The Virginia General Assembly on Wednesday approved Gov. Bob McDonnell’s amended transportation plan, which would slash gas taxes and use other taxes to pump billions into Virginia’s transportation infrastructure over the next five years.

Virginia’s Road to the Future, McDonnell’s ambitious and controversial plan to either raise, or redirect, $3.5 billion of new tax revenue into the commonwealth’s roads, bridges, and transit systems over the next five years will become law July 1 after the amended version cleared both the House of Delegates and the Senate Wednesday. The plan slashes the per-gallon gas tax and instead would impose a first-time wholesale tax on gas and diesel fuel distributors and raise the state general sales tax, diverting some of that to transportation.

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.