Michigan

Gas tax hike could be sticking point for $1.2 billion road funding plan proposed by Michigan House

LANSING, Mich. (AP) — Michigan legislative leaders report having a productive meeting with Gov. Rick Snyder on road funding but no deal.

Lawmakers are working on a $1.2 billion plan that could include a boost in fuel taxes and vehicles fees along with shifting money from other spending priorities.

The gas tax hike would be 15 cents. Read more details about the road funding deal — which was passed by the Senate in July — in a story from mLive.com.

There’s some optimism a plan can be approved this week. But cobbling enough votes for higher gasoline taxes will be difficult.

The House returned Tuesday after a monthlong break and is in session through Thursday.

Legislators are eying a compromise under which $600 million in additional revenue would be collected from increased fuel and registration taxes. Another $600 million would come from redirecting existing general funds. Specifics haven’t been worked out.

In May, voters rejected a road-funding plan that included a sales tax increase.

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