Sen. Steve Oroho, a respected member of the Senate Budget and Appropriations Committee, stressed that by increasing the gas tax by roughly 20 cents, new revenue would be raised for transportation projects. Ultimately, that would prevent New Jersey taxpayers from being forced to subsidize the many out-of-state motorists who currently use its roadways.
To go along with a raised gas tax, he wants a series of new tax cuts and a new income tax credit for gasoline purchases to help make the state more affordable over the long run for residents, he said.
John Reitmeyer, NJ Spotlight
Senator Steve Oroho is following in the great conservative tradition of Eisenhower, Reagan, Kean, and others in supporting infrastructure. Here are additional points from the Reitmeyer story:
Oroho made the case yesterday that the best option is to increase the fuel taxes. That way the burden will be shared by out-of-state motorists, who pay between 30 percent and 40 percent of gas taxes, according to AAA New Jersey. His approach could also impact large oil companies and possibly even those using pricy jets to travel, Oroho said.
Oroho, armed with a series of charts to make his point, said local property taxpayers could be facing as much as $10.6 billion in additional costs over the next 25 years. And since borrowing for local capital projects is exempt, the state’s 2 percent cap on property tax hikes would be powerless to stop that increased spending on transportation.
His tax cuts include phasing out New Jersey’s estate tax; lifting income tax exemptions on retirement income sources like pensions and 401(k) plans; and creating a new state income tax deduction for charitable contributions. Oroho would also like to offer in-state motorists a state tax credit for gasoline purchases.
Please share this your social network. We need a bipartisan solution to the Transportation Trust Fund crisis and Senator Oroho has put together a package worthy of serious consideration.