- Associated Press - Thursday, June 5, 2014

LANSING, Mich. (AP) - The Michigan Senate has voted to dedicate part of the state sales tax collected on gasoline to road funding, while talks continue over the bigger issue - raising taxes and vehicle registration fees to repair roads.

Legislation approved unanimously Thursday would move $128 million a year from Michigan’s general fund to transportation. It goes to the House, which has passed its own road-funding package that’s stalled while senators debate ways to raise much more revenue for deteriorating roads.

One plan would effectively more than double the 19-cents-a-gallon gasoline tax by 2018, raising $1.2 billion per year. Another would increase Michigan’s 6 percent sales tax.

Time’s running out before lawmakers adjourn in a week. Majority Republicans are divided on raising taxes and Democrats oppose increasing taxes unless lower-income residents get relief.

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