It’s time to go. Peter Rogoff, the administrator of the Federal Transit Administration said as much yesterday at the American Public Transportation Association annual meeting.
A meeting attendee asked Rogoff, during the Q&A session following his speech, about the insolvency of the Highway Trust Fund, where gas tax revenues go, and from which payments for road, transit, and bike projects are drawn. Rogoff replied,
We see a lot of governors taking this on. Wyoming raised its gas tax 15 cents. And on any given weekend there are more Democrats drinking beer in my backyard than in the entire Wyoming legislature. All options are being considered. Gas tax has diminishing returns. We can’t simultaneously lower independence on foreign oil and fund transportation systems dependent on the consumption of oil.
Here’s why the per-gallon gas tax is unsustainable: it loses purchasing power because of inflation. If it were sales tax based on the total cost of your fillup, this would be a completely different story, by decreasing driving instead of decreasing gas use (and yes, they are different because as cars become more fuel efficient, driving can remain the same or go up while gas use can remain the same or go down).
So “goodbye gas tax, hello mileage tax?”
Cross-posted to the Center for Permaculture and Appropriate Technology.