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Auto industry supports an alternative‑fuel fee but offers a lower, formulaic approach than bill’s $400 figure
Summary
Jeff Thordahl of the Alliance for Automotive Innovation told the subcommittee the industry accepts an alternative‑fuel vehicle fee to replace lost gas‑tax revenue and proposed a calculation using average miles and mpg that he said yields a lower fee than the $400 in House Bill 5071's draft.
The subcommittee received industry testimony on Section 40 of House Bill 5071, the provision that would impose an alternative‑fuel vehicle fee to recapture revenue otherwise collected through state gas taxes.
Jeff Thordahl, representing the Alliance for Automotive Innovation, said automakers and suppliers have come to accept a user fee for alternative‑fuel vehicles as a responsible way to share road costs. Thordahl outlined a method for estimating a fee: take the average annual miles driven (he cited 11,500 miles), divide by the average miles per gallon (he cited about 24.9 mpg), then multiply by the state gas tax to approximate what the average driver pays via gas taxes. Using the numbers he cited, Thordahl said the calculation produces a figure of about $132 per year for the state gas‑tax share; because the bill's fee is biennial, he said that number would be doubled under a biennial collection schedule.
Thordahl told the committee "It's $400 in the bill," and suggested lawmakers consider a data‑driven formula aligned with typical gas‑tax contributions rather than adopting a flat $400 charge without matching it to usage statistics.
Representatives asked whether the bill treats hybrids separately from straight‑electric vehicles; testimony indicated the draft includes different fee amounts for straight electrics and hybrids and that staff and stakeholders would need to refine usage estimates for hybrids.
The subcommittee did not take action on the fee during the hearing; members said amendments will be considered after they finish taking testimony.
