SB 656: RAISE GAS TAX & CREATE ROAD MAINTENANCE FUND

An Act Relating To Taxation; Increasing And Indexing The Gasoline Tax And The Special Fuel Excise Tax; Creating The State Road Maintenance Fund; Providing A Distribution Of Gasoline And Special Fuels Taxes To The State Road Maintenance Fund And To Municipalities And Counties For Maintenance And Repair Of Existing Transportation Infrastructure; Adjusting Percentages Of The Distributions Of The Gasoline And Special Fuels Taxes To Ensure Certain Entities Receiving Such Distributions Receive The Same Proportion Of Revenue Attributable To The Gasoline And Special Fuels Taxes.

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MILD SB 656
RAISE GAS TAX & CREATE ROAD MAINTENANCE FUND

Legislative URL:

SB 656 on nmlegis.gov

Emergency Clause:

No

Germane:

N/A

Location:

SFC

Action:

[10] SCORC/SFC-SCORC [22] w/o rec-SFC API.

Issue(s):

Transportation

Related Legislators

Bill Sponsor:

John Arthur Smith

Related Documents

Downloads:

Introduced
SCORC Committee Report
Fiscal Impact Report

Summary

This bill reduces, on a percentage basis, special fuel and gasoline tax distributions to the State Aviation Fund, the Motorboat Fuel Tax Fund, municipalities and counties, the County Government Road Fund and the Local Governments Road Fund.

It provides additional revenue by increasing the gasoline tax from $.17 to $.27 per gallon, and the special fuel excise tax from $.21 to $,31 per gallon, beginning on July 1, 2015, and by indexing both taxes beginning on July 1, 2016.

The State Road Maintenance Fund is created, administered by the Department of Transportation (DOT). Money in the fund is subject to appropriation by the Legislature only to the DOT for reconstruction, resurfacing or other improvement or maintenance of existing public roads, streets, alleys or bridges, including right-of-way and materials acquisition. Distributions will be made to the new fund equal to 11.37 percent of gasoline tax net receipts and 9.62 percent of special fuels taxes.

A possible benefit of this bill might be significant improvement of the state’s transportation infrastructure through increased funding for maintenance and improvement of existing roads. Another might be that increased gasoline taxes may increase demand for more fuel-efficient vehicles. A concern might be the absence of provisions for mass transit or alternative transportation projects.

SB 656 is similar to HB 58, HB 262 and SB 394.