said the committee and the DOT need to work to create more “balance” in road funding, and that could mean redirecting money from what he described as nonessential bridge projects.

“I think this is one of the worst times possible to ask people to pay more” for fuel, Thomas said.

Not registered? Click here
E-mail this
Print this
Guidelines for posting on bangordailynews.com

Bangordailynews.com is pleased to offer a forum for readers to react to our stories, discuss them and provide additional information. We are reluctant to delete comments, but do reserve that right for those who abuse our forum. For more on using this site, please see our terms of service.

The primary rule here is pretty simple: Treat others with the same respect you'd want for yourself. What does that mean specifically? Here are some guidelines (see more):

Comments
19 comments on this item

We buy better cars and get better milage, we drive less, we stay around home rather than traveling for vacations to save money. So what does the "State" want to do, well lets up the taxes so any money they saved gets shared with us. Gas taxes get increased automaticlly base on teh cost of living, now they want to add more to it. At some point Augusta might get the message that the people are tired of smoke and mirrors, giving us a tax cut here and then a rate change (up) someplace else. Can't wait to retire and move someplace I can enjoy my money and not have to give it to Augusta.

The State of Maine is in a hate relationship with its' citizens. They hate it that we're keeping our paychecks and trying to survive. I have just one word for everyone that works and lives in the State of Maine: MOVE!

Collins was responible for the Stimulus passing, and agreed to a piddling amount of funds for her own state! Now they say we don't have enough money and are raising taxes for the roads. Collins and Snowe let themselves be played like a couple of cheap violins by the chicago mob - they were so anxious to be involved. Our reps on the state and federal level really suck.

Correct me if I'm wrong...but don't most if not all of our state reps get all of there gas and traveling expenses paid for by all of us? I'm thinking that if they all had to use their own money like the rest of us "common folk" this wouldn't even be an issue...IMPEACH AUGUSTA!!!...HA

If you would like to see some of the massive wasteful spending taking place within the Baldacci Administration, and especially within MDOT, just browse through the details/numbers at www.MaineOpenGov.org.

In particular, look at the amount of tax dollars paid in Overtime wages at MDOT...nobody deserves to receive $20,000 or $30,000 in OT wages alone! It's time for a freeze on all OT, and the terrible managers should be fired.

We must Cut Spending & Stop Raising Taxes!

Maine needs to Cut Spending & Stop Raising Taxes!

Overtime pay alone in 2008:

Executive Branch $ 21,566,027 tax dollars

Judicial Branch $ 95,535 tax dollars

Legislative Branch $ 27,700 tax dollars

Municipality $ 265,186 tax dollars

Source: http://www.maineopengov.org

the best thing the folks have done in Auguta in a long time! I think the law makers they the people of Maine VOTED IN new what would happen if they raised Fuel tax and as for over time for mdot remember winter time and all the storms they had to take care of! you folks that are complaining abouthere over time sure would be crying if the roads where not plowed or sanded because the driver had to stop after there 8 hour shift because he or she could not put in any over time

To Rep Hogan (Democrat of course),

Courage??? It takes no courage or talent as a representative to raise taxes. You are a perfect example of the pathetic people that we have running this state. This government needs to be cleaned out from top to bottom. On the other hand...go ahead and vote in the gas tax...and at least then we will be rid of you, so some good can come of it.

Has anyone stopped to figure out how much money this state makes on the existing gas tax? The majority of gas stations sell at least a million gallons per year. Many are way more than that. There are hundreds of these stations in the state. Then...don't forget the diesel fuel, these trucks are taking on about 300 gallons per fill up. Every single drop of gas or diesel sold puts money in the government pocket.

Nothing can make me believe that either 1. the government is diverting some of this huge fund to other pet projects, or 2. it is simply being wasted.

I can't wait to vote this fall. That will be the end of the tax reform that the state wants and hopefully enact Tabor II and we can take back our state. Then people like Hogan and the rest of his kind will have to ask us to make decisions on his hair brained ideas.

Also...I emailed Matt Dunlap a year ago, asking for the figures that this state makes per year on the gas and diesel tax and where it goes. The response I got was that these figures are not available.....no way....who would have guessed?

To LawDisOrder.......Don't consider Florida for your move.......this state is following Maine's lead but the word FEE is usually applied.

I have to agree with Douglass Thomas regarding less pressing projects. I-295 didn't need to be repaved.

MDOT could anticipate OT and cut regular hours during the summer when you see them leaning on their shovel. Judicial branch could eliminate some by using more of the salaried staff; yes that means judges come in at seven and leave at five and actually do their own admin work.

53 Million to do a make over of the Chase building would have done a lot more good if used for roads instead.When you want more money, tax what people need to use the most.

Collins is a disaster for Maine.. she was the one the wanted to put a federal tax on the energy companies last year. Ya.. Like that would help mainers.. who have to commute long distances, have most of it's goods transported by semi's, and need refined crude for heat more than any other state. But, you voted for her.. so suck it up.

If you want better roads than pay the taxes to fix them. Just look what happen to the roads in New Brunswick because they lowered the gas tax .

"If you want better roads than pay the taxes to fix them"

We pay taxes and they drive away businesses so that we can pay more taxes with less money and they can drive away more businesses.

Time to change the pattern a bit I think.

im just so sick of these people who keep voting for collins and snowe? Why? why cant u cast a vote for someone else, there are WAY to many liberals in maine its too bad.

there republicans

Why would anyone blame Collins for Baldikey's ineptness.

You must be logged in to post a comment. click here to log in.

Powered by: Creative Circle Advertising Solutions, Inc.