Senator's Proposal For Studded Tire Tax Increase Could Double Price Of Studded Tires
Alaskan Senator Cathy Giessel has reworked a bill proposal that would increase the state's studded tire tax to $200 dollars for a set of four tires.
With the State in a three billion dollar budget deficit and oil prices remaining low, Geissel is worried that oil tax revenues will not cover state infrastructure, such as road repair.
Studded tires damage roads much faster than stud-less winter tires, reducing the life expectancy of Alaskan roads.
With the current tax on four studded tires at 20 dollars, the bill calls for an increase of the tax to 200 dollars, or 50 dollars per tire.
Her initial suggestion had been 75 dollars a tire, or 300 for a set.
The bill has been sent to two committees, but Geissel says she will do more research before requesting a hearing.
Store manager at American Tire and Auto, James Tewalt, says it's not fair to have a possible increase in tire stud taxes.