DETROIT (Michigan News Source) – Michiganders may find a new tax added to their plates as the state legislature seeks to find more revenue from drivers as the current gas tax is not bringing in as much as expected.
Those who drive long distances may find it particularly frustrating as the proposal would be based on the vehicle miles traveled, or VMT user fee. Part of the reason that the government is not seeing as much kick back from the gas tax are the result of more electric vehicles (EVs) on the road, or cars with higher gas efficiency.
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While EV drivers pay a higher registration fee, it’s not the best long term solution according to the House Transportation Committee Chair Jack O’Malley. He also said that the VMT fee is the option “that makes the most sense.”
“Give them [EV drivers] a choice not to pay that surcharge and pay the VMT instead,” Director of the CLimate and Energy Program at The Ecology Center, Charles Griffith said, “I don’t think EV drivers should have a free ride and they should pay a fair share going forward to fix the roads.”
Many road builders are telling the legislature that if EV owners do not start paying some taxes, the road revenue problem will continue to get worse.
“We believe that is the most fair method in charging a user fee base system for all users. These EV’s, most of them, are heavier than normal engines because of their batteries and so they are actually putting more damage on our roads without paying their fair share,” Vice President of Governmental Affairs with the Michigan Infrastructure and Transportation Association Lance Binoniemi said.
He believes that the VMT should be voluntary first because it would be a tough sell if it was mandatory immediately.
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“I don’t know if the public will accept that. We believe the legislature should have a study and allow some voluntary system to adopt so they can tell their friends and neighbors this was no big deal. It’s not recording where I go,” he said.
Several states besides Michigan are considering the VMT proposal, some of which include California and Washington, but Oregon has already implemented it for several thousand volunteers and Utah has also implemented the tax in 2020 gaining even more participants. Governor Gretchen Whitmer said the Legislature will discuss this topic further in the new year.
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