Beginning in October of 2021, the bill would gradually increase the motor fuel tax by 2.5 cents a year. This plan would provide an additional 12.5 cents per gallon to the existing motor fuel tax of 17 cents per gallon when completed. The combined tax would be 29.5 cents per gallon. This would still be lower than the current nationwide average fuel tax rate of 36.82 cents.
Missouri has the 7th largest highway system in the United States, but our highway funding is near the bottom. Alaska is the only state with a lower fuel tax than Missouri.
This legislation has a special provision for those who do not want to pay the additional tax. If your vehicle weighs less than 26,000 pounds, you can apply for a refund of the additional tax. Even though their members would not qualify for the tax refund, the Missouri Trucking Association testified in support of the bill. They are very familiar with the costs associated with deteriorating highways.
Missouri REALTORS® has a long history of supporting legislation to increase highway funding. We supported the attempt in 2018, the increase in 1996, and we support this.
Please respond to this Call for Action. Without a strong show of support from REALTORS®, the Missouri House may fail to approve the bill.