Gas Tax Proposal Back on the Table in Delaware

Date: March 02, 2016

State Rep. Sean Matthews and Rep. Michael Mulrooney, D-Pennwood will be introducing a bill to raise the Delaware gas tax by 10 cents. This bill differs from the bill that failed to raise the gas tax in 2014, because the increase will only be in effect for a year and then will be reevaluated, allowing lawmakers to decide whether or not to renew it.

According to an article by Delawareonline several Republicans were quick to say they oppose an increase.

Rep.
Mike Ramone, R-Middle Run Valley, said Delaware has a good thing going
because low gas prices make it a good place for travelers on the I-95
corridor to fuel up.

“We’re finally using our geography and size
as an advantage,” Ramone said. “Why would we ever want to raise taxes on
our own Delawareans while giving away a source of income to people
outside the state?”

Ramone argues the state wouldn’t get as much money as Matthews expects because people would buy less gas.

A draft of the bill circulating among lawmakers had the
following co-sponsors: Reps. Matthews; Mulrooney; Paul Baumbach,
D-Newark; Sean Lynn, D-Dover; Larry Mitchell, D-Elsmere; and Sens.
Harris McDowell, D-Wilmington North, and Karen Peterson, D-Stanton.

Lawmakers will return to Dover in March to consider the proposal.

The current Delaware state tax on gasoline is 23 cents per gallon. It hasn’t been raised since 1995.

Related Content: Small Business News | Delaware | Economy | Energy

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