This summer, as Californians prepare for road trips and vacations, I wanted to share my thoughts on the Road Charge Collection Pilot, a mileage-based tax program designed to help fund road maintenance. This pilot program offers drivers the chance to voluntarily sign up and test a new funding approach, where they pay a set fee for each mile driven or a fee based on their vehicle’s fuel efficiency. The program is set to run from August 2024 to January 2025.
In 2014, the California legislature passed SB 1077 to research a road charge system, involving over 5,000 vehicles and documenting 37 million miles of travel. The study proposed a shift to a per-mile charge to distribute road maintenance costs among all drivers, regardless of their vehicle’s fuel efficiency.
Historically, road maintenance has been funded through the gas tax when you buy fuel, and a portion of that expense helps maintain our roads. However, as electric vehicles (EVs), which bypass traditional fuel consumption, become more prevalent, revenue from this tax has been declining. The proposed state solution is to charge drivers based on the miles they drive.
Although this may seem fair on paper, it’s important to consider the potential negative impacts. Firstly, charging by the mile could potentially increase your costs, especially when you’re planning vacations or visiting relatives. This might discourage some from traveling, potentially affecting our state’s tourism industry.
Another concern is privacy. If this pilot program were adopted nationwide, how would mileage be tracked and reported without infringing on individual privacy? How much would it cost to administer the tax.
Additionally, this mileage-based tax could impact lower and middle-income families. Those who rely on their vehicles for daily commutes, especially in less fuel-efficient vehicles or from remote areas, might find this system feels like a double tax, disproportionately affecting them. How is that fair?
Lastly, California’s push to move to electric vehicles by 2045 presents some infrastructure challenges. For instance, last summer’s heatwaves led to blackouts that disrupted EV charging, indicating that our current infrastructure may not yet be equipped to support a fully electric future.
While the Road Charge Collection Pilot has good intentions, its unintended consequences could place an extra burden on hardworking residents. Instead of creating more tax burdens, we should focus on managing our money better and prioritizing the use of funding.
Thank you for Reading – and as always if you want to contact me, call me at 916-874-5491, or e-mail me at SupervisorFrost@saccounty.gov.
Sacramento County Supervisor Sue Frost represents the 4th District, which includes the communities of Citrus Heights, Folsom, Orangevale, Antelope, North Highlands, Rio Linda, Elverta, and Rancho Murieta.
