NATSO Applauds Proposal to Increase Federal Motor Fuels Tax
Rep. Blumenauer’s proposal
would increase the federal excise tax on gasoline and diesel fuel five cents a
year for the next five years. After 2023, the federal gasoline tax would
increase to 43.3 cents per gallon and the federal diesel tax would increase to
49.3 cents per gallon. After 2024, the motor fuels tax would be adjusted for
inflation.
“We thank Congressman
Blumenauer for his leadership in introducing legislation that will increase
funding for infrastructure through the fairest and most efficient means
possible,” said NATSO President and CEO Lisa Mullings. “Construction costs and
motor vehicle fuel efficiency have continued to climb, but the federal diesel
and gas taxes are the same as they were in 1993 when a gallon of gasoline
averaged $1.11 per gallon. The buying power of the federal fuel tax has
plummeted.”
NATSO has long held that
increasing the motor fuels taxes represents the most efficient means of
increasing critical infrastructure revenues. NATSO opposes short-sighted
proposals such as tolling existing interstates and commercializing rest areas.
The Highway Trust Fund
currently is funded by an 18.4 cents per gallon tax on gasoline and 24.4 cents
a gallon tax on diesel. The federal fuel tax was last increased in 1993. Over
the past 25 years, construction and maintenance costs have increased and the
fuel tax has remained stagnant, eroding the buying power of the tax by 40
percent.
“It is a fact that we need
more funding for roads and bridges. Every day that we fail to invest more in
our infrastructure, we pay the price in increased fatal accidents, traffic
congestion, and higher cost of goods,” Mullings said. “As America’s aging roads
and bridges continue to feel the strain, it is time for our leaders in Washington,
D.C., to do the right thing by raising the nation’s motor fuels taxes and
invest in our nation’s global competitiveness.”