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Highway Use Fee Bill Seeks to Capture Declining Gas‑Tax Revenue; Backers Call It Fairer, Critics Warn of Complexity
Summary
Sponsor proposed a standardized highway use fee tied to vehicle fuel efficiency and annual mileage to make up for falling motor fuel tax revenue; supporters called it equitable and forward‑looking, conservation groups and think tanks urged parallel reforms; questions remained on revenue estimates and implementation timing.
Delegate Jared Solomon introduced House Bill 1457, describing it as “a highway use fee” meant to address declines in motor fuel tax revenue tied to improved fuel efficiency and increased adoption of electric vehicles. Solomon said the bill creates a bridge mechanism that standardizes what the average Maryland driver pays, then charges vehicles that are more fuel efficient a supplemental highway use fee collected at registration.
Why it matters: the state’s Transportation Trust Fund relies heavily on motor fuel taxes that have been eroded by greater vehicle fuel efficiency and electrification. Witnesses said a new mechanism is needed to maintain predictable revenues for…
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