Gas tax hike: why you may not see an immediate increase Sunday - KWWL - Eastern Iowa Breaking News, Weather, Closings

Gas tax hike: why you may not see an immediate increase Sunday

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CEDAR RAPIDS (KWWL) - After weeks of lower prices, the cost of gas is going up again and the bad news -- Iowa's fuel tax goes up an extra ten cents starting Sunday. But the good news -- it may not have an immediate impact on what you pay.

"We don't anticipate a huge fluctuation," said Dave Blum, Store Director at a Cedar Rapids Hy-Vee.

However, even Blum doesn't know what the price of gasoline will be come Sunday. He says there's a lot of factors that go into setting the price of gasoline but it's the same as any other product. It's just like setting the price of a can of green beans.

"Where's the demand at, what's our competition at, obviously our cost goes into that," said Blum.

While nobody likes paying more for gas some say the situation could be worse.

"I buy gas a lot so it is what it is," said Kelsey Schnuelle, who lives in Cedar Rapids. "It's better than $3 a gallon."

The money from the higher gas tax will go towards fixing roads and bridges which many agree need work but people disagree about whether the gas tax is the best way to pay for that.

"The infrastructure's important -- roads, bridges all that," said Joseph Watson, who lives in Cedar Rapids. "We probably could have planned better for it than we did the past 20 years."

"We need the roads to be repaired and I will be watching closely to see that, I want to see some difference in the roads," said Loras Huilman, who lives in Cedar Rapids.

The higher gas tax is expected to bring in an  extra $215 million per year. 

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