Thursday, April 14, 2005

Gas Tax not keeping up with infrastructure needs

California's gas tax is failing to meet it stated goals, according to SacBee columnist Daniel Weintraub:

The state's gasoline tax, the primary source of funding for road construction and maintenance, has been eroded by inflation and increased fuel efficiency. Since 1998, vehicle miles traveled on California roads have increased an estimated 16 percent, while the gas tax, adjusted for inflation, has declined by 8 percent.

A stop-gap attempt to shift the sales tax on gas to road construction, passed in 2002, hasn't worked either, because the state's other programs, from education to health care and social services, can't afford to give up the money.

What's needed is an increase in the gas tax. Currently set at 18 cents per gallon, the tax ought to rise by at least a dime, and perhaps be indexed to inflation. The gas tax is a user fee, requiring those who use the roads most to pay more for their construction and upkeep. There's no shame in acknowledging that the revenue it's now generating is falling short of the need.

Another alternative would be to do away with fuel efficiency standards, but I'd doubt that'd get very far!