Even with gas tax holiday, CT’s transportation coffers are flush

And while the tax-cutting debate appears to be unresolved, leaders from both parties, labor and business share a common assessment of the transportation program’s increasingly swollen coffers: Connecticut needs to spend more soon or risk losing not only taxpayer confidence but also its ability to maximize federal aid. The tax holiday, which waived the full 25-cents-per-gallon retail levy on gasoline from last April through December — and portions of it from January until May 1 — will cost the state $330 million, according to nonpartisan analysts. Most of that loss, $240 million, falls within the current fiscal year, which began last July 1. Yet despite that hit, Lamont’s budget office projects the $1.8 billion transportation fund will close $226 million or 12% in the black. The Department of Transportation has less staff now than in 2010, when a legislative investigation concluded it was struggling to complete projects on time and under budget.

Even with gas tax holiday, CT’s transportation coffers are flush

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