The bipartisan National Commission on Fiscal Responsibility and Reform today released its final package of deficit reduction recommendations. Imbedded in those recommendations is a proposed 15 cent increase in the federal gas tax.
In response, Colorado Contractors Association Executive Director Tony Milo issued the following statement:
"We applaud the Commission's fiscally responsible recommendations and believe that simultaneously investing in the nation's deteriorating transportation infrastructure while restoring fiscal discipline to the federal budget are top national priorities."
"Federal gas tax revenues fund our national Interstate Highway System. Congress last raised the federal gas tax in 1993. While estimates vary, Jack Wells, economist for the U.S. Department of Transportation, and Ken Simonson, chief economist for the Associated General Contractors of America, conservatively project that every $1 billion annually invested in transportation infrastructure results in over 27,000 jobs."
"Hiking the federal gas tax to adjust for inflation is well over a decade past due and represents one small, responsible step toward restoring our nation's deteriorating system of roads, bridges and transit infrastructure while creating desperately needed jobs."
"I urge all nine members of Colorado's congressional delegation to support the proposed 15 cent federal gas tax increase. Until and unless we transition to an alternative use-fee system (i.e. mileage based revenue, utility model, enterprise model) Federal and State gas taxes are the most practical and equitable user-fee available."
The bi-partisan National Commission on Fiscal Responsibility and Reform's complete report and associated recommendations are available at:
http://www.fiscalcommission.gov/sites/fiscalcommission.gov/files/documents/TheMomentofTruth12_1_2010.pdf
The section of that report which details the Commission's proposed 15 cent federal gas increase is located on Page 24 under a section titled RECOMMENDATION 1.7.
