A proposal to increase New Jersey's gas tax by 1.9 cents per gallon annually over five years has received backing from the New Jersey Chamber of Commerce. The initiative aims to fund infrastructure projects, including highways, roads, and bridges.
Tom Bracken, president and CEO of the N.J. Chamber of Commerce, expressed support during a hearing before the Assembly Transportation and Independent Authorities Committee on March 7. "There is no better investment New Jersey can make than in our infrastructure," he stated. Bracken emphasized that infrastructure is crucial for the state's economy and daily life, adding that it must be safe and efficient.
Bracken highlighted that out-of-state drivers contribute significantly to gas tax revenue. He described the proposed tax increase as modest, estimating it would cost a typical New Jersey motorist $16 annually.
The plan requires legislative approval and could generate $2 billion or more each year for the state's Transportation Trust Fund. This fund supports various infrastructure projects across New Jersey.
An efficient transportation network enhances New Jersey's economic competitiveness, according to Bracken. "We have to do whatever we can to strengthen it," he said.
The New Jersey Chamber of Commerce has partnered with the Building the Future Foundation in supporting this plan. Other supporters include the Laborers' International Union of North America (LiUNA), the Utility and Transportation Contractors Association of New Jersey (UTCA), and the American Council of Engineering Companies of New Jersey.
Additionally, the plan proposes an annual fee ranging from $250 to $290 on electric vehicles over five years.
The Transportation Trust Fund has enjoyed bipartisan support in New Jersey for four decades. "The plan being proposed is balanced and it’s affordable," Bracken noted. "It's fair and it's straightforward. We hope it is renewed quickly and on a bipartisan basis."
