Fiscal Note - State of Utah - 2014 General Session

SB0060 - Fuel Excise Tax Amendments

State Government (UCA 36-12-13(2)(b)):
Enactment of this bill may increase revenue to the Transportation Fund if the rack price per gallon of gasoline increases above the $2.84 base. An increase in rack price from $2.84 to $3.84 equates to $39 million in increased revenue, $27.2 million of which would be available for state construction projects. This is not expected to happen in FY 2015 or FY 2016.

Local Governments (UCA 36-12-13(2)(c)):
Beyond FY 2016, should the rack price per gallon of gasoline increase beyond $2.84, local governments may see an increase in B&C road funding. An increase in the rack price from $2.84 to $3.84 equates to a B&C road funding increase of $11.8 million (30% of total revenue increase).

Direct Expenditures by Utah Residents and Businesses (UCA 36-12-13(2)(d)):
Beyond FY 2016, individuals and businesses may see a tax increase if the rack price per gallon of rises above $2.84. An increase in the rack price per gallon from $2.84 to $3.84 equates to a tax increase of $39 million overall; for a person driving a gasoline vehicle 12,000 miles per year that gets 25 miles per gallon, this tax increase equates to $18 per year.

Performance Note Required? (Joint Rule 4-2-404): No