United States Department of Transportation
i
Mileage Based User Fee Funding and Deployment Planner for State Transportation Funding Agencies
-
2021-08-30
-
[PDF-444.29 KB]
Details:
-
Creators:
-
Corporate Creators:
-
Corporate Contributors:
-
Subject/TRT Terms:
-
Resource Type:
-
Geographical Coverage:
-
Edition:Final
-
Corporate Publisher:
-
Abstract:The current motor fuel tax (MFT) system in the US does not generate sufficient revenue for infrastructure development. To make up for the lack of revenue and to keep up with expenditures, states have begun to explore alternatives such as mileage-based user fees (MBUF). Using federal and state level data and Pennsylvania as a case study, the authors demonstrate the difference and importance of revenue-neutral versus revenue-needed when determining a rate for MBUF and argue that rates should be based on revenue-needed. The Pennsylvania MFT generated $2.1 billion in 2019, translating to a 1.3¢ per mile revenue neutral rate for passenger vehicles. Under the revenue-needed rate, the revenue needed to be replaced is the MFT, miscellaneous, and appropriations from general funds and other state imposts, totaling to $3.8 billion in 2019. This translates to a 2.3¢ per mile rate for passenger vehicles, which is an 81% increase from revenue-neutral rates. This same method can be used to support rate setting and revenue collection decisions in other states.
-
Format:
-
Funding:
-
Collection(s):
-
Main Document Checksum:
-
Download URL:
-
File Type:
