[Vision2020] ID taxes

[Mark Solomon]

While I generally support user-based taxation schemes, the proposal 
below adds insult to the injury of the Risch/GOP Idaho tax-the-poor 
taxation "reform". The sales tax is the most regressive tax. Given 
the sales tax loopholes already in place for ag and timber, once 
again the Idaho GOP will be disproportionately sticking it to those 
who can least afford it. All so we can build a highway from Boise to 
Dirk's retirement home, among other dubious road projects.

Mark S.

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Sales tax on Idaho fuel requested
Board cites shortfall for road building


John Miller
Associated Press
November 17, 2006

BOISE - Driving in Idaho may get more expensive.

The Idaho Transportation Board recommended Thursday that the state 
keep its 25-cents-per-gallon gas tax, while extending the 6 percent 
sales tax to fuel.

The board says the additional money from the sales tax is needed 
because the state faces an annual shortfall of $200 million for 
highway construction - or $6.1 billion over the next 30 years.

"We're not just crying wolf here," board Chairman Frank Bruneel said. 
"Skyrocketing construction and maintenance costs, stagnant revenues 
and Idaho's explosive growth have created a funding crisis that needs 
to be addressed."

The request will be forwarded to the 2007 Legislature and Gov.-elect 
C.L. "Butch" Otter.

Officials said levying a sales tax on gas could raise $108 million 
per year. The board, which oversees the state's road-building agency, 
also recommended that lawmakers pass measures to raise an additional 
$95 million.

Those include proposals to eliminate a tax exemption for ethanol, 
boost vehicle registration fees by 75 percent, and levy a new state 
surcharge on rental cars. Other proposals would increase fees by 75 
percent for trucking permits and Transportation Department services, 
and introduce road-related impact fees on new construction.

The new money would help pay for state and local highways, Idaho 
State Police, railroad crossings, bridge inspections and the state 
Department of Parks and Recreation.

The plan is based on a report by the Forum on Transportation 
Investment, an independent committee that in two years has held 14 
meetings across Idaho. It made recommendations on how to improve the 
highway system - and find a way to pay for it.
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