While Congress was consumed with debt limit and deficit reduction legislation before the August recess another storm was quietly brewing: the expiration of the federal gas tax.
The current 18.4¢ federal excise tax on auto fuel which funds the Highway Trust Fund (HTF) is authorized under SAFETEA-LU which will expire on September 30 unless it is extended for an eighth time. There are no indications of significant efforts to develop and pass another SAFETEA-LU extension. The HTF is the source of federal funding for highway construction and maintenance funding and any interruption in funding could have significant, negative impacts on projects and jobs.
The Ferguson Group will keep clients informed regarding developments during the August congressional recess and moving forward as Congress reconvenes after Labor Day.
- Posted by Mike Miller, The Ferguson Group
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