BALTIMORE – July 1 is the kick off day
for two new tax hikes on Maryland motorists:
a 3.5-cent rise in the state's gas tax — the first increase in 20 years
— and an increase in toll rates by as much as 50%.
Maryland's
gas tax has stayed at 23.5 cents a gallon since 1992. The increase was part of
a transportation revenue package offered by Gov. Martin O'Malley. The newspaper
writes that further scheduled increases “could drive the tax up to more than 42
cents a gallon by 2016, raising money to jump-start the state's stalled
transportation efforts.”
Residents will also see other taxes and fees increase, writes the
Baltimore Sun. For example: a tax of 5 cents (up from 2 cents) on most bottled
beverages sold in Baltimore. Milk, juices and two-liter soft drinks are exempt.
“Local officials say the increase will generate about $10 million a
year to build new school facilities, but critics fear that city businesses will
suffer as customers choose to buy beverages outside Baltimore,” notes the
newspaper.
In related state gas-tax news, legislators in Washington voted down a
transportation package last week that would have increased the gas tax by 10.5
cents a gallon. The package was a top priority of Gov. Jay Inslee.