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Alcohol Tax Hike Yes, Gas Tax Hike No In Maryland

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While the legislature did approve a hike in the alcohol tax, with much of the money going to school construction, it did not OK a plan to raise the state gas tax. The money raised by that would have gone to transportation projects.

Raising the tax as the cost of gas hits $4 a gallon isn't popular, but Lisa Fadden of the Montgomery County Chamber of Commerce says it's still needed.

"It's hard, but the truth is the gas tax is the system we have. It's the number one source of revenue to Maryland's Transportation Trust Fund. It's the system we have," she says.

Fadden says the state will have to show it has sufficient money for projects such as the Purple Line if it ever hopes to get matching funds from the federal government.

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