Bedford council moves to collect existing wheel and excise taxes locally to qualify for road grants

The Bedford Common Council on June 16 moved forward with an ordinance that would transfer collection of two existing vehicle taxes — the municipal wheel tax and the motor vehicle license excise tax — from the county to the city without increasing the $25 per‑vehicle rate currently in place.

Mr. Pitman, who opened the public hearing, told the council the state statute requires municipalities to adopt both taxes concurrently and that the proposed ordinance keeps the rates unchanged from those charged by the county since 2005. He said the change shifts administration so the city receives revenues directly beginning with the new collection process in 2026–27 rather than receiving funds routed through the county.

Council members asked about revenue distribution timing and grant eligibility. A council member noted, “This is not a new tax,” summarizing the ordinance’s intent to match the county’s charge rather than raise rates; Mr. Pitman and staff confirmed monthly distributions and stressed that adopting the ordinance is necessary for Bedford to qualify for Community Crossings and other local road and bridge matching grants.

The council approved the ordinance’s first and second passages by voice vote and scheduled the required third and final passage for the next meeting. Staff said there was no public testimony during the hearing.

If adopted on final passage, the change would not increase the total tax paid by motorists, but would redirect the existing levy to the city to support capital and grant‑matching programs.

Next steps: the council will take the ordinance for final passage at the next regular meeting.