For nearly a century, the tax you pay at the pump has helped fund road repairs on California's highways and locals streets.
The wave of more fuel efficient cars on the streets has made a cut in those gas tax revenues. According to Caltrans, as much as half of the gas tax revenue collected by 2030 will be lost to fuel efficiency. Raising the gas tax, which hasn't happened since 1994, would only be a short-term solution to the funding gap.
So, state transportation officials are looking at other possible funding sources -- including taxing drivers on the miles they drive.
Next year, state lawmakers will decide whether to fund road maintenance projects through a per-mile tax that would replace the existing gas consumption tax.
For the next nine months up to 5,000 volunteers in California will test out and compare a variety of road charging methods. Drivers in the program will not actually be charged, but they will submit a mock payment for testing purposes.
Participants have the following options for reporting mileage:
- Time permit: The participant purchases unlimited road use for a specific period of time.
- Mileage permit: The participant pre-pays to drive a certain number of miles.
- Odometer charge: The participant pays a fee per mile based on periodic odometer readings.
- Automated mileage reporting without general location data: Cars will have equipment to measure and report mileage automatically to an account manager (either provided by a state agency or a private company). The account manager periodically (monthly or quarterly) sends the driver an invoice for road use.
- Automated mileage reporting with general location data: Cars will have equipment to report mileage traveled to a third party account manager, which invoices the participant. The equipment also provides general location data so the participant is credited for travel out-of-state, or on private roads.
Technology options recommended by the state for this option include in-vehicle telematics, smartphone apps, and plug-in devices for the vehicle’s on-board diagnostics (OBD-II) data port.
Given all of these options, Caltrans says drivers in the program won't need to purchase or install any new technology to be part of the pilot.
Should state lawmakers decide to implement the road charge in 2017, this test program will help shape recommendations for ensuring driver's privacy.
Interested in being a volunteer driver? CLICK HERE
