HLS 16RS-5046 ORIGINAL
2016 Regular Session
HOUSE RESOLUTION NO. 242
BY REPRESENTATIVE JAMES
TAX/GASOLINE TAX: Urges and requests the Department of Transportation and
Development to study levying additional taxes on gasoline
1 A RESOLUTION
2To urge and request the Department of Transportation and Development to study the
3 feasibility of a parish governing authority levying and collecting a sales tax on the
4 retail sale of gasoline and to report the findings to the House Committee on Ways
5 and Means, the House Committee on Transportation, Highways and Public Works,
6 and to the member of the House of Representatives representing House District
7 Number 101 on or before February 1, 2017.
8 WHEREAS, the Constitution of Louisiana prohibits a political subdivision of the
9state from levying a tax on motor fuel; and
10 WHEREAS, a constitutional amendment could authorize a parish governing
11authority to levy and collect a sales tax on retail sales of motor fuels, thereby raising revenue
12and reducing dependency on state funding for transportation projects, while also creating
13opportunities to enhance local transportation networks; and
14 WHEREAS, gasoline taxes are an important source of state revenue and are deemed
15to be the most important source of funding for transportation infrastructure projects across
16the country; and
17 WHEREAS, roads and streets are critical assets for local communities and many of
18these assets are deteriorating as the state has reduced its contributions and the cost of
19maintenance steadily increases; and
20 WHEREAS, in an effort to alleviate the backlog of local transportation projects,
21parishes have looked to new local funding options, such as local gasoline taxes; and
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HR NO. 242
1 WHEREAS, ongoing road maintenance is a significant public safety concern and the
2failure to adequately maintain local streets, traffic signals, signs, and street lights has a direct
3correlation to traffic accidents, injuries, and deaths; and
4 WHEREAS, gasoline tax revenues have fallen short of infrastructure spending needs,
5primarily due to the fact that fixed, per-gallon gasoline tax rates have often stagnated while
6construction costs have grown; and
7 WHEREAS, taxes and fees paid by drivers, most of which is a gasoline tax, now
8make up a smaller share of total highway funding than at any point since the Interstate
9Highway System was created due to flaws in design of the gasoline tax; and
10 WHEREAS, Louisiana's gasoline tax is among the lowest in the country and the
11implementation of gasoline taxes imposed by a parish governing authority can make up for
12a decline in revenue; and
13 WHEREAS, the severity of the transportation funding problem across the state
14necessitates the exploration of new revenue options, such as the ability for parish governing
15authorities to levy a gasoline tax.
16 THEREFORE, BE IT RESOLVED that the House of Representatives of the
17Legislature of Louisiana does hereby urge and request the Department of Transportation and
18Development to study the feasibility of a parish governing authority levying taxes on
19gasoline.
20 BE IT FURTHER RESOLVED, in studying the viability of a sales tax on the retail
21sale of gasoline, the Department of Transportation and Development shall consider and
22determine the following:
23 (1) How local gasoline taxes levied by a parish governing authority of the state could
24benefit the state of Louisiana and whether those benefits outweigh any disadvantages to the
25state and its residents?
26 (2) Whether an increase in gasoline taxes levied by a parish governing authority
27could be structured in such a way as to withstand future increases in fuel efficiency and
28construction costs?
29 (3) Whether additional gasoline taxes would allow various parish governing
30authorities to remain competitive with neighboring political subdivisions?
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HR NO. 242
1 (4) How much additional revenue could be generated by the implementation of a
2gasoline tax by a parish governing authority?
3 (5) What method of implementation would be most beneficial to the state of
4Louisiana?
5 BE IT FURTHER RESOLVED that the Department of Transportation and
6Development shall work in conjunction with the Louisiana Police Jury Association and the
7Louisiana Municipal Association to determine the most advantageous and effective method
8for a parish governing authority to levy a gasoline tax.
9 BE IT FURTHER RESOLVED that the Department of Transportation and
10Development shall complete a written report addressing the feasibility of a parish governing
11authority levying taxes on gasoline and submit the report to the House Committee on Ways
12and Means, the House Committee on Transportation, Highways and Public Works, and to
13the member of the House of Representatives representing House District Number 101 on or
14before February 1, 2017.
15 BE IT FURTHER RESOLVED that a copy of this Resolution be forwarded to the
16secretary of the Department of Transportation and Development, the president of the
17Louisiana Police Jury Association, and the president of the Louisiana Municipal Association.
DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part
of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute
part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)]
HR 242 Original 2016 Regular Session James
Urges and requests the Dept. of Transportation and Development to study the feasibility of
a parish governing authority imposing gasoline taxes.
Requires the study to consider and determine the effects that a parish governing authority
implementing gasoline taxes would produce, including the advantages to the state, the
implementation and maintenance of the tax once imposed, the competitive advantages and
disadvantages, and the potential increase of revenue.
Requires the Dept. of Transportation and Development to work in conjunction with the La.
Police Jury Association and the La. Municipal Association to determine the most
advantageous manner in which a parish governing authority should impose gasoline taxes.
Requires the Dept. of Transportation and Development to submit a written report to the
House Committee on Ways and Means, the House Committee on Transportation, Highways
and Public Works, and to the member of the House of Representatives representing House
District No. 101 on or before Feb. 1, 2017.
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