Federal highway program gridlock: Bills push tolls and P3s as quick fix
By Terri Hall
July 28, 2014
The Federal Highway Trust Fund is going broke. The 18.4 cents a gallon in gasoline tax levied by the federal government is no longer sufficient to fund the highway program. The current federal highway bill, MAP-21, expires next month. The House passed a short term extension bill that puts off the pain until after the mid-term elections in November, and it remains to be seen what short-term fix the Senate will pass, but we’ll be right back where we started next May.
Rather than discipline the use of the fund to restrict it to highways only, the feds continue to divert significant gas tax revenue to transit programs that auto users do not benefit from. If ending transit diversions still isn’t sufficient to fund the program, then indexing the gas tax to inflation (with a cap to protect against runaway inflation) is preferable to a massive increase in tolling and selling off our public highways to private, even foreign, corporations in public private partnerships known as P3s.