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Could Vehicle Mile Fee Replace Gas Taxes?

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Buffalo, NY (WBEN) - A group that looks to suggest constructive changes in the finances of New York has proposed shifting away from the gas tax.

The New York Citizen Budget Commission says revenues for gas taxes are on the decline, mainly because of better fuel efficiency in vehicles:


"Retaining fuel taxes and the benefits derived from these revenues and encouraging more fuel efficient vehicles is vital; however, looking to new charges that better measure the physical and social costs imposed by motor vehicle travel are necessary to ensure the state's transportation funding approach is sustainable."

"It has decreased about 51 percent over the last 25 years or so," said Patrick Orecki from the Citizen Budget Commission. "A vehicle miles traveled tax is a per mile fee either in addition to or in lieu of gas taxes you pay at the pump." Orecki says pilot programs have been done in other states.

Orecki says use of a vehicle miles traveled fee tries to more directly link miles traveled to the revenue generated from that vehicle mile traveled.

"There could be utilization of onboard systems in cars because cars are modernized with GPS systems built in. Other pilot programs have given a device to people who have opted in and the device records the distance traveled."

He says the goal is to link the charges to utlilize roads and bridges to the use and benefit of them. "The gas tax is a proxy for vehicle mileage traveled."