Senator Sam Thompson (R-12), a member of the Senate Budget & Appropriations Committee, has introduced legislation to provide a permanent, stable source of funding for New Jersey’s Transportation Trust Fund (TTF).
The TTF, which funds transportation infrastructure projects in the state, will soon lack the resources to pay for new projects. Unlike other proposals that would only serve as a short-term solution to TTF refunding for seven or ten years, Thompson’s proposal, S-2352, provides a permanent solution.
“Every few years the TTF runs out of money and short-term politics prevents the enactment of a reasonable long-term solution to transportation funding,” said Thompson. “My proposal will create a stable source of permanent funding and take the politics out of funding safe roads and bridges.”
The measure would allow for $1.8 billion for transportation projects in FY 2017, with increases of approximately $50 million every year thereafter.
The legislation would increase the motor fuels tax by eleven cents per gallon in FY 2017, followed by an increase of two cents in each following year.
The tax on liquefied petroleum gas would increase by 5.5 cents per gallon in FY 2017, followed by an increase of one cent per gallon thereafter.
Under the bill, all motor fuels tax revenues would be dedicated to the Transportation Trust Fund.
“The price of gas fluctuates by 2 cents per gallon nearly every day, so a 2 cent increase in the gas tax each year wouldn’t even be noticed,” added Thompson. “Let’s solve our transportation problem once and for all. Let’s do it in a clean way that doesn’t link together other issues that shouldn’t be part of this discussion.”