GENERAL ASSEMBLY OF NORTH CAROLINA

SESSION 1989

H	1 

HOUSE JOINT RESOLUTION 447*

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Sponsors: Representatives R. Hunter, Anderson, Church, S. Hunt, Nesbitt; Dawkins, Perdue, and Rhodes.

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Referred to:  Rules.

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March 6, 1989

A JOINT RESOLUTION OPPOSING THE USE OF MOTOR FUEL TAX FOR REDUCTION OF THE FEDERAL DEFICIT.
Whereas, the Highway Study Commission was created by the North Carolina General Assembly to study the highway needs of the State and to recommend funding solutions to meet these needs; and
Whereas, extensive study and review of the many options for North Carolina to provide the funding needed for its highway construction and maintenance programs have concluded that the North Carolina Highway Fund will continue to provide most of the funds for these programs; and
Whereas, the major component of the North Carolina Highway Fund is the State motor fuel tax; and
Whereas, Congress has been considering an increase in the federal motor fuel tax to reduce the federal deficit; and
Whereas, the federal motor fuel tax forms the major resource of the federal Highway Trust Fund which provides federal-aid to the states for highway construction and rehabilitation needs; and
Whereas, expenditures from the federal Highway Trust Fund have never contributed to the federal deficit; and
Whereas, the highway construction and rehabilitation needs, now and in the foreseeable future, greatly exceed the State and federal-aid funds available to meet these needs; and
Whereas, an increase in the federal motor fuel tax for deficit reduction purposes is an unwarranted diversion of traditional revenue sources for highway programs and would cause a reduction in gas consumption and result in less revenue for the federal Highway Trust Fund and for the North Carolina Highway Fund; and
Whereas, Congress has already reduced the obligation authority for the federal-aid highway programs to twelve billion three hundred fifty million dollars ($12,350,000,000) per year through 1991 in an effort to reduce the federal deficit; and
Whereas, any action by Congress to increase the federal motor fuel tax for federal deficit reduction purposes must be strongly opposed since such an increase would adversely impact on the ability of North Carolina to provide adequate revenues for its highway programs;
Now, therefore, be it resolved by the House of Representatives, the Senate concurring:
Section 1.  The North Carolina General Assembly strongly opposes any increase in the federal motor fuel tax for the purpose of federal deficit reduction.
Sec. 2.  The Secretary of State shall transmit certified copies of this resolution to North Carolina's Congressional Delegation.
Sec. 3.  This resolution is effective upon ratification.