RICHMOND, Va. (WUSA9) -- Virginia's governor held a ceremonial signing today of the state's new $6 billion transportation funding law.
Governor Bob McDonnell celebrated his legislative triumph with the ceremony at the capital today.
"Forty-three Republicans and 43 Democrats voted for it; that's about as bi-partisan as you can get," said Gov. McDonnell.
His sweeping, long-term overhaul of Virginia's transportation system will pay for projects on the states six year plan, it will also fund repairs and upkeep highways.
Approval of the compromise bill came on the final day of the 2013 session of the General Assembly.
The measure boosts statewide sales taxes from 5 percent to 5.3 percent but in Northern Virginia, that's Loudoun and Prince William counties and everything north or east of there, along with Hampton Roads, the sales tax goes up to 6%. It will generate $1.5 billion for Northern Virginia projects.
The Governor made raising the sales tax more appealing by lowering the gas tax. The measure replaces Virginia's 17 1/2 cents-per-gallon retail gasoline tax with a 3.5 percent wholesale tax on gasoline and a 6 percent levy on diesel fuel. It also increases the titling tax on car sales.
Alternative fuel vehicles will pay a $64 fee assessed to ensure that they pay their share for road maintenance and wear and tear caused by their vehicles.