No gas tax hike in New Jersey for now

TRENTON, N.J. (WPVI) -- The New Jersey Senate will not vote on a bill that would have raised the gas tax and cut the sales tax in the Garden State.

Action News learned Thursday the Senate is not satisfied with the bill that was approved by the Assembly, and senators are working to draft their own legislation.

The current legislation would have raised the gas tax to 37.5 cents a gallon from 14.5 cents and cut the sales tax from seven percent to six percent. The gas tax money would be used to pay for road and bridge work for eight years.

Gov. Chris Christie has been vocal in his support of the current bill.

"All I've heard from Democrats for two years is 'you have a crisis, and it has to be done by June 30.' Well, here we are June 30 and the people holding it up are the Democrats in the Senate," Christie said.

Democrats in the Senate favor another plan that doesn't include the sales tax.

"People are used to buying the basics, they don't care whether it's seven or six percent, so it's not worth putting a big hole in the budget," said Senate Majority Leader Loretta Weinberg.

The tax changes are part of a bill to extend the state transportation trust fund's borrowing authority, which runs out on July 1.
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