WV Center on Budget and Policy > Blog > Taxes > What All is in the Road Funding Bill?

What All is in the Road Funding Bill?

Earlier this week, a bill began moving to increase revenue for the State Road Fund. Senate Bill 555  includes a number of provisions, some included in the Governor’s Blue Ribbon Commission report, that raise revenue for road work in West Virginia. The bill is on 3rd reading today.

In its original form, SB 555 increased the gas tax by $0.03, but only when the price of gas fell below $2 per gallon. According to the bill’s fiscal note, this would increase revenue for the state Road Fund by $17 million in FY 2017, and $40 million in Fy 2018.

The bill was then amended to include an increase in the sales tax from 6% to 7%, with the  revenue from the 1% increase dedicated to highways. While the amendment was not included in the fiscal note, the increase in sales tax is reported to raise about $200 million/year. 

The bill also includes changes to several DMV fees and other taxes. These include:

  • Reduces the sales tax on motor vehicle purchases from 5% to 4%.
  • Increases the fee for copies of DMV documents from $1 to $3.
  • Increases the fee for requesting vehicle information registration from $1 to $7.
  • Decreases the tax on certifying a vehicle title from 5% to 4%.
  • Increases the fee for original certificate of title from $5 to $40.
  • Increases the fee for duplicate certificates of title from $5 to $35.
  • Increases the fee for certificate of retitle from $5 to $40.
  • Adds a $10 fee for expedited processing for certificate of title application.
  • Increases the fee for a new certificate of title after transferring a title from $5 to $15.
  • Increases the exchange for for plates from $5 to $15.
  • Increases the fee for cosmetic, salvage, and total loss titles from $5 to $40.
  • Increases the fee for recording of liens from $5 to $20.
  • Increases the registration fee for Class A vehicles from $28.50 to $49.
  • Increases the fee to transfer a vehicle registration from $5 to $15.
  • Increases the fee for duplicate plates, registration cards, and title certificates from $5 to $15.
  • Increases the fee for non-driver’s license ID cards from $2.50/year to $8/year.
  • Increases the fee for intermediate driver’s licenses from $2.50/year to $6.50/year.
  • Increases the fee for Class E driver’s licenses from $2.50/year to $8/year.
  • Increases the fee for Class D driver’s licenses from $6.25/year to $6.50/year.
  • Increases the fee for a duplicate driver’s license from $5 to $20.
  • Increases the fee for driving records from $5 to $25.

 Altogether, the bill’s provisions are expected to increase revenue for the State Road Fund by $290 million/year.

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