More Scuffling Over Revenue for Highway Repair

23 November 2004

Like California (earlier post), Eugene, OR is trying to figure out how to fund its highway repairs. In 2002, the City Council tried to implement a pay-per-trip surcharge—the Transportation System Maintenance Fee (TSFM).  The charge would have cost households an estimated $2.90 a month and businesses between $20 and $1,150 a month.

Opposition was swift, the council repealed the assessment before it could begin, and replaced it in 2003 with a $0.03/gallon gasoline tax surcharge. Now more is needed.

The City Manager is proposing a further $0.02/gallon tax surcharge. The Chamber of Commerce, which strongly opposed the TSFM, has given conditional support to the new surcharge.

I’m sure this funding need and accommpanying struggle to find a way to generate the revenue is replicated in states and cities all over the country. Makes you realize the single-minded leadership—and sales prowess—that would be required to push through a carbon tax.