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Matanuska-Susitna manager proposes 7¢ per-gallon fuel excise tax to fund roads; public review set before July introduction
Summary
Borough Manager Mike Brown introduced an ordinance to add a local fuel excise tax of 7 cents per gallon to generate an estimated $5 million annually for road maintenance and larger collector/arterial projects. The measure was placed on the agenda for formal introduction on July 15 and will be subject to public comment and advisory-board review.
Matanuska-Susitna Borough Manager Mike Brown on Tuesday outlined a proposed local fuel excise tax that he said is intended to provide a steady "pay-as-you-go" revenue stream to finance road projects without further expanding long-term bond debt.
Brown told the Assembly that the ordinance, which staff plans to introduce formally on July 15, would exclude aviation, marine and home-heating fuel and would be levied at the wholesaler level rather than at the pump. He said the proposal would set the tax at 7 cents per gallon — lower than Anchorage's 10-cent levy — and that, if set at that level, it "could generate up…
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