A similar idea was proposed during last summer's gas price spike, but political momentum dropped with gas costs. But with this summer's driving season approaching, gas prices have climbed by one third in the past month, according to surveys by the AAA Michigan. The Engler administration and other lawmakers are opposing Gosselin's sales tax bill in the face of state budget cuts.
Tax revenues are down because of a slowing economy.
Motorists pay 19 cents a gallon in state gas tax. The money is used for road maintenance and construction. The rate is fixed and doesn't change with the pump price. Drivers also pay a 6-percent sales tax on the total price of a fuel purchase. Rep. Nancy Cassis, R-Novi, chairwoman of the House Tax Policy Committee, said the sales tax is an economic issue.