N.C.’s Gas Tax Can Be Cut; Road Construction Wouldn’t Be Harmed

State leaders claim that capping the gas tax at 27.1 cents per gallon would cost the state up to $135 million a year in road construction. They are wrong. The state will be just $5.3 million behind projections planned for in this year’s budget if it freezes the gas tax. Furthermore, nearly $400 million in gas tax revenues goes toward spending that has nothing to do with road construction. The General Fund, public transportation, railroads, and airlines all receive gas-tax revenues. There is no need to take money from road construction so long as gas-tax revenues are diverted to unrelated programs.