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Bush: No Increased Gas Tax For Bridges

The Bush administration has flat out dismissed a proposal by the Democratic House Transportation Committee Chairman to increase the 18.3 cent federal gasoline tax by 5 cents to cover bridge repairs.

"The way it seems to have worked is that each member on that (Transportation) committee gets to set his or her own priorities first," Bush said. "That's not the right way to prioritize the people's money. Before we raise taxes, which could affect economic growth, I would strongly urge the Congress to examine how they set priorities."

The Feds contribute about 45 percent of the funds for all infrastructure spending, so a 5 cent bump would considerably increase available funds. I've long advocated an increase in gasoline taxes as a way to drive consumer preference and spur innovation. In my mind those funds would be used for things such as improved infrastructure and public transportation. I envision a one cent per gallon, per year increase that would slowly raise the tax as opposed to an immediate jump of 5 or 10 cents. The Federal gasoline tax has not changed in 14 years.

source: cnn and mercury news