Funding Crisis
Debate – Gas Taxes or User Fees

Taxes Supporting Highway Trust Fund

Drawbacks:

• Fuel taxes not responsive to increasing construction costs
• The last federal gas tax increase was in 1993
• No political desire to increase gas taxes

The Reality Is:

• Decreasing Vehicle Miles Traveled = less gas tax revenue
• Rising Oil & Gas Prices = less gas tax revenue
• New energy policies reduce mileage = less gas tax revenue
  (ie: CAFE Standards, hybrid vehicles)

User Fees - Tolling Existing Lanes*

Benefits

• Substantial New Revenue for Reconstruction
• Maintenance Funded by Users of the Facility
• Cost Efficient
• Inflation Sensitive
• Environmentally Friendly with Open Road Tolling (ORT)

Drawback

• Public Opposition

*National Surface Transportation Policy and Revenue Study Commission