NH Gas Tax Climbs 4 Cents a Gallon

New Hampshire's gas tax will climb 4 cents a gallon, the first state rate hike in 23 years, under a bill Gov. Maggie Hassan signed into law May 20.

The gas tax will rise from 18 cents to 22 cents a gallon. The increase, which amounts to 4.2 cents, will generate $33 million a year for transportation improvements, including the Interstate 93 widening project.

The rate increase goes into effect July 1.

Hassan signed the bill during a ceremony alongside I-93 in Windham.

"Our bipartisan transportation funding bill is the most significant state-level investment in transportation infrastructure in 23 years," Hassan said in a prepared statement. "This legislation is an important step toward addressing our transportation needs, keeping New Hampshire’s economy moving forward by advancing critical road and bridge projects, finishing the long-overdue expansion of I-93 and improving commutes for our workers and visitors."

The governor's office noted the bill won bipartisan legislative support, and support from the business community, including the New Hampshire Business and Industry Association and New Hampshire Lodging and Restaurant Association.

The bill was not without opposition in the Legislature. Some Republicans argued that it was the wrong time to raise a tax that affected so many Granite Staters struggling to make ends meet.

Citizens for a Strong NH complained of a 23 percent hike in the gas tax rate.

Besides I-93, the revenues will help fund resurfacing and reconstruction projects on secondary roads, as well as some municipal bridge improvements.

The bill also removes ramp tolls at Exit 12 on the F.E. Everett Turnpike in Merrimack.

The New Hampshire Department of Transportation has a web page dedicated to the transportation improvements, and lists of projects to benefit.

Hassan called transportation improvements a long-term investment in New Hampshire. "A solid, modern transportation infrastructure is the foundation for long-term economic growth, critical to the success of New Hampshire’s people and businesses, and I am proud to sign this bipartisan legislation into law so that we can strengthen our transportation infrastructure and boost our economy," Hassan said.