Rep: Tribal gas should be taxed

ALBUQUERQUE (KRQE) - It's no secret gas at tribal fill-up stations is normally cheaper. That's because the pueblos don't have to pay the state taxes on gas.

“It's 17 cents a gallon on gasoline,” said State Representative Larry Larranaga .

He said those cents could really add up in the state's favor, “We are talking about 35-40 million dollars”.

He has proposed House Bill 48 that would make some tribal gas stations start forking over those cents. He said his plan is a way to get the nearly bankrupt department of transportation into the black.

“This bill says lets do this for a while and see if we can get that agency back on track as far as their funding is required,” said Larranaga.

The state currently holds contracts with some pueblos negotiating how much of a tax cut they get, but others don't have agreements with the state and just don't pay the 17 cents. Larranaga’s bill wouldn't affect the pueblos who have contracts with New Mexico. But he knows the pueblos that don't have agreements on the tax breaks won't be happy.

“There is push back from anything once you start getting money from another place, that's understandable,” he said.

But Larranaga points out that the money collected would be used for the good of everyone, including tribal members, because it would fix problem roads.

“The roads that are maintained by the dot are in all lands,” he said. “I mean it's state land, it's tribal land”

News 13 called about a dozen pueblos looking for comment but did not hear back.