7 states raise gas taxes in time for July 4 traffic

Drivers in seven states will be paying more to fuel up this week as a record number of people are expected to travel for the July Fourth holiday.

Oklahoma raised its gas tax Sunday for the first time in 31 years to help fund pay raises for teachers. South Carolina, Indiana, Maryland, Tennessee, Vermont and Iowa also raised gas taxes, which mostly finance construction projects such as roads and bridges. Nebraska lowered its gas tax.

AAA projects that 46.9 million would travel at least 50 miles for the holiday, which this year the group counts as Tuesday through Sunday.

“This Independence Day will be one for the record books as more Americans take to the nation’s roads, skies, rails and waterways than ever before,” said Bill Sutherland, senior vice president for AAA Travel and Publishing.

Oklahoma’s gas tax rose 3 cents a gallon and diesel tax rose 6 cents a gallon, which will leave both rates at 19 cents a gallon – one of the lowest rates in the country. This was the state’s first increase since 1987. Alaska has not raised its gas tax in more than 48 years.

Massive teacher protests this spring in Oklahoma prompted the Oklahoma Legislature to raise taxes on cigarettes, fuel and oil and gas production to pay for raises averaging $6,100 a year and to boost funding for schools, support personnel and state workers. West Virginia, Kentucky and other states had similar protests.

Gas prices had dropped in the past month but remain higher than a year ago, according to AAA travel club. The average price per gallon was $2.85 Sunday, down from nearly $2.96 a month ago, but still well above nearly

$2.24 a year ago, according to AAA. The gas tax changes, in descending amounts, include:

❚ South Carolina’s gas and diesel rates each rose 2 cents a gallon. The rise is the second installment of a sixpart increase that eventually will total

12 cents a gallon.

❚ Indiana’s gas tax rose 1.8 cents a gallon and diesel by 1 cent. Both are regulated annually to keep pace with inflation and the rate of personal-income growth, as well as overall gas prices.

❚ Maryland gas and diesel rates each rose 1.5 cents a gallon, based on a formula approved in 2013 tracking inflation and the price of motor fuel.

❚ Tennessee’s gas rate rose 1 cent a gallon and diesel went up 3 cents as part of a phased increase from 2017 totaling

6 cents for gas and 10 cents for diesel.

❚ Vermont’s gas tax rose by 0.42 cents a gallon, while the diesel rate remained unchanged. The increase was linked to the price of gas.

❚ Iowa’s tax rate rose 0.2 cents for fuels not blended with ethanol. Most fuel in the farm state remained unchanged because ethanol-blended fuel is common.

❚ Nebraska gas and diesel tax rates dropped 0.4 cents a gallon under a formula based on fuel prices and infrastructure spending.