Mississippi House Bill HB1269

Mississippi 2022 Regular Session

• Introduced: 1/17/22
• Refer: 1/17/22
• Failed: 2/23/22

Caption

Fuel tax; authorize certain municipalities to impose after an election to be used for road and bridge repair and maintenance.

Impact

The bill mandates the process by which municipalities can impose this tax: first, they must adopt a resolution signaling their intention to levy the tax, followed by calling for an election where this proposition is put to a vote among the qualified electors. The tax will only be collected if a majority of voters approve it. Once implemented, the Department of Revenue will collect the proceeds and will pay them directly to the municipalities, ensuring financial accountability.

Summary

House Bill 1269 authorizes municipalities in Mississippi with a population of 150,000 or more to impose an excise tax of one cent per gallon on the retail sale of gasoline and diesel fuel. The legislation is designed to provide these municipalities with an additional revenue stream that can be specifically allocated for the repair, maintenance, and reconstruction of roads, streets, and bridges within their jurisdiction. Proponents of the bill argue that such funding is crucial for maintaining infrastructure in growing urban areas.

Contention

A notable point of contention surrounding HB 1269 is related to concerns over the additional financial burden it might place on residents already facing high fuel costs. Opponents may argue that imposing a new tax, even a small one, could disproportionately affect low-income families and may not significantly address the underlying issues of infrastructure funding. Additionally, there may be administrative concerns regarding how the tax revenues are managed and utilized by municipalities, and whether the funds will truly be directed toward the stated purposes.