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House panel OKs bill that would increase Iowa’s fuel tax

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February 12th, 2015 by Ric Hanson

DES MOINES, Iowa (AP) — A House panel has approved a bill that would increase Iowa’s fuel tax, a move that mirrors action in the Senate. Members of a transportation subcommittee approved the bill Thursday. It now moves to a full committee for consideration. The bill would raise the state fuel tax by 10 cents. A Senate transportation subcommittee approved similar legislation Wednesday. A full committee can now review that bill.

Iowa’s current fuel tax is 22 cents per gallon for gasoline, including fees. Diesel fuel has a slightly higher tax and ethanol blends are a bit lower. The tax hasn’t been raised since 1989. Gov. Terry Branstad and lawmakers have been vocal about raising money to help fix the state’s network of bridges and roads, many of which are in disrepair.