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Maryland Could Raise Gas Tax for First Time in 20 Years

Additional revenue could fund state transportation projects.

 

While gas prices have been lower since Hurricane Sandy, a Blue Ribbon Commission has recommended increasing taxes on gas to help raise $800 million in annual funding for the Maryland Transportation Trust Fund, according to a recent WTOP story.

Each gallon of gasoline carries a $0.235 state tax, a figure that has been level since 1992, but with the transportation fund being raided to help balance the state's budget, lawmakers may consider raising it during the 2013 General Assembly, according to the report.

Gus Bauman, who chaired the commission that recommended the increased tax (in addition to upping roads tolls and fares, fees to trains and busses, as well as vehicle registration licensing and titling) told WTOP: "I'm absolutely convinced that people would be willing to pay another nickel as long as they know it will go to pay to fix this road in this county."

WTOP also interviewed AAA Mid-Atlantic's Lon Anderson, who predicted the tax would encourage drivers to "fill up in Virginia."

It is unclear how much a potential gas tax increase would actually raise prices at the pump.

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