The War on EVs: US House transport committee head wants to collect EV fees for highway repairs

[morgan20]

1 hour ago, Biker16 said:

This is the problem

 

Since 2008, more than $275 billion - including $118 billion from the 2021 infrastructure law - has ⁠been shifted from the general fund to pay for road repairs.

The highway system was based on users paying for road maintenance and construction, we haven't had a this system for very long. Resulting in Deficit Spending to support Road maintenance. AKA a subsidy 
 

 

Yea, that's a problem at the federal level. At the state level, 26 states plus D.C. have taken action to adjust gasoline taxes so that they vary based on criteria such as inflation, CPI, highway construction cost, etc. 

 

States with Variable Gas Taxes

State	Gas Tax Structure	Year of Last Increase
Alabama	Tax indexed annually to the National Highway Construction Cost.	2019
Arkansas	Tax based on the average wholesale price of gas and diesel, with a floor (prevents the tax from dropping if the 12-month average wholesale price of fuel is less than the previous year) and a ceiling (limits the increase to no more than .1 CPG).	2019
California	Tax varies with inflation.	2020 (per 2017 legislation)
Colorado	Beginning in fiscal year 2032-33 the 8 cent road user fee, which is levied on gasoline, will be indexed to Highway Construction Cost Index inflation.	(2032) (per 2021 legislation)
Connecticut	Tax varies with gas prices.	2013
Florida	Tax varies with CPI.	2015
Georgia	Tax varies with vehicle fuel-efficiency and CPI.	2015
Hawaii	Variable rate only because general sales tax applies to gas.	**
Illinois	Tax varies with CPI.
Indiana	Tax varies with inflation and general sales tax applies to gas.	2017
Kentucky	Tax varies with gas prices.	2015
Maryland	Tax varies with gas prices and CPI.	2013
Michigan	Tax varies with inflation.	2022 (per 2015 legislation)
Minnesota	Tax varies annually with increases in the Minnesota Highway Construction Cost Index. The rate will be 28.3 cents in 2024.	2023
Mississippi	Tax increases every two years (no more than one cent) based on increases in the yearly average of the National Highway Construction Cost Index.	2025
Nebraska	Tax varies with gas prices and appropriation decisions.	2016
New Jersey	Tax varies with gas prices and revenue collection.	2024
New York	Tax varies with gas prices.	2013
North Carolina	Tax varies with population and CPI.	2015
Pennsylvania	Tax varies with gas prices.	2015
Rhode Island	Tax varies with CPI.	2015
Utah	Tax varies with gas prices and CPI.	2015
Vermont	Tax varies with gas prices.	2015
Virginia	Tax varies with CPI.	2020
Washington	Gas tax rate increases 2 percent each year, compounds annually.	2025
West Virginia	Tax varies with gas prices.	2017
D.C.	Tax varies with CPI.	2020

[twintornados]

9 hours ago, fordmantpw said:

My wife works for the department of transportation.  They frown when she parks in the lot with her electric car because they don't think she is paying her fair share of fuel taxes.  🙄

 

I would show them the receipt from the DMV and tell them to F--- all the way off!

[fordmantpw]

9 hours ago, morgan20 said:

 

Haha, if I remember correctly from when I first joined this forum a couple years ago and you welcomed me, you're in central Missouri right fordmantpw? Of course your wife can confidently tell her MoDOT colleagues that her electric car is contributing more than its fair share to the state's Highway Fund, if she hasn't already done that. 😊

 

NCSL states that Missouri has the following registration surcharges for electric and hybrid vehicles:

• $150 additional annual fuel decal fee for alternative fueled passenger motor vehicles, including EVs, up to 18,000 lbs.  
• $75 additional annual fee for plug-in electric hybrid vehicles.  

 

Good memory!

 

42 minutes ago, twintornados said:

 

I would show them the receipt from the DMV and tell them to F--- all the way off!

 

She's too quiet to say anything, especially that! LOL!

 

She's only got 69 days of work left before she retires 23 days before her 50th birthday.  Then she won't have to worry about it! 😄 

[Biker16]

10 hours ago, morgan20 said:

 

Yea, that's a problem at the federal level. At the state level, 26 states plus D.C. have taken action to adjust gasoline taxes so that they vary based on criteria such as inflation, CPI, highway construction cost, etc. 

