Go Back

 

County Moves Forward In Considering New Gas Tax

    Lake County roads have become increasingly crowded in recent years, a fact that hasn’t escaped the notice of the county’s elected officials.  During its Tuesday, August 26 meeting, the Lake County Commission hosted an extensive discussion on the status of the county’s road expansion and repair needs.  Joined briefly by state representative Nan Cobb, commissioners debated ways to raise funds to undertake road projects more quickly, including imposing more taxes or taking out loans.
    County staff presented data indicating the county is facing hundreds of millions, if not billions of dollars, in road needs.  Those needs include maintaining and repairing existing roads as well as expanding roads that are substandard for the new realities brought about by the county's explosive growth.
    County officials indicated nearly $93 million is needed to address county roads in critical need or nearly critical need, and improvements hoped for on CR 44B between CR 44 and US 441 are estimated at $43 million.  Cobb indicated the state could be counted on for $5 million toward that project.
    But the need is countywide, and cash is short, leaving commissioners discussing a variety of ways to raise more money for roads.
    Discussion focused on implementing a state-approved 5-cent gas tax on top of the county's current seven-cent levy, taking out a loan via a bond issue, and creating a special, .5 mill taxing levy via creation of an MSTU.
    Currently, 35 of the state's 67 counties implement the maximum amount of gas tax, at 12 cents per gallon.  County staff said there is no direct correlation between higher gas taxes and higher fuel prices, showing data from around central Florida where some counties have higher gas taxes but lower gas prices, in some cases.  Gas tax revenue is shared with county municipalities.
    “It’s not like our fuel prices are going to jump up six cents,” said commissioner Kirby Smith, who opined operators will adjust prices to remain competitive and simply lower profits.
    Smith supported the idea of a gas tax over other options, as it includes more than just Lake County residents, who are therefore not required to share the whole burden of raising money for roads.
    “Everybody in the state uses our roads,” Smith said.
    Commissioner Sean Parks encouraged commissioners to further discuss the potential creation of an MSTU for roads in the future.
    The additional gas tax would generate an estimated $7 million per year, of which the county would get $4-5 million and the cities the rest.  Drivers would pay roughly $24 per year more based on a 12,000-mile driving year.
    Gas tax money can only be used for resurfacing and maintenance projects. If formally approved by October 1, the tax would take effect in January.
    In a split vote, commissioners moved to advertise for an ordinance that would implement the five-cent sales tax in January.  Tuesday's vote was 3-2, and the tax can only be implemented by ordinance by a 4-1 or unanimous vote of the commission.  Commissioner Leslie Campione, whose district includes North Lake County stated she could only support the proposed tax hike if it was taken to the voters in a referendum.
    Currently, the county is spending an estimated $26.3 million annual on road resurfacing, a number that does not address expansion needs or projects.  In North Lake, as an example, the county is moving toward reworking an intersection at the south end of Eudora Road in Mount Dora on Old US 441 to install a roundabout.  The cost for that project is $8.3 million.