(Photo by Graham Richardson on Flickr)
White House Press Secretary Robert Gibbs was blind sided last week by a quote from Transportation Secretary’s Ray LaHood regarding a shift to vehicle mileage taxes (VMTs) to fund highway projects. Gibbs unequivocally shot down LaHood’s suggestion that VMTs could replace gas taxes in keeping highways paved from coast to coast. LaHood represents the traditional view of American transportation going back to the Eisenhower administration, placing full focus on highways as the arteries for the country’s prosperity.
LaHood’s VMT proposal is not exactly original given similar proposals at the state level. Newsday detailed programs in Idaho, North Carolina, Rhode Island and Massachusetts to supplement gas taxes with a tax on each mile traveled by residents. Massachusetts is leading the way in solving the problem of how to charge resident drivers for their annual mileage, proposing the use of GPS systems to keep track of commuter miles. The National Surface Transportation Infrastructure Financing Commission, a panel tasked with reviewing new revenue sources for highway development, has recommended VMTs to keep highway projects rolling.
LaHood, Obama and everyone else dealing with America’s transportation infrastructure has to think about this issue from another angle. The VMT solution will take at least ten years to take effect even if we start today according to the aforementioned commission. If we are going to spend billions of dollars and at least ten years on filling the gap on highways, we should think about spending our resources in a more effective way. Drivers are flocking to smaller cars and hybrids that use less gasoline, leading states into the red when it comes to highway funding. America’s transportation infrastructure should evolve along with consumer needs rather than trying to push drivers back to the gas pump.
A vehicle mileage tax treats a giant truck the same as a hybrid sedan, creating a disincentive to purchase a green vehicle that may feature a higher price tag. The federal government should coordinate efforts on multi-modal fillup and charging stations, light rail systems and better public transit while maintaining a bare bones budget for highways. While highways may be flush with stimulus dollars now, we need to invest today in infrastructure that is sustainable enough to survive changes in consumer values in the future.
