New Jersey Gas Tax Decision Deferred

TRENTON – With New Jerseyans having anticipated a 23-cent increase in gas costs per gallon beginning tomorrow July 1, residents have been temporarily spared the increase, which would have put New Jersey above the national average for gas prices. Currently, New Jersey is the second lowest in terms of fuel tax in the nation.

But it turned out that the Assembly Bill, which was voted on in the early morning hours on June 28, was one that members of the senate did not agree with.

“It’s too expensive,” Senate President Steve Sweeney (D-3) said of the Assembly Bill. Click here for Inside Scene’s previous story on this topic and which members of the Assembly were “no” votes on the tax. Click here for the original Assembly Bill.

The measure, which would raise the gas tax while dropping the sales tax to gradually to six percent, was initiated to help fund the Transportation Trust Fund (TTF), which was originally reported to be bankrupt by July 1, but now Sweeney has stated has enough funds to carry it into August.

An Asbury Park Press poll so far shows that nearly 90 percent of those surveyed are against the gas tax hike with the reduction in sales tax to fund the TTF, while about 10 percent feel it is necessary to help New Jersey’s infrastructure.

The fuel tax increase was the first in 25 years for New Jersey.

Sweeney and Gov. Chris Christie, who was in support of the legislation, will reportedly be working together on a compromise to provide for the TTF before it is expected to dry up on Aug. 1. Senators Steve Oroho (R-24) and Paul Sarlo (D-36) were the sponsors of the bill for the senate.

Inside Scene will continue to provide updates on this topic as they become available.

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