PA Governor Wolf Plans to Phase Out Gas Tax; Establishes Transportation Revenue Options Commission

On March 12, 2021, Pennsylvania Governor Tom Wolf emphasized his plan to ultimately eliminate Pennsylvania’s gas tax, which he has stated has become an unreliable and inefficient approach to funding Pennsylvania’s transportation network. In support of this effort, Governor Wolf has established the Transportation Revenue Options Commission, which will institute extensive funding options for Pennsylvania’s aging infrastructure.

“Our economy, our communities, and our future rely on a strong transportation system that supports our safety and growth. We have more than $9 billion in annual unmet needs across our state-maintained transportation system alone. At the same time, Pennsylvania is relying too much on outdated, unreliable funding methods, and the federal government hasn’t taken meaningful action in decades,” Gov. Wolf said. “Phasing out the burdensome gas tax, coupled with seeking long-term reliable funding solutions that will keep pace with our infrastructure needs, deserves a close examination. Forming this bipartisan commission will bring multiple, bipartisan voices to the table to ensure that we can examine reliable, sustainable revenue solutions to address both near-term and long-term funding needs.”

The Transportation Revenue Options Commission’s meetings will commence this month. The Commission will provide Governor Wolf with a report of activities and funding recommendations by August 2021.

We recommend that you pay close attention to the outcome of this Commission and consider reaching out to your state representatives to reinforce how important it is for Pennsylvania to find an alternative funding stream to its infrastructure. Improved infrastructure helps all businesses!

Click Here to Read Governor Wolf’s Announcement.

If you have any questions regarding the above information, please contact David E. Shaffer, Director, Audit & Accounting or Thomas Yankanich, Director, Audit & Accounting, or contact your Kreischer Miller relationship professional here.

 

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