Gas Tax Lowered – Lower Transportation Revenue to Follow

With gas tax revenues already in steep decline due to lower gas prices, and infrastructure funds already feeling the pinch, the state tax board yesterday lowered the gas tax.  This is just one more indication that transportation officials must start to get serious about prioritization.  The first order of business on the North Coast should be abandoning the outdated, oversize STAA truck access projects in favor of funding only true needs – such as a permanent fix at Last Chance Grade.

From the Sacramento Bee:

“…So the board voted 3-2 to lower the tax to 27.8 cents per gallon for the fiscal year that ends June 30, 2017.  That move would reduce the amount of money going to roads and mass transit programs by about $328 million next year….

California Department of Transportation Director Malcolm Dougherty said in a statement that the consecutive decreases will reduce transportation funding by three-quarters of a billion dollars over the next five years and may delay projects….”