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Road and bridge builders want the 6% sales tax on fuel to go toward road and bridge infrastructure. The bulk of that tax currently goes to the School Aid Fund.
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The Michigan Department of Transportation has launched a survey to gauge public sentiment on a road service charge.
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The new report estimates it will cost $3.9 billion more annually than is currently being spent just to maintain Michigan’s roads and bridges.
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Electric vehicles pay a surcharge on registration fees. Nearly everyone believes there are fairer ways to assess a fee to help pay for roads. Choosing one is the difficult part.
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The options face several obstacles, including privacy concerns and legislators reluctant to create new forms of taxation.
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A policy research group recommends the State of Michigan eliminate the sales tax on fuel and fold it into the per gallon motor fuel tax so it's all is used to pay for roads.
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Biden wants Congress to give people a break on the federal gas tax for the summer. But economists say that won't translate into big savings at the pump — and could hurt efforts to curb inflation.
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Michigan's average gas price passed $5 a gallon, according to data from AAA. That's a 44-cent increase from last week's average.
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Supporters say pausing the gas tax is necessary as fuel prices soar.
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Legislation introduced this week in the Michigan Senate would suspend sales tax collection on fuel.