A Citgo gas station in Trucksville sold gas for $2.31 per gallon to cash paying customers on New Year's Eve. The price was about a dollar per gallon lower than the previous year in Pennsylvania. But the cost at the Citgo and other gas stations throughout the state jumps by about a dime per gallon on New Year's Day. It's why Larry Watkins of Wilkes-Barre decided to fill up New Year's Eve at Phil's Sunoco on South Main Street in Wilkes-Barre before the price spike. "Pick up ten cents a gallon, it can't hurt." John Gola of Wilkes-Barre added, "I can't believe it's going up ten cents. Geez."

You can blame the increase on the Oil Company Franchise Tax. The first phase of that state tax took effect last January. The second of three phases kicks-in to kick-off 2015. Mr. Gola is frustrated by the tax. "I think everybody wants to pay less than more because it will stop them from traveling," he said.

Pennsylvania is among the leading states with the highest fuel taxes. Effective New Year's Day, the combined cost of state and federal gas taxes will account for about 70 cents per gallon of what you pay at the pump here in Pennsylvania. The tax increase will help the commonwealth address a growing number of highways and bridges in need of repair or replacement. "I have no problem with the tax. Pennsylvania needs it." Joanne Soprano of Wilkes-Barre added, "I think we really need our roads fixed. Some of them are really bad. So, I think it will help."

PennDOT says the Oil Company Franchise Tax accounted for $800 million more into the 2014 transportation budget. It allowed for improvements to about 1,600 miles of pavement and 83 bridges. While the second phase of the tax increase takes effect for a second straight year this New Year's Day, the third of the three tax increases won't take effect until 2017.

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