A Nevada Senate committee has approved a bill that would clear the way for counties to tie their fuel tax levels to the rate of inflation.
The Senate Revenue and Economic Development Committee voted Thursday to pass AB191. The bill cleared the Assembly in a 34-8 vote, and is heading for a full Senate vote.
The measure creates a 2016 ballot question in most Nevada counties asking voters whether they want to index the fuel tax.
Washoe County already indexes its tax, while Clark County has the provision in place for three years. Tina Quigley of southern Nevada’s Regional Transportation Commission said temporary indexing will yield about $700 million for road projects.
Transportation officials nationwide blame infrastructure funding shortfalls on flat fuel taxes that haven’t kept pace with inflation.