4 ms·
Around 20% of the motor fuels tax ends up in the general fund, and not the highway trust fund. Your legislators can increase highway/transit infrastructure spe
by chiph 11y ago
Around 20% of the motor fuels tax ends up in the general fund, and not the highway trust fund. Your legislators can increase highway/transit infrastructure spending by that amount, but won't pull funding from other programs that have grown dependent on it. You should talk to them about this.
The article briefly touched on it, but as car owners transition to non-petroleum powered vehicles, the motor fuels revenue has nowhere to go but down. So the current taxation basis of gallons consumed will become unworkable. Taxing based on miles traveled has privacy implications (they will need to monitor your driving to assess the tax). A monthly road-tax based on vehicle size/weight/capacity might be the only way to keep highways funded.
To keep transit systems like BART funded, they will have to support it by taxing the local population, whether they own a car or not (remove the dependence on the highway trust fund).