March 14, 2014
RICHMOND, Va. (AP) -- Gov. Bob McDonnell's transportation funding bill has cleared its first hurdles in the General Assembly, but it still has a long way to go.
The Senate Transportation Committee on Wednesday advanced the five-year, $3.1 billion funding package to the Finance Committee.
In the House Finance Committee, which clears tax and revenue legislation, more than a dozen transportation-related bills were either rolled into McDonnell's package or tabled.
The governor's bill would eliminate the state's 17.5-cent per gallon gas tax and replace it with a sales tax increase of less than a penny on the dollar. It also imposes a $100 fee on fuel-stingy hybrid cars.
The tax on diesel fuel remains. And part of the funding scheme relies on Congress passing a law mandating state sales tax collections for online purchases.