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Utah's controversial gas tax bill is unveiled after spat with Idaho

Utah's controversial gas tax bill is unveiled after spat with Idaho
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SALT LAKE CITY — A closely-watched bill that triggered a spat with Idaho's legislature has finally been made public in the Utah State Legislature.

House Bill 575, sponsored by Rep. Cal Roberts, R-Draper, now imposes a 15% drop in the gas tax that consumers pay at the pump. But the bill no longer does what Idaho lawmakers feared when they ran a resolution critical of their counterparts in Utah.

A tax on refineries that was opposed by the petroleum industry and Idaho political leaders was left out. Instead, the bill will focus on pushing increasing fuel production and supply.

"There’s been really great discussions, ongoing with Idaho and the petroleum industry," House Speaker Mike Schultz, R-Hooper, told reporters on Tuesday.

The bill, a priority of House Republican leadership in the Utah State Legislature, was designed to offer relief to Utah consumers while not taking away from road funds. That's where a refinery-level tax was initially proposed.

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But it led to a cross-border fight. FOX 13 News first reported that Idaho House Speaker Mike Moyle introduced a "memorial" (the Idaho legislative equivalent to a resolution) criticizing the Utah State Legislature. Moyle told FOX 13 News and sister-station Idaho News 6 in Boise the proposal was "bull manure" and would lead to Idahoans paying more at the pump. In retaliation, he threatened to cut off water going from Idaho into Utah and harming the Great Salt Lake.

Speaker Schultz criticized Idaho's memorial as "childish" but tried to remain above the fray. The whole situation blew up to the point the governors of Utah and Idaho were involved in discussions over a bill that hadn't been made public.

HB575 will impact Utah's budget. There's anticipated a $10-12 million shortfall for roads, but Speaker Schultz defended it as good for Utahns who want some relief from high gas prices.

"There was a lot of political theatre with Idaho," Rep. Roberts told FOX 13 News in an interview shortly after the bill was unveiled. "I'm confident we can actually put together a good deal that’s good for Utah, good for Idaho and have us partner on not only on energy, not only on the gas prices in the region, but also the water as well."

Speaker Schultz and Rep. Roberts hinted some agreements had been made related to water in the region. Utah is grappling with separate water crisis surrounding the Colorado River (where negotiations blew up on Friday) and the shrinking Great Salt Lake. A news conference was scheduled for Monday to announce more on the water agreements with Idaho.

The Bear River originates in Utah, flows into Idaho and back into Utah before winding up in the Great Salt Lake.