When a person purchases one gallon of gas in Washoe County, a person is taxed 91 cents. This is how the taxes break down:
18.4 cents goes to the Federal Government
18.45 cents goes to the State of Nevada
12.38 cents is taxed by Washoe County, City of Reno, City of Sparks
41.9 cents is for the Regional Transportation Commission fuel index, an additional tax that voters approved in 2008 that funds road projects.
However, with gas prices as high as they are, some of you are asking us at 2 News if this index can be suspended.
“There are no plans to suspend the gas tax,” said Lauren Ball, Public Information Officer for the R.T.C.
The index provided $94 million in revenue for RTC in 2021, according to Ball, and even more for future years.
“Next budget year, 2022, that budget is $106 million,” she said. “This is a huge amount of money that comes back to our community and stays here to help you get where you need to go.”
With 54% of residents voting “YES,” the RTC-5 ballot question was approved in 2008, a measure that essentially places an additional tax on the price of gas based on inflation. Since 2010, RTC has spent more than $550 million on projects Northern Nevadans use every day.
“The SouthEast Connector/Veterans Parkway was funded through this tax,” she said. “Pyramid/McCarran intersection improvements, Moana Lane extension, Moana Lane Widening, and more recently, the Sun Valley Blvd. project.”
The Virginia Street project in Midtown was partially funded through fuel indexing too.
From Connecticut to California leaders coast to coast are suspending or seriously considering suspending increases in gas taxes set for July because of record highs. That is not the case here. According to Ball, RTC is not aware of any plans to suspend or end the fuel tax. There is no single government entity that can unilaterally and immediately suspend or end the fuel tax, she states.
“Pausing the gas tax would erode our ability to continue to deliver these important regional projects,” she said.
Due to the fact the index is only based off inflation, as you pay more for just about everything, RTC also pays more for road projects.
“It ensures that RTC’s purchasing ability isn’t going to be eroded because of inflation and important transportation projects will be built here in Washoe County,” she said.
The gas index goes up again July 1, 2022, however, the exact number is not known yet. The 10-year rolling average will be calculated and finalized in April and implemented in July.
