Fuel tax increase amendment to bill fails

HB 694, sponsored by Rep. Craig Redmon, is a bill that attempts to equalize taxes on propane with other fuels used for transportation.

During debate on the House floor today, an amendment was proposed by Rep. Greg Razer (D-Kansas City) that would have raised the motor fuel tax by 5.9 cents per gallon effective January 1, 2019, if approved by voters at the general election in November, 2018. The vote was 51-103 against the amendment. You may view the roll call here.

Missouri Transportation and Development Council (MTD) and Associated Industries of Missouri (AIM) have historically supported fuel tax increases for transportation. Voters have rejected additional taxes for transportation many times and it has been difficult to find a funding stream that voters will support. Efforts to increase funding, even with voter approval, have not been successful in either the General Assembly or when taken directly to voters. Sen. Doug Libla proposed transportation funding measures over the last two sessions, but consistently ran into opposition, first in the Senate, and then in the House.

Although normally against tax increases, members of AIM generally support additional funding for transportation because of the vital need to move people and freight everywhere in the state.

Nobody has yet figured out a permanent funding increase for transportation that will be approved by either voters or members of the General Assembly.

MTD and AIM will continue to work toward funding solutions.