Top lawmaker wants mileage-based tax on vehicles
April 28, 2009 By JOAN LOWY , Associated Press Writer(AP) -- A House committee chairman said Tuesday that he wants Congress to enact a mileage-based tax on cars and trucks to pay for highway programs now rather than wait years to test the idea.
Rep. James Oberstar, D-Minn., said he believes the technology exists to implement a mileage tax. He said he sees no point in waiting years for the results of pilot programs since such a tax system is inevitable as federal gasoline tax revenues decline.
"Why do we need a pilot program? Why don't we just phase it in?" said Oberstar, the House Transportation and Infrastructure Committee chairman. Oberstar is drafting a six-year transportation bill to fund highway and transit programs that is expected to total around a half trillion dollars.
A congressionally mandated commission on transportation financing alternatives recommended switching to a vehicle-miles traveled tax, but estimated it would take a decade to put a national system in place.
"I think it can be done in far less than that, maybe two years," Oberstar said at a House hearing. He was responding to testimony by Rep. Earl Blumenauer, D-Ore., who recommended that the transportation bill include pilot programs in every state to test the viability of a mileage-based tax.
Blumenauer said public acceptance, not technology, is the main obstacle to a mileage-based tax.
Pilot programs "would be able to increase public awareness and comfort and it would hasten the day we could make the transition," Blumenauer said.
Oberstar shrugged off that concern.
"I'm at a point of impatience with more studies," Oberstar said. He suggested that Rep. Peter DeFazio, D-Ore., chairman of the highways and transit subcommittee, set up a meeting of transportation experts and members of Congress to figure out how it could be done.
The tax would entail equipping vehicles with GPS technology to determine how many miles a car has been driven and whether on interstate highways or secondary roads. The devices would also calculate the amount of tax owed.
"At this point there are a lot of things that are under consideration and there is also a strong need to find revenue," Oberstar spokesman Jim Berard said. "A vehicle miles-traveled tax is a logical complement, and perhaps a future replacement, for fuel taxes."
Gas tax revenues - the primary source of federal funding for highway programs - have dropped dramatically in the last two years, first because gas prices were high and later because of the economic downturn. They are forecast to continue going down as drivers switch to fuel efficient and alternative fuel vehicles.
Transportation Secretary Ray LaHood has ruled out raising gas taxes to make up for the funding shortfall, and the White House has rejected a mileage-based tax. They have not offered an alternative.
"The funding of the highway trust fund is a complex issue that will require consultation with Congress and consideration of a number of creative ideas," said Transportation Department spokeswoman Jill Zuckman. "The secretary looks forward to working with Chairman Oberstar and others as they consider how to keep the highway trust fund going."
A mileage-based tax has been unpopular in some states where it has been proposed. Critics say it unfairly penalizes drivers who live in rural areas and intrudes on privacy.
"When we can solve the equity issues to a majority's satisfaction in the Congress, when we can solve the privacy issues to the satisfaction of the American people, we can look at moving forward, but I just don't think we have the data or the experience right now to say we can set a timeline or a deadline," DeFazio said in a recent interview.
©2009 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.



But of course, some wise guy's going to want that data in the name of counterterrorism (more like curiosity!)
If it's the odometer you want to read, install an odometer reader.
If it's my constant location you want to know, install a GPS device.
As for mandatory GPS devices: HELL NO.
Yes, I am paranoid. And those of you who aren't should appreciate the work that those of us who are have done for your privacy.
More important, this encourages frugal vehicle design and driving style, by charging gas-guzzlers more than the thrifty-- Regardless of actual distance travelled.
Just these people showing their true colors, folks. Better living by more government pork.
I have a hard time supporting any action of a broken system, regardless of the pretty face that's been thrown on it.
This can only lead to a slippery slope, and we all already pay enough (in fact, too many) taxes....and all we get in return for it is our "freedoms" taken away for more false reasons.
Times have changed my friends, we will have to change our habits. The first one to change is to start paying the ACTUAL prices for the things we consume, and to stop making the third world countries pay for our decadence!
I understand that these costs have to be paid for from somewhere, I'm just sick and tired of being nickle and dimed to death. Verizon may do that too, but at least THEY provide good service in return for it.
