North Carolina to Suspend Gas Tax Using State Inflation Reserve
- Reports
- 2
- Developments
- 1
- Repetition
- 50%
New informationRepeats or wire copies
What happened
North Carolina lawmakers are moving forward with a plan to temporarily suspend the state’s 41-cent-per-gallon gas tax through the end of November. Senate leader Phil Berger confirmed that the bill will use the state’s inflation reserve to cover any loss in transportation revenue. The North Carolina Department of Transportation estimates that a 30-day suspension could result in an estimated $225 million loss in revenue for the department.
From wwaytv3.com
Why it matters
The suspension of the motor fuels tax, which produces about 40% of state-generated transportation revenue, represents a significant temporary fiscal adjustment for North Carolina. The use of the state’s inflation reserve to cover the revenue gap highlights the state’s current fiscal capacity.
Josh Stein is urging the North Carolina General Assembly to pass the state budget, which was jointly proposed by Destin Hall and Phil Berger.
From wwaytv3.com
Who's involved
- Phil BergerSenate leader who confirmed the gas tax suspension plan.
- North CarolinaThe state where the gas tax suspension is being implemented.
- general assemblyThe legislative body moving forward with the tax suspension proposal.
- North Carolina Department of TransportationThe state agency that monitors the tax and estimates the revenue loss.
Who could feel it
Possible knock-on effectsThese are possibilities Brind reasoned out, not predictions, and not advice. Most are not stated in any report.
- North CarolinaSpeculative
North Carolina might experience a temporary $225 million reduction in state transportation revenue.
- North Carolina Department of TransportationSpeculative
The North Carolina Department of Transportation could face a direct revenue loss of $225 million during the suspension period.
- general assemblySpeculative
The General Assembly could be responsible for enacting the bill that causes the temporary revenue loss.
Keep exploring
The entities involved
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Phil Berger
American ice hockey player
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North Carolina
state of the United States of America
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general assembly
meeting of all the members of an organization