Juneau, Alaska (KINY) - The Senate approved the first increase to the motor fuel tax in 50 years.
Senate Bill 15 sponsored by Senator Click Bishop, (R) Fairbanks, would increase the tax for highway fuel from 8 to 16 cents per gallon and on marine fuels from 5 to 10 cents per gallon.
It's estimated to generate an additional $35 million in state revenue each year
"This is a meaningful step toward funding the state's backlog of transportation infrastructure and maintenance needs," Bishop said, "A modest increase in transportation funding will improve public safety, stimulate economic growth and provide good-paying jobs for Alaskans."
The bill passed the Senate by a vote of 12-5 and will be sent to the Alaska House of Representatives for their consideration.