 

States with Variable Gas Taxes

State	Gas Tax Structure	Year of Last Increase
Alabama	Tax indexed annually to the National Highway Construction Cost.	2019
Arkansas	Tax based on the average wholesale price of gas and diesel, with a floor (prevents the tax from dropping if the 12-month average wholesale price of fuel is less than the previous year) and a ceiling (limits the increase to no more than .1 CPG).	2019
California	Tax varies with inflation.	2020 (per 2017 legislation)
Colorado	Beginning in fiscal year 2032-33 the 8 cent road user fee, which is levied on gasoline, will be indexed to Highway Construction Cost Index inflation.	(2032) (per 2021 legislation)
Connecticut	Tax varies with gas prices.	2013
Florida	Tax varies with CPI.	2015
Georgia	Tax varies with vehicle fuel-efficiency and CPI.	2015
Hawaii	Variable rate only because general sales tax applies to gas.	**
Illinois	Tax varies with CPI.
Indiana	Tax varies with inflation and general sales tax applies to gas.	2017
Kentucky	Tax varies with gas prices.	2015
Maryland	Tax varies with gas prices and CPI.	2013
Michigan	Tax varies with inflation.	2022 (per 2015 legislation)
Minnesota	Tax varies annually with increases in the Minnesota Highway Construction Cost Index. The rate will be 28.3 cents in 2024.	2023
Mississippi	Tax increases every two years (no more than one cent) based on increases in the yearly average of the National Highway Construction Cost Index.	2025
Nebraska	Tax varies with gas prices and appropriation decisions.	2016
New Jersey	Tax varies with gas prices and revenue collection.	2024
New York	Tax varies with gas prices.	2013
North Carolina	Tax varies with population and CPI.	2015
Pennsylvania	Tax varies with gas prices.	2015
Rhode Island	Tax varies with CPI.	2015
Utah	Tax varies with gas prices and CPI.	2015
Vermont	Tax varies with gas prices.	2015
Virginia	Tax varies with CPI.	2020
Washington	Gas tax rate increases 2 percent each year, compounds annually.	2025
West Virginia	Tax varies with gas prices.	2017
D.C.	Tax varies with CPI.	2020

 

Never forget that the states even with higher gas taxes are also receiving federal dollars not paid for by road users. Instead are being paid from income taxes. 

 

In essence, you're asking every American taxpayer to subsidize the construction and maintenance of roads they may not use. 

 

All of this adding to an out of control federal deficit. 

 

The irony is that subsidizing fuel costs. You are making it more costly to move towards a cleaner and less expensive alternative, like EVS or other forms of transportation. 

 

[morgan20]

1 hour ago, Biker16 said:

 

Never forget that the states even with higher gas taxes are also receiving federal dollars not paid for by road users. Instead are being paid from income taxes. 

 

In essence, you're asking every American taxpayer to subsidize the construction and maintenance of roads they may not use. 

 

All of this adding to an out of control federal deficit. 

 

The irony is that subsidizing fuel costs. You are making it more costly to move towards a cleaner and less expensive alternative, like EVS or other forms of transportation. 

 

 

[Deanh]

23 hours ago, HotRunrGuy said:

 

You're getting off cheap. Here in IL,,,,,,,

 

HRG

 

 

 

23 hours ago, HotRunrGuy said:

 

You're getting off cheap. Here in IL,,,,,,,

 

HRG

 

 

California says "Hold my Beer".....

[Biker16]

On 3/19/2026 at 9:00 PM, twintornados said:

 

The real Elephant in the room is that you graduated from high school in 1996...I was 2 years into my recently retired 30 1/2 year career....

 

On 3/19/2026 at 9:28 PM, akirby said:

I was 10 years into a 37 year career......

 

Wow, I didn't know y'all were so old.

[twintornados]

12 hours ago, Biker16 said:

 

 

Wow, I didn't know y'all were so old.

 

[blazerdude20]

If the long term expectation (20+ years) is that most vehicles will be EV’s then you could just add the highway “gas” tax into the rate per kW purchased at charging station. Basically the same old system. You wouldn’t catch the home chargers but it’s a relatively easy solution otherwise. 

[morgan20]

1 hour ago, blazerdude20 said:

If the long term expectation (20+ years) is that most vehicles will be EV’s then you could just add the highway “gas” tax into the rate per kW purchased at charging station. Basically the same old system. You wouldn’t catch the home chargers but it’s a relatively easy solution otherwise. 

 

Kentucky has been doin' that since 2024:

 

Effective January 1, 2025

The statutorily mandated $0.002 increases in the excise tax and surtax rates per kilowatt hour are as follows:

• Excise tax: $0.032
• Surtax: $0.032

Effective January 1, 2024

House Bill 8, passed during the 2022 Kentucky legislative session, establishes a new excise tax on electric vehicle power distributed by an electric vehicle power dealer for the purpose of charging electric vehicles with an initial base rate of three cents ($0.03) per kilowatt hour.  There is an additional surtax with an initial base rate of three cents ($0.03) per kilowatt hour on electric vehicle power distributed by an electric vehicle power dealer when the electric vehicle charging station is located on state property. 

   

Electric vehicle power dealer is a person who owns or leases an electric vehicle charging station. 

