“the idea’s the simplest, fairest, as well as also also most effective way to raise the money we need for roads, bridges, as well as also also transit,” Chamber President Tom Donohue said in a statement.
The federal gas tax stands at 18.4 cents as well as also also has not been increased since 1993. Revenues by the gas tax have been declining, because the idea is actually not indexed to inflation, as well as also also because fuel efficiency standards have risen. The shortfall has left the federal highway trust fund chronically underfunded
At the donor retreat, lawmakers argued dwindling collections are a sign which the gas tax is actually not a sustainable source of revenue. Tennessee Rep. Marsha Blackburn became available against the idea, along with North Carolina Senator Thom Tillis, who said “the math doesn’t work.”
He added: “How do you fund [the administration’s proposal]? I don’t have all the answers. nevertheless I think the idea goes beyond something as simple as the gas tax.”
The Koch network is actually also lobbying against the proposal. Tim Phillips, head of the Koch-affiliated Americans for Prosperity, called raising the gas tax “a huge mistake.”
“The gasoline tax would likely just be a disaster, especially coming on the heels of a genuinely Great tax proposal,” he told reporters invited to attend the retreat here Saturday. “which would likely just be terrible for the country.”
Correction: The Chamber of Commerce estimates which a plan to hike the gas tax would likely raise $394 billion over the next decade.