With the expiration date for the current surface transportation legislation just over a year away, the House Transportation and Infrastructure Committee conducted the latest in a series of hearings to identify issues that need to be addressed when drafting the reauthorization proposal. Transportation Secretary Sean Duffy said the Administration will be submitting a formal proposal of its policy recommendations but broadly outlined the Trump administration plans for freight connectivity improvements, highway safety projects and regulatory changes to speed up project delivery. Investments in traditional infrastructure projects to improve the supply chain and a focus on streamlining the environmental permitting process are atop the priorities that will be included.
At a hearing before the Senate Commerce Committee, the American Trucking Association (ATA) called for a transition from motor fuels tax to an annual vehicle registration fee to help pay for maintaining and improving roads and bridges. “We’re looking seriously at advocating for a registration fee that applies to everybody – trucks, cars, electric vehicles,” ATA President Chris Spear told the lawmakers. “You already register your vehicle at the state [motor vehicle agencies], you simply pay for what you normally would pay in fuel costs at the pump. You get rid of the gas tax, the tire tax, and put it in a registration fee.” Spear said the cost of the annual fee could be roughly $200 to $250 for cars, with payments spread out over the course of the year. “It would be more for the trucking industry, but that’s fine, we’re willing to do that,” he said. “It would capture everyone, and it’s fair.”
Congress has for years been making up for gas-tax shortfalls in the Highway Trust Fund (HTF) by transferring money from the Treasury Department’s general fund. But with the HTF estimated to be depleted by 2028, lawmakers are considering alternative payment options including a weight-based user fee for the trucking industry.