New Plan For Transportation Is Now On The Table

The sponsor of Gov. Bob McDonnell’s transportation funding bill has filed a revamped version of the legislation. Sen. Steve Newman, the chairman of the Senate Transportation Committee, encourages scrapping the governor’s proposals which called for an increase in sales tax, vehicle registration fees and imposes an annual fee on hybrid and alternative fuel vehicles. Newman’s substitute plan calls for a 5.5 percent sales tax on the wholesale price of gasoline. The Senator says his proposal initially would be revenue neutral, but the sales tax on gasoline would grow with inflation and gradually reduce the need for the state to divert highway construction funds for maintenance needs. Attorney General Ken Cuccinelli, the presumptive Republican nominee for governor, has endorsed Newman’s plan.