State Treasurer Elizabeth Maher Muoio announced that New Jersey’s current tax rate on gasoline and diesel fuel will remain stable for the coming year at 41.4 cents and 48.4 cents per gallon, respectively.
As required by law, the Department of the Treasury conducted a detailed review of fuel consumption data, and the Treasurer consulted with the Legislative Budget and Finance Officer, in order to make this year’s determination in compliance with the 2016 law (Chapter 57) that requires a steady stream of revenue to support the state’s Transportation Trust Fund (TTF) program.
New Jersey’s TTF program is required to provide $16 billion over eight years to support critical infrastructure improvements to the state’s roadways and bridges. In order to ensure the state has the funds necessary to support these projects, the law dictates that the Petroleum Products Gross Receipt (PPGR) tax rate must be adjusted accordingly to generate roughly $2 billion per year.
Since the 2016 law was enacted, the state has disbursed a total of $4.34 billion for local, county, and state projects, including New Jersey Transit, with $2.73 billion of that funding distributed since the Murphy administration took office in January 2018.