A federally mandated commission will recommend raising the gas tax by as much as eight cents, but the plan will not be endorsed by the panel’s chairman, Transportation Secretary Mary Peters, who instead supports increased use of tolling and public-private partnerships to fund the nation’s surface transportation infrastructure, knowledgeable sources said this week.

The report, which is not expected to be released until Tuesday, appears to be a setback for Peters and other advocates of public-private partnerships, or P3s, sources said. The panel missed “an opportunity to do something extraordinary,” one P3 supporter said.

Subscribe Now

Independent and authoritative analysis and perspective for the bond buying industry.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.