A new tax has been approved on certain motor fuel deliveries made in the corporate limits and police jurisdiction of the city of Foley. The city council approved the ordinance’s second reading at the Sept. 19 council meeting.

City Council President Wayne Trawick reported at the meeting that years ago, the city council declined to impose a tax on gas stations in the city in hopes that the area would be more competitive than surrounding areas but that hasn’t happened. The ordinance states the city has road, bridge and transportation infrastructure needs that are disproportionately large when compared to its population due to the heavy tourist and non-resident traffic that travels through the city.

The small proportion of taxes collected by the state on gasoline and motor fuel transactions are distributed to municipalities based on population and the city has found that an additional source of municipal revenue is needed to help provide for the general needs of the city, including its road, bridge and transportation infrastructure needs.

Imposing an additional local tax on certain motor fuel transactions will help spread the burden of the new tax on all motor fuel consumers in and around Foley rather than burdening only city residents.

Each gallon of fuel that is delivered in the corporate limits of the city of Foley by a distributor will have an additional tax of three cents imposed. Fuel delivered into Foley’s police jurisdiction, but outside the corporate limits, will have a tax equal to $0.015 per gallon imposed.

This new tax will become effective on Dec. 1 of this year.