Right Topic, Wrong Idea
Earlier this week, Oregon’s Representative Earl Blumenauer reintroduced legislation regarding funding for federal highway programs. The bill requires the government to study the most practical ways of taxing drivers based on how far they drive. Truckers are already familiar with the mess that is Oregon’s ton-mile tax on trucks, and Blumenauer’s plan calls for spreading that misery to all motorists nationwide.
While it is a positive sign that Blumenauer’s proposal recognizes the need to increase fuel taxes and to link them to inflation, he unfortunately goes off the deep end by proposing a Vehicle Miles Traveled (VMT) tax scheme based on the false premise that the minuscule percentage of alternative fuel vehicles will ever have a measurable effect on fuel tax revenues.
As I’ve noted previously, the only thing that mileage-based taxes can accomplish, that isn’t already possible with the current fuel tax system, is the creation of yet another politically-driven bureaucracy to administer the new tax.
Tags: Alteranate Fuels
, Highway Funding