Oklahoma Senators are working on a plan to move the state to a floating fuel tax.
Sen. Eddie Fields said the idea comes from Michigan and Georgia, but his Senate Bill 499 has a slight difference.
"In Georgia, the governor has his or her ability to change the mechanics of that. I've taken that language out of our Senate bill to take the governor out of that equation, so this would just be basically something with the tax commission," Fields said.
The bill directs the Oklahoma Tax Commission to make an annual calculation of the fuel tax rate, taking into account the change in new cars’ fuel economy and the rate of inflation. Sen. Micheal Bergstrom asked Fields an important statutory question.
"As a tax increase, doesn't that have to begin in the House? And doesn't that require a 75 percent vote?" Bergstrom said.
Fields said that’s a question for an attorney, adding there’s a chance the fuel tax could decrease. Sen. Josh Brecheen said he’s not in favor of a potential tax increase.
"I think a good argument is the person driving across our state doing damage to our roads would also have to contribute more to the damage they're doing, so there's the wisdom," Brecheen said. "But how do we balance that with — is there a way to take this concept and lower rates somewhere else?"
Oklahoma’s gas and diesel taxes are among the lowest in the U.S. and have not been changed in 30 years. A Senate appropriations subcommittee passed the measure 10–1.
