(WTKR) – Governor Bob McDonnell announced a plan on Tuesday that would eliminate the gas tax but increase the sales tax.
WTKR is reporting McDonnell wants to raise the state sales tax from 5% to 5.8% percent and wants to put the money into transportation.
He said he’d do away with the 17.5 cent gas tax.
Virginia would become the first state without a gas tax.
According to a press release, once the gas tax is eliminated Virginians would spend $3.5 billion less at the pump over the next five years.
He says if the plan is passed, it would generate $844 million in additional revenue for transportation by 2019. Over a half billion more would go to construction, not maintenance, by 2019.