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Senate raises aviation fuel taxes to bolster Aeronautic Trust Fund for airport maintenance

2390436 · February 25, 2025
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Summary

Senate Bill 178 increases Avgas and jet fuel tax to 7'per gallon to strengthen the South Dakota Aeronautic Trust Fund for runway and safety projects; supporters said the fund has not been raised since 1995 and small airports have closed without sustainable funding.

The South Dakota Senate approved Senate Bill 178, raising the avgas tax from 6'to 7'per gallon and increasing the jet-fuel tax from 4'to 7'per gallon to replenish the South Dakota Aeronautic Trust Fund that provides state matching dollars for federally funded airport projects.

Senator Hoehn, sponsor, said the Aeronautic Trust Fund pays the state match (typically half of the…

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