Amid soaring high grocery store prices and continued inflationary pressures, the last thing Marylanders need is another summer tax increase at the pump. A decade ago, the General Assembly enacted a law that automatically raises the gas tax in tandem with the consumer price index (CPI). Since 2013, this automatic gas tax has doubled, while the overall gas tax has surged by 30% in the past two years alone. Consequently, Maryland now bears the burden of having one of the highest gas taxes in the entire nation.
The good news is that last June, on the eve of another 5 cents per gallon tax increase to 47 cents per gallon, Democratic Maryland Gov. Wes Moore called on the Maryland General Assembly to address the state’s automatic increases, which he said are harmful to the financial bottom lines of working-class families.
In an interview on June 29, 2023, with The Baltimore Sun, Governor Moore said, “If my mom, when she was working multiple jobs and out of nowhere, she watched her gas increase — for many people, that’s not a big deal, but that would’ve been a big deal for my mom, and I just feel like we’ve got to do better for working families in the state of Maryland.”
I wholeheartedly agree with the governor, and, although I am disappointed that neither the governor nor any other Democrat-elected official proposed a bill during this legislative session to halt the automatic gas tax increase, I am fully prepared to collaborate with the governor and those in the majority party to prevent the inevitable tax increase again this summer. I have put forward two different solutions. House Bill 955 aims to make life more affordable for the hardworking middle-class residents of Maryland. It will untie the gas tax from the Consumer Price Index and stop the yearly automatic gas tax increase, thus requiring elected officials to vote to raise taxes and not automatically raise them as inflation increases.
Opponents of the proposal quickly highlight the current $3.8 billion deficit in the Transportation Trust Fund (TTF). The current deficit is politically self-inflected and arises from the fund being tasked with responsibilities beyond its original scope. The TTF is funded primarily with motor fuel tax and was initially designated to provide road and bridge maintenance funding. Still, now 61% of the Transportation Trust Fund goes towards mass transit. Interestingly, a mere 9% of Maryland residents utilize mass transit.
A recent statewide poll from Gonzales reconfirms that 64% of Marylanders want our state government to focus on fixing roads and bridges.
Unfortunately, mass transit continues to strain the Transportation Trust Fund. To tackle this challenge, I suggest raising fees for riders who use the service. As shown in MTA’s most recent report in fiscal year 2022, farebox recovery rates for MTA bus, light rail, heavy rail (subway), and commuter rail operating costs were 7%, 6%, 8%, and 8%, respectively. House Bill 1025 aims to address this by mandating the Mass Transit Administration to achieve a 35% recovery of operating costs by 2029. HB 1025 also prevents the creation of a future mileage tax. An idea revenue-grabbing politicians on the newly created TRAIN commission floated last year.
Marylanders deserve better. If we truly live up to the promise of “leaving no one behind,” constituents shouldn’t bear the burden of one of the highest gas taxes in the nation. It’s time for a change, and I am committed to working with Governor Moore and our legislators to find a solution that benefits all hardworking residents of this state. The governor is in the driver’s seat, and with a bit of political elbow grease, we might steer clear of those wallet-walloping increases this summer. So, let’s band together, keep our eyes on the horizon, and push for a smoother ride where we’re not counting pennies at the pump but cruising towards a future that’s kinder to our bank accounts.
Del. Matt Morgan (Matt.Morgan@house.state.md.us) is a Republican Delegate representing District 29A of St. Mary’s County since 2015. He is assigned to the House Health and Government Operations Committee.
