GAO Tells Congress To Choose Between A Federal Tax On Miles Driven Or Raise Gas Taxes

The government's auditor says Congress should institute a pilot program to test raising money for road repairs through a tax on vehicle miles traveled.

Congress and the Obama administration have struggled to find new revenue to pay for maintaining the nation's roads, as gas tax revenue fails to keep up with repairs.

Over the coming decade, the federal government faces a $110 billion shortfall for road repairs without new revenue, something that will get worse as government fuel efficiency mandates rise and reduce fuel use.

The Government Accountability Office thinks a mileage-based user fee — known as a "VMT" — should be reviewed by Congress.

"Without a federal pilot program to evaluate options to more accurately charge commercial trucks and electric vehicles for their road use and the costs and benefits of such systems, Congress lacks critical information to assess whether mileage fees for these vehicles could be a viable and cost-effective tool to help address the nation's surface transportation funding challenges," the GAO said.


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Agent009 - 1/10/2013 12:10:57 PM

+1 Boost

You have to pay for the handouts somehow and road repair funding may be for the "rich" that afford to drive. Somehow it seems the middle class will end up paying the brunt of this.

PLAY - 1/10/2013 12:56:54 PM

0 Boost

Right... and how is he going to do that? Increases in taxes have to come from Congress.

Most likely the can will be kicked down the road and no transportation taxes will happen at the Federal level. Congress will simply appropriate funds to the the program as discretionary spending. Some of this will be borrowed money. Hypothetically if congress were going to address the budget issue and pay for the spending it appropriates, it could just raise income taxes or other taxes to cover the spending increases. A gasoline tax is not necessary. Though it does make sense because it charges people for actually using public goods.

1CarSmart1 - 1/11/2013 10:30:50 AM

-2 Boost

We must have more mass transit and fewer private cars! or at least fewer earth killing car.

thomas - 1/11/2013 8:40:24 PM

+1 Boost

Time to start making your own bio-diesel and or ethanol/shine. Double savings and double fun -just not together!!!