Idaho House rejects 3-year, 7-cent gas tax hike - Spokane, North Idaho News & Weather KHQ.com

Idaho House rejects 3-year, 7-cent gas tax hike

BOISE, Idaho. - The House voted 43-27 to reject Gov. C.L. "Butch" Otter's gas tax increase.

Now at 25 cents per gallon, it would have risen to 32 cents by 2013, increasing 3 cents in 2010, followed by two years of 2 cent hikes.

Foes of the plan to raise $61 million annually contended a recession was the wrong time to raise taxes.

Rep. Raul Labrador, R-Eagle, said he saw this as a battle between construction companies that lobbied intensely for the measure and would benefit from additional revenue and regular Idaho residents who would have to pay for it.

Otter has says millions more are needed to address a maintenance backlog on 5,000 miles of Idaho highways to improve safety, speed commerce and create new jobs in a recession.

Rep. Scott Bedke, an Oakley Republican and proponent, said now was the time to take "proactive steps to maintain this asset."

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