Money raised by raising the gas tax by 12 cents a gallon won’t be enough to fixing California’s crumbling roads, and a longer-term answer is needed, according to a report released Monday, April 24 by a nonprofit, nonpartisan think tank.
Better fuel economy and the popularity of zero-emission vehicles make the gas tax an outmoded, unreliable funding source for transportation, states the report, “Beyond the Gas Tax: Funding California Transportation in the 21st Century,” put out by Next 10 in conjunction with Beacon Economics.
Next 10 describes itself on its website as “focused on innovation and the intersection between the economy, the environment, and quality of life issues for all Californians. Its founder is venture capitalist F. Noel Perry.
The report comes after the state Legislature passed SB 1, or the Road Repair and Accountability Act of 2017. The bill raises $52.4 billion over 10 years for road repairs and other transportation projects by raising the gas tax with annual adjustments for inflation.
SB 1 also raises diesel taxes and imposes new annual fees on vehicles. Gov. Jerry Brown, who championed the bill, is expected to sign SB 1 soon.
While calling SB 1 a good start, $52.4 billion “falls short of current $137 billion deferred maintenance deficit that has not been addressed,” read a Next 10 news release on the report.
“And that deficit may continue to grow,” the release added. “Inflation adjusted fuel-tax revenue declined 20 percent from 2010 to 2015, despite the fact that Californians have been driving more every year, logging a record 335 billion vehicle-miles traveled last year.”
The report suggests toll roads funded through public-private partnerships and a tax based on the number of miles driven as a more sustainable approach to paying for transportation infrastructure, although authors acknowledge pitfalls with both ideas.