Bill to impose fees on electric vehicles touted at Senate hearing

As part of a Senate hearing focused on surface transportation funding, a representative of the Transportation Construction Coalition touted a bill that would require electric vehicles to pay into the Highway Trust Fund.

The comments came during a Senate Committee on Environment and Public Works hearing on Wednesday, Feb. 26 about implementation of the Infrastructure Investment and Jobs Act as well as preparation for the next surface transportation reauthorization bill.

The Highway Trust Fund, which is the main funding source for highway and bridge projects, generates revenue through fuel taxes.

Currently, electric vehicles – despite having heavier batteries – do not contribute to the fund.

“The next surface transportation authorization law should stabilize the Highway Trust Fund by incorporating existing and new user fees, as well as necessary general funds, to cover approved investment levels,” Gary Johnson, vice president of Granite Construction, wrote in his submitted testimony.

Johnson then offered a recent bill that would ensure that electric vehicles pay their fair share as a potential solution.

The Fair Sharing of Highways and Roads for Electric Vehicles Act, which was recently introduced by Sen. Deb Fischer, R-Neb., and Rep. Dusty Johnson, R-S.D., would create a fee at the manufacturer level at the point of sale of electric vehicles. Depending on the weight of the battery, the bill would impose a fee as much as $1,550 per electric vehicle.

Johnson said the Fair SHARE Act would bring parity to all users of the nation’s roads and bridges.

“(Electric) vehicles are currently using the system without contributing to its maintenance via a federal user fee, unlike most gasoline, diesel and alternative fuel vehicles,” Johnson wrote. “While the electric vehicle would not fill the Highway Trust Fund revenue gap, it is projected to grow over time as more electric vehicle cars and trucks are sold.”

Sen. Pete Ricketts, R-Neb., who is a co-sponsor of the Fair SHARE Act, echoed Johnson’s sentiment.

“EVs are heavier, so they degrade our roads faster, but they don’t pay the gas tax,” Ricketts said. “So we don’t have a way for them to contribute to the road system. And that just doesn’t make any sense.”

Johnson added that the Transportation Construction Coalition urges all of the Senate committee members to co-sponsor the Fair SHARE Act.

The bill also is supported by the Owner-Operator Independent Drivers Association, American Trucking Associations, American Road and Transportation Builders Association, American Society of Civil Engineers, Associated General Contractors of America, National Association of Counties, National Association of County Engineers and National League of Cities. LL