1920s
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1923
The first state gas tax was created to fund the expansion of the state highway system. Initially, the tax was set at 2 cents a gallon. Accompanying legislation also created the "Motor Vehicle Fuel Fund," with some of the money going directly to counties and other funds being deposited into the "State Highway Maintenance Fund" for maintenance, repair, widening, resurfacing, and reconstruction of state highways and roads and highways in state parks.