Congress Looks for Alternative Transportation Funding as Fuel Tax Revenue Diminishes-SmartCitiesDive
By Dan Zukowski
The House Transportation and Infrastructure Committee held a hearing Wednesday on the thorny issue of how to pay for the federal government’s funding of highway and mass transit projects. The main source of funds, the Highway Trust Fund, is projected to run out of money by 2028, according to a May analysis by the Congressional Budget Office.
“The issue before us today is how do we ensure we have the resources to build and maintain a surface transportation system that will meet the needs of our nation and allow us to remain competitive in the 21st century,” said U.S. Rep. Rick Crawford, R-Ark., in opening remarks.
The budget dilemma for the Highway Trust Fund is that it is primarily supported by federal taxes on gasoline and diesel fuel, along with heavy-duty truck fees. But as vehicles have become more fuel-efficient and electric vehicles grow in number, reliance on fuel taxes will no longer be viable.