O’Malley Gas Tax Plan Filled with Potholes

Transportation plan hurts commuters, misdirects revenue, and includes no repayment of raided funds

Mar 7, 2013

The Maryland Public Policy Institute today criticized a proposal from Governor Martin O’Malley and legislative leaders that fails to address Maryland’s transportation woes and unfairly punishes Maryland commuters with an unjustified tax increase. In the coming weeks, the Maryland Public Policy Institute will be offering an alternative policy proposal to Maryland’s manifest congestion and traffic problems.

Governor O’Malley’s plan includes a significant gas tax increase on Maryland commuters and directs a portion of this regressive tax’s proceeds to $4 billion in transit projects few Marylanders will use.  Additionally, the plan includes no commitment to repay $1 billion in transportation trust funds that the governor and lawmakers have used for non-transportation funding since 2007.

“The governor’s plan is the political equivalent to careless driving,” said Christopher B. Summers, president of the Maryland Public Policy Institute.  “He is forcing commuters to pay higher taxes for transit projects they don’t want and won’t use.  He is disrespecting taxpayers by refusing to repay one penny of the $1 billion in transportation dollars he raided over the last six years. When it comes to improving Maryland’s tax climate and transportation network, Maryland needs steadier hands at the wheel.”  

Since the governor took office, he has raised Maryland’s vehicle excise tax by 20%, raised the car titling fee by 100%, raised Baltimore area tolls by as much as 50%, increased the Bay Bridge toll by 60% and increased car insurance premiums for an estimated 200,000 Marylanders.  Despite all this, many Marylanders who now face the worst traffic congestion in the nation will find no relief from the governor’s proposal.

About the Maryland Public Policy Institute: Founded in 2001, the Maryland Public Policy Institute is a nonpartisan public policy research and education organization that focuses on state policy issues. The Institute’s mission is to formulate and promote public policies at all levels of government based on principles of free enterprise, limited government, and civil society.

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