House Democrats defend transportation funding plan without gas tax hike

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House Dems

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Delaware House Democrats are making a case for a transportation funding package that steered clear of a gas tax increase,

The caucus released an infographic illustrating the impact of the funding package that increased Department of Motor vehicle and other fees.

The program also involved moving a portion of  Delaware Department of Transportation salaries to the General Fund, freeing up more funds for projects.

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Republican legislators insisted on the transfer, which will contribute to a long-running structural gap in the general budget and force other budget cuts or revenue increases.

.The $350 million in funding will be used to pave roads and repair bridges. The funding does contribute to growth in construction employment. It also helps stabilize transportation revenues that are affected by more fuel efficient cars and trucks.

The funding will also move more than 50 transportation projects forward, the caucus noted. The statement and infographic package comes as legislators face criticism in some quarters for not joining their counterparts in neighboring states in increasing the gas tax.

No mention of the gas tax was made in a social media post accompanying the infographic.

Opponents of the higher gas tax, claim it hits lower income Delawareans harder, since fuel costs account for a  large chunk of taking home pay.

Lower income residents may also have a higher percentage of fuel-guzzling cars and sport utility vehicles that lead to higher gas bills.

At the same time, it is unclear whether all of the savings from the lower gas tax in Delaware make their way to consumers.

In areas bordering Maryland, which has a higher gas tax,  prices at the pump are often only a couple of cents lower thanin in Delaware. Comparisons with Pennsylvania are more difficult since that gas tax is much higher than in Delaware.

Maryland’s gas tax is about a nickel higher than Delaware’s per gallon levy.

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