(TargetLiberty.org) – States are examining what options they have to gather the necessary funds for road maintenance in the coming years. For more than a century, gas taxes have been predominantly used for that purpose. However, because of inflation, the amount generated from gas taxes has been decreasing. The increase in fuel efficiency and usage of electric cars has also led to a significant reduction in gas taxes.
States are now looking at alternative options which could help completely replace those taxes. One of the proposals is that drivers should be charged based on how many miles they have driven rather than by the gallon. Other ideas include taxing electricity from public vehicle charging stations.
In 2015, Oregon started a pilot program that would charge motorists based on how many miles they have traveled instead of how much gas they have used. Drivers were required to plug a device into their vehicle which would capture mileage.
Currently, only Oregon, Utah, and Virginia have started generating revenue by measuring road usage.
A similar program is going to be piloted by President Biden’s administration. The pilot program is funded by $125 million from President Biden’s infrastructure that was first signed in November 2021.
Another idea included charging for door-to-door deliveries. In Colorado last year they implemented a 27-cent tax on home deliveries from online retailers to help cover the transportation project costs.
Other states have been looking into establishing electronic toll systems.
The National Transportation Finance Center at San Jose State University’s Mineta Transportation Institute, which has conducted annual national surveys since 2010, has pointed to an increase in mileage-based fees, and special rates and fees for low-income drivers, according to its director, Asha Weinstein Agrawal.
Copyright 2023, TargetLiberty.org
