Branstad offers support for gas tax discussion, but won’t offer plan

DES MOINES - Gov. Terry Branstad said he wants bipartisan support for raising the gas tax, but he declined to offer his own plan, saying it would give potential critics 'a target to shoot at.”

On Monday, Branstad was asked about the gas tax and possible solutions to addressing the state's $215 million annual shortfall in road construction and repair funding.

'I think the timing is right in light of the fact fuel prices have dropped significantly,” Branstad said at his weekly news conference.

Branstad maintained any funding mechanism should not rely solely upon raising the per-gallon gas tax. He said any plan should include multiple measures to offset revenue losses because of more fuel-efficient vehicles.

Rep. Dave Jacoby, D-Coralville, said last week he wants the governor to take the lead on the gas tax.

'I think the key will be what we hear in the opening address,” Jacoby said, referring to the governor's annual state-of-the-state address at the opening of the legislative session. 'There's a real discussion (taking place), but I think people are waiting to see or hear what happens from the governor's office.”

Branstad on Monday would not offer any specifics, however, saying he wants to keep an 'open mind” and not 'dictate what those elements should be.”

'I want it to be truly a bipartisan consensus and get input from all four caucuses in the Legislature. I think that's the best way to try to get something done,” Branstad said. 'I think it would be much better if instead (of weighing in), we approach it with an open mind and accepting input from all different persuasions on this issue.”

A recent analysis by the state's nonpartisan Legislative Services Agency tested five possible methods for increasing fuel tax revenue, and only two generated sufficient funds to cover the state's shortfall. One was a 10-cent increase, followed by tying the tax to inflation; the other was a 'combination” tax that lowered the per-gallon tax to 16 cents and added a 5 percent sales tax on the retail price of fuel.

'I do think a hybrid or a combination of different sources makes more sense,” Branstad said.

In other news from Branstad's Monday news conference:

' Branstad will spend three days this week in New York City on what he called an economic development trip.

Branstad said he will meet with leaders from multiple businesses, primarily in the insurance and financial services industries. Branstad declined to name the businesses; he said some already have a presence in Iowa.

'We hope they will expand their employment base, make additional investments,” Branstad said. 'Others are prospects that we hope will choose Iowa.”

Economic development director Debi Durham and insurance director Nick Gerhart will accompany Branstad.

' Branstad designated this week Computer Science Education Week in conjunction with the Hour of Code campaign, which encourages young people to learn about basic computer coding.

'Making sure students are comfortable with at least the basics of computer science will keep them from missing out on potential opportunities in college and career training,” Branstad said.