Mark Dayton Rings In New Year with Epic Gas Tax Flip-Flop

“As governor, Mark Dayton opposed a gas tax hike, stating that it would hurt middle-class Minnesotans. Now Dayton is pressing for a gas tax hike which would result in higher fuel prices for the very middle-class Minnesotans he pledged to protect. Going into the New Year, Dayton would be wise to remember his own words about a gas tax hike: ‘I don’t think the people of Minnesota are prepared to support it and that’s the critical consideration.’”
-Mark Drake, Minnesota Jobs Coalition President
Nearly 80 Percent Of Minnesotans Opposed To A Gas Tax Increase
Recent polling from SurveyUSA and KSTP shows nearly 80 percent of Minnesotans are opposed to increasing the state’s tax on gasoline. 
 
Then: Dayton Against Gas Tax Hike
 
Dayton On Gas Tax Hike: “I Don’t Think The People Of Minnesota Are Prepared To Support It And That’s The Critical Consideration.” “‘I don’t support a gas tax,’ Dayton told reporters. ‘I don’t think the people of Minnesota are prepared to support it and that’s the critical consideration.’” (Tom Scheck, “Dayton forces DFL to reconsider gas tax hike,” Minnesota Public Radio, April 9, 2013)
 
Dayton: Fee On Oil Wholesalers Will Be Passed Down To Consumers. “Governor Dayton says he’s not inclined to support a proposal to raise a fee on oil wholesalers to pay for road improvements. Senate Democrats want to lower the state’s gas tax by about six cents and in turn add a 5-and-a-half percent fee on oil wholesalers. The author of the bill, Sen. Scott Dibble, DFL-Minneapolis, says the change would generate $200 million a year more for roads and bridges. Dayton said the increase would likely be passed down to consumers.” (Tom Scheck, “Dayton unlikely to back oil fee increase,” Minnesota Public Radio, April 18, 2013)
 
Dayton: Middle Class Minnesotans “Not In A Position Economically” To Have Gas Tax Hike. “‘If it’s going to raise more revenues than the current gas tax then it’s going to result in higher fuel prices for middle-income Minnesotans,’ Dayton said. ‘I think they’re not in a position economically to have that.’” (Tom Scheck, “Dayton unlikely to back oil fee increase,” Minnesota Public Radio, April 18, 2013)
 
Now: Dayton Supports Gas Tax Hike
 
“Gov. Mark Dayton is preparing to go all in on a highway-and-transit upgrade package that could cost drivers a dime or more extra on a gallon of gas and metro shoppers a nickel more on every $10 taxable purchase…” (“Transportation, education top Dayton’s to-do list,” The Associated Press, December 29, 2014)

Wholesale Tax On Gas Is “Cornerstone” Of Dayton Plan. “As Dayton spoke, he drew a cheat sheet from his pocket with calculations about various funding mechanisms, including a new wholesale tax on gas that is emerging as the cornerstone of his plan. The sales tax would be distinct from and possibly in addition to the 28.5 cent per gallon tax now assessed at the pump. Because it would be based on purchase size, the tax would fluctuate as gas prices do. So at today’s average of $2.15, the wholesale tax almost certain to be passed on to consumers would be about 12 cents per gallon. As fuel prices rise, so would the tax bill. (“Transportation, education top Dayton’s to-do list,” The Associated Press, December 29, 2014)
 
Dayton Also “Eyeing” Half-Cent Sales Tax In Metro. “In addition to that tax, Dayton is eyeing a half-cent sales tax in the metropolitan area to pay for mass-transit projects and favors diverting an existing tax on leased vehicles to a fund that would pay for greater Minnesota transit needs. Dayton said he’s open to other ideas —‘As long as it’s honest and adds up to the money necessary to make a difference.’” (“Transportation, education top Dayton’s to-do list,” The Associated Press, December 29, 2014)
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