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Monster fuel tax hike proposed for Granite State

CONCORD, N.H. -- It's a good thing New Hampshire is one of the smallest states geographically because, if lawmakers get their way, truckers might want to avoid filling up there.

Trucking groups recently told Granite State officials that a proposed 15-cent hike in diesel taxes will badly hurt carriers. According to the Associate Press,  the state plans to raise diesel taxes by 20 cents a gallon over the next four years.

Paving contractors are lobbying for the tax to pay for road and bridge repairs.

The bill’s sponsors proposed spreading the increase over 10 years to mitigate the impact on truckers, but the state trucking association said the boost would hurt businesses even if it were to be phased in over a decade -- especially since fuel prices are expected to rise considerably when the economy rebounds.

Gov. John Lynch (D) has proposed an alternative plan that would boost registration fees by $10, use turnpike toll revenues to pay for maintenance of interstate highways, raise tolls and eliminate a 50 percent discount on tolls for noncommercial E-ZPass users, AP reports, but lawmakers have so far dismissed that plan.

 
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