New Jersey Gov. Chris Christie is poised to increase the state’s gas tax by 23 cents, knocking New Jersey from its perch as the nation’s second lowest gas tax.

With backing from Christie, the state assembly passed the bill Tuesday, which would go into effect July 1 if it is signed into law, according to a report by NBC 4. Chris Christie has announced support for the bill and is expected to sign it once it passes the Democrat-controlled state Senate.

With the 23 cent increase, New Jersey would skyrocket from 49th lowest gas tax — at 14.5 cents — to ninth highest — 37.5 cents — vaulting ahead of Rhode Island, which has a 34 cent tax.

This marks the first time in 25 years New Jersey has raised its gas tax.

Proponents say the raise is tax neutral. The state assembly has also decided to get rid of the estate tax, raise the retirement income tax threshold, increase tax credits for the poor and establish a charitable deduction in the tax code.

“We’re giving a tax break to basically everybody in New Jersey,” Assembly Speaker Vincent Prieto told NBC 4 Tuesday. “It’s important to put money in the pockets of people, but it’s important to fund the transportation trust fund that runs out of money at the end of this fiscal year.”

Christie has also voiced his approval of the tax increase.

“I’m pleased that the Assembly has heeded my suggestion for tax fairness as I’ve been calling for for a long time,” Christie told reporters Tuesday. “I think it was needed, necessary, while at the same time we’re going to have constitutionally dedicated revenue to improve roads, bridges and mass transit systems here in the state.”

The bill would set up a $2 billion trust fund for the transportation department as the current $1.6 billion per year fund is going to run dry on July 1.

The state claims it is running out of money for much needed repairs to roads and bridges and hopes the gas tax will help fund those repairs.

Some New Jersey residents aren’t too happy about the increase. “They say they want to fix roads with it. I’m all for fixing the roads, but the tax actually has to go to what its earmarked for,” New Jersey resident Doug King told CBS 2. “New Jersey doesn’t have a good history of that.”

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