Dole Says He Would Support Gas Tax Hike

Senate Republican leader Bob Dole said Sunday that he would support a rise in gasoline taxes to rebuild America’s roads and bridges, including those damaged by the Bay Area earthquake.

The Kansas lawmaker said that the American people “would understand, not only in earthquake areas, but all across America,” the need for such a tax.

But he said that he would oppose using the increased revenues as a way to cut the budget deficit.

Dole’s suggestion, during an interview on NBC’s “Meet the Press,” could open the way for new bipartisan efforts to raise government revenues despite President Bush’s rejection of a tax increase.

Dole and Senate Majority Leader George J. Mitchell (D-Me.) agreed that everything should be “on the table” in negotiations on fiscal 1991 federal spending--including taxes and curbs on entitlements, such as Social Security.

While he opposed raising income tax rates, Dole said, “there are a lot of loopholes just begging to be closed out there. . . . That’s billions of dollars.”

In the past, Dole has favored an oil-import fee and certain taxes earmarked for specific needs, but Sunday marked the first time he had mentioned an increase in the gasoline tax publicly, spokesman Paul E. Jacobson said later.

The senator said that he did not know how Bush would react, but added: “That’s not a major tax increase.”

David P. Prosperi, a Department of Transportation spokesman, said Secretary Samuel K. Skinner had backed the President’s opposition to any new federal taxes, including an increase in the gasoline tax.