Gasoline tax increase proposed for road projects

Published on NewsOK Modified: January 30, 2014 at 6:42 am •  Published: January 30, 2014

SANTA FE, N.M. (AP) — New Mexico's tax on gasoline and diesel fuel would increase five cents a gallon under a proposal to help finance highway construction projects across the state.

Legislation sponsored by Democratic Rep. Roberto "Bobby" Gonzales of Taos would raise the gasoline tax from 17 cents a gallon to 22 cents through June 30, 2024, and then the tax would revert to 17 cents.

The special fuels tax on diesel would go to 26 cents a gallon for the same 10-year period before returning to 21 cents.

The tax revenue would allow the state to issue up to $300 million in bonds for major highway improvements.

Among the authorized projects would be widening Interstate 25 in part of the Albuquerque area and four-lane construction of U.S. 491 in northwestern New Mexico.