INDIANAPOLIS (AP) – Statehouse Republicans are embracing the term “user fee” when describing their proposal to increase the amount of money Indiana motorists pay for gasoline and vehicle registrations.
But minority Democrats say make no mistake: The Republican plan to raise new money for infrastructure projects is actually a tax increase.
And during a Tuesday committee hearing at the Statehouse, it was a point they made repeatedly.
Republicans say their plan makes sense. The state’s infrastructure is crumbling and people who drive more should pay more. They want to increase the state’s gas tax by 10 cents and impose a $15 vehicle registration fee.
Democrats say the proposal continues a GOP trend of recent years and shifts the tax burden away from the wealthy and onto the middle and working classes.