Mo. bill seeks to raise fuel tax

A bill making the rounds in the Missouri Senate seeks to raise the state’s fuel tax by 6 cents.

Senate Bill 540, which has support from the Missouri Chamber of Commerce & Industry, would increase the tax to 23.3 cents from its current 17.3 cents, according to a news release from the state business organization.

Sponsored by Sen. Doug Libla, R-Poplar Bluff, the legislation is designed to shore up funding for the struggling Missouri Department of Transportation, according to the chamber.

The Missouri Highways and Transportation Commission in February instituted the 325 System, which outlines MoDOT’s limited responsibilities with a construction budget expected to fall to $325 million in 2017. Between 2005 and 2010, the transportation department’s annual construction budget averaged $1.3 billion, falling to $685 million last year, according to Springfield Business Journal archives.

“This funding is especially important to local communities, as 30 percent of fuel taxes support local cities and counties,” chamber officials said in the release, noting the fuel tax would support existing road infrastructure and not new construction.[[In-content Ad]]