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Iowa House Passes Bill Taxing Gas Without Ethanol

April 04, 2006

DES MOINES, IOWA – The Iowa House has passed a bill that would raise the state tax on gas that does not contain ethanol if Iowa does not reach the goal of having ethanol account for 25 percent of the fuel sold in Iowa by 2025. Representative Steve Olson, from DeWitt, said it’s an accountability measure to try to drive demand for corn-based ethanol, according to the Web site The House voted to set aside $2 million in each of the next nine years for state grants for stations that install new tanks that will dispense E-85. The bill now goes to the Iowa State Senate.
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