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Committee rejects committee‑sponsored fuel‑tax increase after narrow vote; debates local impacts and revenue options
Summary
Lawmakers debated 26LSO64, a draft to raise fuel taxes (two‑step increase), heard industry and tribal testimony on local impacts and IFTA effects, adopted a motion to limit the draft to a one‑time 5¢ increase in committee but the amended bill failed on final roll call (5‑aye, 7‑no, 2‑excused).
The Transportation Committee spent extensive time on bill draft 26LSO64, a highway‑funding proposal that would raise gasoline, diesel and alternative fuel excise taxes by 5¢ for two years and then by another 5¢ thereafter (bringing base rates from 24¢ to 29¢ then 34¢). Talise Hanson (LSO) explained the conforming language and effective date (proposed 07/01/2026).
YDOT Director Darren Westby and industry witnesses described the funding rationale and the tradeoffs. YDOT said district‑level maps showing loss‑of‑service scenarios could be prepared on request to help lawmakers evaluate where reconstruction or maintenance would be…
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