Look to sales tax on gas to help fix Michigan roads, report suggests

Michigan policymakers looking to find money to fix the state’s crumbling roads should consider untying the sales tax from gasoline sales, according to a new road-funding analysis released Tuesday.

Doing so would allow lawmakers to increase the state gas tax by roughly 15.5 cents per gallon — replacing the estimated $894 million in annual sales tax revenue from fuel purchases that now doesn’t go to fixing roads — without also causing gas prices to rise, said Eric Lupher, president of the nonpartisan Citizens Research Council of Michigan, which evaluated the state’s road-funding options.