LOUISVILLE, Ky. (WDRB) — Indiana counties are beginning to receive reimbursement payments from the state after Gov. Mike Braun suspended the state's gas tax earlier this year.
The temporary gas tax holiday, which has been in effect since March, has saved drivers about 62 cents per gallon at the pump. The tax suspension was implemented after rising fuel prices tied to conflict in the Middle East.
Local governments rely on gas tax revenue to fund road repairs and other transportation projects. When announcing the suspension, Braun pledged the state would reimburse cities and counties for the money they lost while the tax was paused.
Those payments are now beginning to arrive.
Floyd County commissioners said the county received more than $20,000 this week as part of the reimbursement effort.
The gas tax holiday is scheduled to expire on Aug. 6. Any extension beyond that date would require approval from the Indiana General Assembly.
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