A nonprofit political advocacy group is recommending that Oklahoma's flat per-gallon fuel tax be converted to a percentage tax on the wholesale price of fuel as one of several ways to increase revenue for transportation infrastructure.
Oklahoma currently collects 16 cents per gallon on gasoline sales and 13 cents per gallon on diesel fuel sales, with an additional one cent collected on each to help clean up leaking underground storage tanks.
The Oklahoma Academy announced Thursday that it wants the state to switch to a tax on the wholesale price of fuel so that tax revenues would increase with inflation.
The Oklahoma Academy describes itself as a nonprofit, nonpartisan organization founded by Gov. Henry Bellmon in 1967 to bring public attention to policy issues and promote positive change.
“While we have some dedicated funding, it's not going to be able to provide or accomplish what Oklahoma honestly needs to accomplish to be economically viable and to effectively move people and products, as well as information,” said Julie Knutson, chief executive officer of The Oklahoma Academy.
To get more money to cities and towns for road and bridge improvements, The Oklahoma Academy is recommending that the percentage of motor vehicle tax collections that goes to cities and towns be gradually raised from 3.1 percent to 13.1 percent over five years.