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Hilo, Hawaii News, Sports, & Information Thursday, September 2, 2010



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Posted: Friday, January 23rd, 2009 4:29 AM HST

Tax increase pitched for highways

By Associated Press

HONOLULU (AP) — Gov. Linda Lingle and state transportation officials are proposing a nearly 60 percent increase in the state gas tax and big hikes in other fees to raise money for major highway improvements on four islands.

The increases are focused on motor vehicle use. They would not take effect until the number of jobs in Hawaii starts rising, which officials believe will take at least two years. Construction on the more than $4 billion in new projects wouldn't start until then.

The Republican governor wants to hike taxes by about $170 a year per resident. The payoff would be a 30-minute decrease in average daily commutes. Key Democratic legislators endorsed the plan and say it would help stimulate the declining economy.

The plan focuses on 183 projects on Oahu, Maui, Kauai and the Big Island.

(Copyright 2009 Associated Press. All rights reserved)



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