TOPEKA, Kan. – Creating a tax buffer zone along the Kansas border to tie the state's gasoline tax rates to those in Oklahoma, Missouri, Nebraska and Colorado drew praise from one retailer and strong objections from state officials, reports the Associated Press.

On September 14, the Kansas Joint Tax Committee heard testimony about a proposal to create a border buffer zone. Retailer Mark Hurlbutt told the committee his gasoline business, located in the southeast border city of Coffeyville, is at a disadvantage because consumers drive one-half mile into Oklahoma to avoid paying the Kansas 8 cent per gallon gasoline tax, writes the news source.

"It is so frustrating to go by these Oklahoma stores in South Coffeyville and see the cars lined up on both sides of the pumps clear back out into the street," Hurlbutt told the committee.

However, the committee also heard from state officials who testified that the proposed buffer zone is "bad public policy" that would cost the state millions in tax revenue.

Pat Hurley of Economic Lifelines, a highway construction group, told the committee that any proposal to reduce the state's motor fuels tax revenue and reduce funding for road projects "while well intentioned, would have a detrimental impact."

In prepared testimony submitted to the committee, Richard Cram, Kansas Department of Transportation director of policy and research, said that financial and constitutional issues "make the proposal unreasonable," notes the news source.

The AP notes that if adopted, the legislation would create "a 17 percent reduction in fuel tax receipts and would cost the state $13.4 million on gasoline sales and $5.4 million on diesel sales."

"While stations within the designated border area may see some increased fuel sales, Kansas stations outside the area will undoubtedly see declining sales and will be hurt by this proposal," Cram told the committee.

Tom Palace, executive director of the Kansas Petroleum Marketers, and Convenience Store Association Executive Director Tom Palace told the AP that the group is "neutral" on the tax zone buffer plan.

"We are taking a neutral position because there are members who want the reduction of the excise tax on the border, and there are members that feel we are creating a problem for other marketers who would find themselves competing with another Kansas retailer," Palace told the news source. He added that one solution to the problem would be to reduce the state gasoline taxes.

The current tax on gasoline in Kansas is 25 cents per gallon. The AP notes that gasoline taxes in Nebraska are 28 cents per gallon; 22 cents per gallon in Colorado; 17.6 cents per gallon in Missouri; and 17 cents per gallon in Oklahoma.