Beshear Announces Action to Freeze Kentucky’s Gas Tax

By BRUCE SCHREINER, Related Press

FRANKFORT, Ky. (AP) — Gov. Andy Beshear mentioned Thursday that he is taking motion to freeze Kentucky’s fuel tax price, stopping a looming enhance as shoppers battle with surging gasoline costs.

The Democratic governor mentioned his emergency motion will stop a rise of two cents per gallon that might have taken impact July 1. Freezing the fuel tax will save Kentuckians an estimated $35.4 million by means of mid-January of subsequent yr, Beshear mentioned.

“I do know that one of many largest challenges of the current is fuel costs,” the governor mentioned in making the announcement initially of his weekly information convention.

“It is more durable for households to get to work,” he added. “It prices them extra to get their children to high school, to take their households to church or to go on a hard-earned trip.”

Kentucky’s fuel tax is ready by state statute, each in its price and the way it’s calculated. The present price of 26 cents was set to extend below a set off mechanism, leading to a value enhance on each common and diesel gasoline, the governor’s workplace mentioned.

Funds collected by means of the state fuel tax contribute to the street fund.

Beshear mentioned the freeze could have “no materials influence” on the state’s transportation price range and will not have an effect on any ongoing or deliberate initiatives.

Over the primary seven months of the subsequent fiscal yr, the freeze will scale back budgeted street fund revenues by about 1.6%, he mentioned. Beshear mentioned he’ll suggest that lawmakers dip into the state’s large Normal Fund price range surplus subsequent yr to replenish these misplaced street fund revenues.

Copyright 2022 The Related Press. All rights reserved. This materials is probably not printed, broadcast, rewritten or redistributed.