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Half of readers object to a miles-traveled tax as fuel-tax replacement

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Updated May 11, 2019

Poll results above were collected in the wake of Overdrive Editorial Director Max Heine’s post to the Overdrive Extra blog detailing moves around the nation to explore the idea of a vehicle-miles-traveled tax as a replacement for the motor fuels tax that drives highway infrastructure financing today. Part of the picture complicating the very notion of replacing the fuel tax is the slow but steady overlay of toll roads on top of the current system, which so many view as tantamount to double taxation. As Heine wrote in that piece, “Tolling interstates is another seasoned punching bag” in the trucking/highways conversation, “but some of the old arguments against it are beginning to soften.”

Softening, that is, as long as we’re talking about the notion of applying a miles-traveled tax in a consistent and equitable fashion. “By ‘all highway users,’ I guess they really mean all, including cars,” noted Overdrive reader Richard in commentary under the poll. Not that the reader was necessarily among the rough third (37%) in favor of a VMT tax as a potential alternative to the today’s fuels tax system. As always, he suspected, “the truck will pay more taxes on that also, as they do now. Any amount of money will never be enough.”

Reader Don took that further, likening the imposition of a VMT tax to what happens with toll roads today: “I think you would get hit twice because your still going to pay tax at the pump. They wont get rid of that. They will probably increase it.”

Government mismanagement of funding, others suggested, was likely to continue to plague the system, however it’s funded. As Bob West put it, “It’s not going to matter how they charge. They will still mismanage the money.” 

Yet the last time Overdrive polled readers about the appropriateness of allowing toll projects on the interstate system, two thirds objected to it categorically, while the vast majority of the rest preferred limiting any tolls to new lanes or new roads entirely. A VMT tax as a replacement for the fuels tax garners wider support, though its often-envisioned method of collection and accounting for miles — widespread in-vehicle telematics — is also viewed by some to have “obvious privacy implications,” as noted reader M.J. Nichols, as does any personal electronic device from which information is pulsed, collected and harvested, whatever the reason for the harvesting.

The predominance of fuel surcharges, too, makes it at least relatively simple to “recover a fuel tax increase,” Nichols added, given such increases would rather automatically reflect themselves in carriers’ surcharge arrangements with customers. A VMT-tax increase might not be so easy to account for. “You’re going to eat the VMT,” Nichols wrote.

The need for robust maintenance and new capacity, at least, is a given when one considers the state of the highway system today. The debate over the funding mechanism is complicated, for sure, though well-distilled by Heine in his prior post, wherever you stand on the potential for VMT taxing to replace the fuel tax. Read more via this link.