Massachusetts became the latest state to increase its fuel taxes, with lawmakers approving a transportation-funding plan Wednesday that will add 3 cents to the state’s 21-cent-per-gallon diesel and gasoline taxes.
Gov. Deval Patrick (D) had earlier vetoed the bill, saying the fuel-tax increase was not large enough to cover the revenue loss anticipated with the scheduled drop in toll rates in 2017 on the western section of the Massachusetts Turnpike.
But the state’s Senate and House overrode the veto. The measure will take effect next Wednesday, seven days after its passage.
“While it is no secret that today’s transportation finance package shortchanges our transportation needs, it still represents a step forward,” Patrick said after the veto override, effectively making the measure law. “Now, it’s time to put these resources to work.”
In addition to the higher per-gallon fuel tax, the levy also will be indexed to rise annually with inflation.
In all, the measure contains $500 million in new taxes, including on cigarettes and computer and software services, all of which will be dedicated to transportation.