*ATTENTION* House Bill 122, passed during the 2024 Kentucky legislative session, changed the definition of electric vehicle power dealer to exclude level 1 and 2 charging stations from taxation. This change applies retroactively to January 1, 2024. Only electric vehicle power dealers with charging stations with a charging capacity greater than 20 kilowatts are required to register, collect, and remit the electric vehicle power excise tax. If you have any questions concerning your account or fillings, please contact the Motor Fuels Tax Section.

 

Electric vehicle charging station is any place accessible to general public vehicular traffic where electric power may be used to charge a battery or other storage device of a licensed electric vehicle.

 

If the proposed EV registration fee at the federal level mentioned at the beginning of this thread becomes reality, EV owners in Kentucky (and in most other states) will pay far more in taxes and fees than gasoline vehicle owners.

 

[rmc523]

On 3/27/2026 at 5:33 PM, blazerdude20 said:

If the long term expectation (20+ years) is that most vehicles will be EV’s then you could just add the highway “gas” tax into the rate per kW purchased at charging station. Basically the same old system. You wouldn’t catch the home chargers but it’s a relatively easy solution otherwise. 

 

Except I wouldn't consider that an "easy" solution, as it'll still eliminate a big chunk of the money for road repairs if most people are charging at home.

[morgan20]

33 minutes ago, rmc523 said:

 

Except I wouldn't consider that an "easy" solution, as it'll still eliminate a big chunk of the money for road repairs if most people are charging at home.

 

Yea, "easy" solutions usually ain't. 😊 Kentucky has both a registration surcharge for EV (currently $126/year) and a excise tax + surtax per kilowatt hour for public EV fast charging stations. 

[sullynd]

They should shift the tax to tires. 

[akirby]

1 hour ago, sullynd said:

They should shift the tax to tires. 

That's not a bad idea.  It would relate directly to miles driven although to be 100% equitable it should be based on treadwear ratings.  My Pirelli P Zero summer tires are 200 and probably won't last more than 10k miles whereas some regular passenger car tires may be 600+ and last 60k-80k miles.

[Texasota]

1 hour ago, sullynd said:

They should shift the tax to tires. 

That is one of the better suggestions I have heard. The only downside I can think of is more people will drive on bald tires and a black market will develop.

[fordmantpw]

Just now, Texasota said:

That is one of the better suggestions I have heard. The only downside I can think of is more people will drive on bald tires and a black market will develop.

 

I could see a huge market for used tires with small amounts of tread left for people looking to avoid the taxes.  Even though it would be more cost effective to just buy new, people would do it to "stick it to da gubment!"

[blazerdude20]

7 hours ago, rmc523 said:

 

Except I wouldn't consider that an "easy" solution, as it'll still eliminate a big chunk of the money for road repairs if most people are charging at home.

If they truly get charging times down to 10 to 15 minutes, I’d argue most people aren’t going to mind stopping to charge. Especially when the alternative is to drop three grand on an electrician and a charger. Again, not perfect but nothing will be. 

[rmc523]

15 hours ago, blazerdude20 said:

If they truly get charging times down to 10 to 15 minutes, I’d argue most people aren’t going to mind stopping to charge. Especially when the alternative is to drop three grand on an electrician and a charger. Again, not perfect but nothing will be. 

 

I guess that's a fair point.

[Texasota]

22 hours ago, fordmantpw said:

 

I could see a huge market for used tires with small amounts of tread left for people looking to avoid the taxes.  Even though it would be more cost effective to just buy new, people would do it to "stick it to da gubment!"

One more unintended consequence is that tire theft from parked cars will skyrocket.

[Sherminator98]

On 3/30/2026 at 5:03 PM, blazerdude20 said:

 Especially when the alternative is to drop three grand on an electrician and a charger. Again, not perfect but nothing will be. 

 

I have a feeling that automakers are going to be subsisting installation of chargers at home like what Ford is doing till then. Even if you can charge some place for 10-15 minutes, If I can just plug in at my garage, why even bother when the car will sit for hours on end anyways till use it again.  

[twintornados]

On 3/30/2026 at 3:00 PM, sullynd said:

They should shift the tax to tires. 

NYS already collects a "tire recycling fee" on every new tire sale and it is an included "line charge" when you buy a new car. 

 

On 3/30/2026 at 5:00 PM, Texasota said:

That is one of the better suggestions I have heard. The only downside I can think of is more people will drive on bald tires and a black market will develop.

Some states also have annual safety inspections that include minimum tire tread depth. 

 

On 3/30/2026 at 5:02 PM, fordmantpw said:

 

I could see a huge market for used tires with small amounts of tread left for people looking to avoid the taxes.  Even though it would be more cost effective to just buy new, people would do it to "stick it to da gubment!"

 

Take a look at Facebook Marketplace - used tires abound there. 

[morgan20]

Video from Autoline about the topic discussed in this thread plus chart of different revenue collection methods for road maintenance