The governor and state senate of California have approved Senate Bill No. 1077. The bill calls for the creation of a road usage charge technical committee, which will study alternatives to the existing gas tax.
The committee will further be tasked with making recommendations to the secretary of the transport agency on the design of a road usage charge pilot programme. According to the bill, the legislature finds that: “An efficient transport system is critical for California’s economy and quality of life. The revenues currently available for highways and local roads are inadequate to preserve and maintain existing infrastructure and to provide funds for improvements that would reduce congestion and improve service.”
The bill states that: “The gas tax is an ineffective mechanism for meeting California’s long-term revenue needs.” The bill cites the example of Oregon, which is leading the way in road user charging across the United States.
Article taken from the November 2014 issue of RUC Magazine