Column: Funds for highways faces bumpy road at Statehouse




There’s been concern in Indiana about paying for road maintenance and construction. Candidates and legislators are looking for new sources of revenue.

Maybe you wonder: What about the “good old” gasoline tax? It’s the biggest of the motor fuel taxes, and those taxes have always paid for Indiana’s state and local road spending.

The good old gasoline tax just isn’t what it used to be because people aren’t buying as much gasoline as they used to.

We can estimate the number of gallons of gasoline sold in Indiana just by dividing gasoline tax revenue by the tax rate. In fiscal year 2011, the state collected $543 million from the gas tax at 18 cents a gallon. That’s just more than 3 billion gallons of gasoline.

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