In the midst of all the other reasons for rising gasoline prices, Nebraska's gas tax rose another three-cents per gallon on Tuesday.
That makes the total state fuel tax 26 cents per gallon until the end of the year. Combined with the federal tax, it brings our total gas tax in this state to 45 cents a gallon.
In Omaha, that gas tax might not create as much money as lawmakers think. Omaha sits close to Iowa and Missouri and both states have lower gas tax rates than Nebraska.
Most of us wouldn’t bother to bend over and pick up three pennies, but add that three cents to the price of a gallon of gas and you've got a revolution.
"It’s just gonna cause more people to go over to Council Bluffs and Missouri,” says Steve Bertagni at Ted’s Service. “I mean if you’re on a bordering state, their taxes are lower than over here so there’s more reason if you're over there to buy gas over there."
At Darrah’s gas station in Council Bluffs, one Nebraska plate after another pulled up to the pump. "I just don’t understand how people are gonna make it with the economy the way it is and then more taxes,” says Nebraska motorist Ginger Waltermire.
“With the timing the way gas is right now, it's poor timing, the worst part there was no consideration, no discussion, just a done deal,” says Nebraska motorist Joy Scanlan. “I don’t think it was well thought out. That's disappointing so that’s why I'm here in Iowa buying gas."
A portion of the state gas tax is budgeted to go to the Nebraska Department of Roads, but after rough riding through and around the city, Tom Sage isn’t buying that.
“I think it’s ridiculous right now with our economy the way it is, we can hardly afford to drive around now. With the storm that’s come through our insurance will go up. Our utilities is gonna go up. Another three cents to fix our roads. Our roads aren’t getting any better. I don’t think and I don’t see how three cents is gonna help it."
A portion of the state fuel tax is adjusted twice a year so the state Department of Roads receives no more and no less money than the Legislature has budgeted for the department.
With Nebraskans driving less due to $4 a gallon prices, we weren't driving enough for the state to meet its roads' budget.
Next year, a new, five percent tax on the wholesale price of fuel will go into effect. That also could lead to higher fuel taxes at the pump.