Plan for New Taxes, Fees

Iowa Gov. Terry Branstad said he would seek legislative support for a gasoline tax increase next year to raise revenue to pay for road and bridge work.

Branstad might also seek a hike in vehicle registration fees. “I think next year is the year to do it,” he said in a televised interview. He did not provide details on the size of the possible increases.

Some lawmakers sought support for an increase during the 2012 session but opposition derailed the proposal.

Iowa’s gasoline tax is 21 cents per gallon. A Branstad-appointed panel last year suggested a gasoline tax hike to cover a an annual shortage in road funding of more than $200 million.

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