Motor fuels tax rate to decline by 4.3 cents per gallon on Jan. 1

November 19, 2014

Result will be less revenue for construction, maintenance of highways, bridges

 FRANKFORT – Kentucky’s “gas tax” on sales of gasoline, diesel and ethanol motor fuels will drop by 4.3 cents per gallon on New Year’s Day, resulting in a loss to the Kentucky Road Fund of about $129 million on an annualized basis.

The decrease reflects a drop in the calculated average wholesale price (AWP) of motor fuels, as provided under Kentucky law.

“The gas tax accounts for more than half of the revenue in the Kentucky Road Fund,” Kentucky Transportation Secretary Mike Hancock said. “A loss of revenue is always concerning, but a revenue impact of this magnitude is crippling. It means less money for building, improving, maintaining and repairing our roads, streets and bridges.”

The content you are trying to view is available only to subscribers. Please log-in or go to Register to subscribe today!

Thank you.