Gas Tax Increase Loses Speed

Mar 31, 2014

Kentucky's gas tax will likely remain unchanged for the coming year.

A 1.5 cent-per-gallon hike included in the House version of the budget would have generated close to $107 million over the next two years. But the idea was not warmly greeted in the Senate, where it was stripped from the budget.

House Speaker Greg Stumbo says the House is now operating under the assumption that road projects will have to be scaled back.

"So there will be less money to pay for projects in the road fund, there will be less money going back to the counties and the cities for repair on the roads, but that's just the fact of life," Stumbo says.

Lawmakers expect to revisit the road plan after the veto window is closed and the House and Senate reconvene for two more days of voting at the end of the session.