Tax increase for Indiana roads funding increasingly appears doomed

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By: Brian Slodysko/Associated Press

INDIANAPOLIS (AP) — Efforts by the Indiana House to finance infrastructure improvements by raising taxes increasingly appear doomed during the legislative session that wraps up this week.

Valparaiso Republican and House Roads Committee chairman Rep. Ed Soliday said Monday that no final agreement on roads funding has been met. But he showed openness to the idea of raising some taxes next session. House Republicans had insisted for weeks that the tax on a pack of cigarettes should be increased by $1 and the state’s 18-cent per gallon gas tax should increase by four pennies.

Time to reach a deal is ticking down. Republican Gov. Mike Pence and the GOP-controlled Senate have been in lockstep opposition to raising taxes in an election year.

Lawmakers attached the extra $42 million Indiana Regional Cities funding proposal to this bill in hopes of getting it passed.