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Iowa House subcommittee approves bill to raise Iowa gas tax by 10 cents

Jan. 29, 2014 12:31 pm
A House subcommittee voted Wednesday to approve a measure that would raise the state's gas tax by 10 cents per gallon over three years to help address critical needs to upgrade roads and bridges around Iowa.
House Study Bill 514, which was signed by all five subcommittee members, would increase the current state excise tax on gasoline by 3 cents per gallon next July 1, another three cents a gallon on July 1, 2015, and 4 cents a gallon on July 1, 2016.
Transportation advocates from around the state who were at the Capitol for a day of lobbying for infrastructure upgrades packed the subcommittee room in support of the higher tax that will insure that out-of-state users pay a share of the system's cost.
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Rep. Josh Byrnes, R-Osage, chairman of the House Transportation Committee, said he suspected that if the split-control Legislature can get a gas tax bill to Gov. Terry Branstad's desk, that he will support it like he did the last gas tax increase in Iowa in 1989.
He expected the bill – which studies indicate could cost the average Iowa motorist between $50 and $60 annually if increased by 10 cents a gallon – would come before the full House Transportation Committee sometime in February.
Iowa's gas tax now ranges from 19 cents to 22.5 cents per gallon, depending on the type of fuel.
Consumers in Iowa are now assessed taxes of 21 cents per gallon for regular gasoline, 19 cents per gallon for ethanol-blended gasoline and 22.5 cents per gallon for diesel fuel. (Dallas Houtz/The Gazette)