The middle class is ludicrously under-paid, and yet time and time again, they are the ones who carry the burden because gee, someone has to. Don't want to pick on the poor auto industry? Fine! Let each state government cut 1% from it's budget to cover road repairs and construction. What's that you say? The states are running at a deficit? Sounds like someone's doing a really bad job of running things. If anything else was run that badly the people in charge would either be fired or given bailout money... Either way, problem solved.
I have no problem paying for the things we enjoy in the US. The problem is that a majority of the time, the money that is taken for such things doesn't get used for them. Instead that money is rerouted, transfered, loaned, etc until there isn't any left. THEN the government says "We need to inscrease the amount of this tax because the funds aren't there, whoops, we're awful sorry, here look at this shinny object and forget about the whole mess while we help ourselves to just a little more of your money."
Perhaps my views are a little skewed, but I live in New Jersey... sorry.
In addition to the above stated reasons, I can go one further. Stop and think for a moment what this tax will do to the transportation industry. We all ready enjoy the highest traqnsportation costs in the continental US here in Jersey thanks to taxes both state and federal, and tolls. Any one who's been here knows we are the toll booth capital of the country. This will not only effect the individual, but also any company that has to transport goods of any kind.
Again, I don't want pity... I want the lawmakers to pull their collective heads out of their respective rear ends and stop trying to squeeze "just a little more".
Archivis-been there myself, and yea, you need a 20 spot just to get down the dang block there...and I STILL agree with you 100%
It doesn't take a whole lot of intellect to figure this stuff out, but still every time they have one of their lovely little sharades, err elections, the same things happen. George Carlin said it best; "Garbage in, garbage out". Just makes me sick. Not to mention the fact that I'm not too keen on the government knowing where I am any time they please. Sounds like a pretty and dressed up version of stamping a serial number on our arms...
Then those XXXXXs can get real work instead of stealing all our money.
And at the end of all this, anyone not an Obama cabinet officer will be expected to pay a new tax.
The Democrats are clearly in charge.
In that case they must be willing to drop the tax on gasoline and replace by it by this mileage tax...
I thought not.
Users are already paying. We have a gas tax that is a major part of the cost at the pump. We have a tax on tires. We have toll roads and bridges that collect money used on more than those roads or bridges.
RAISE GAS TAXES.
RAISE GAS TAXES.
anyone supporting a mileage tax, is not only seen as brazen as a gas tax raise supporter, but also, as much more foolish. the mileage tax was born out of some academic's think tank brain. the littany of problems with such a program is so cumbersome, they must have 'assumed them away', in all of their theoretical calculations.
govenment......never failing to waste money on thinking up foolish ideas.
Or.... They could just use your "Onstar" or whatever that thing that for made to relay out this info and send you a ticket right away! Oh and take a picture of the driver so they know who made the violation too.
OOP! you did 55 in a 50 zone! Here's your ticket!
Illegal U-turn with noone around? Ticket!
Swerved onto the wrong side of the road (to miss a child) Ticket!
And then... all of the OTHER privacy rights of them know where and when you drive your car every day!
This blatant attempt at making this 1984 is disgusting and obvious.
magpies-thats why we should have required military service...so everyone is at least available at some point in their lives to fight. but MANY of our "ancestors" did fight and die, and you should respect that fact.
That in and of itself is another slippery slope that once started down, can lead to dire things indeed.
There will always be those among us who refuse to fight, for one of a thousand reasons, some just, some unjust, myself included in that particular count. (Would be happy to discuss my reasoning there in PM, feel free to drop me a line if you wish.) I do see why you feel that way, from some perspectives it actually would be a great idea. But forcing people to do anything is never the answer. Plus, I am a firm believer that there are many other ways a person can fight for what they beleive in, and in that regard, then pen shall always be mightier than the sword.
But what you say is true, that could lead down a slippery slope as well...
The pen is mightier than the sword today, but then again, the sword can take the pen away and put it in new hands :)
The idiotic milage tax is not becase gas tax revenue will decline, it is to change behavior, it is social engineering and a attack on personal freedom.
You can't force 'solutions', they have to come about naturally.