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| January 8, 2010
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Arkansas Panel Proposes Higher Fuel Taxes for Road Improvements |
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An Arkansas blue ribbon panel endorsed Tuesday imposing a new excise tax on wholesale motor fuel and indexing increases in gas and diesel taxes for inflation to fund state highway improvements.
The recommendations by a subcommittee of the Blue Ribbon Committee on Highway Finance are to be discussed by the full panel next week along with a separate subcommittee's recommendation, issued last month, to shift $425 million annually from the General Fund to support transportation, the Arkansas News Bureau reported. The legislature created the 19-member committee last year to study the state's highway system and recommend to the 2011 General Assembly ways to address transportation funding needs. Dan Flowers, director of the Arkansas Highway and Transportation Department, told the committee last summer that the state needs to spend at least $300 million more per year than it currently does to properly maintain 100,000 miles of state and local roads. (see July 24, 2009, AASHTO Journal story) "It's time to act," said Mark Lamberth of Batesville, a member of the committee that is looking for new revenue to fund future highway projects. "We need to present a couple of options that the state can sink its teeth into." Questions regarding this article may be directed to editor@aashtojournal.org. |