The issue of increasing gas taxes to pay for highway improvements is
being weighed in Siouxland this year. The Nebraska Unicameral passed a
bill to raise the gas tax by a penny, but yesterday Gov. Dave Heineman
vetoed it. He said "now is not the time to raise the gas tax," since
"gasoline and diesel prices are hitting record highs almost every
week, the cost of food is increasing and health care costs are
soaring." Meanwhile, a gas tax increase of a few cents per gallon is
under consideration by Iowa legislators. A one-cent increase would
direct $22 million to the highway coffers, two cents would bring in
$44 million annually, etc. Iowa Farm Bureau, which has considerable
clout in Iowa, is backing a gas increase of a few pennies.

Labels: taxes