Seriously? A Road Tax?

This week we learned that California is actively pursuing and piloting a road charge system. Apparently the “popularity” of electric cars (something I really don’t understand – I mean, if we have “brownouts” during the summer because of the scarceness of electricity why would we be encouraged to buy an electric car?) is reducing the amount of money collected from gas taxes. As an aside, as of July 1, 2025 the California state gasoline excise tax is 61.2 cents per gallon, which is the highest in the United States. Federal excise taxes on top of that are 18.4 cents per gallon.

The recent pilot phase ran from August 2024 through January 2025, with final reports to the Legislature expected in late 2026. So look out – as early as 2027 we in our gas-powered vehicles could be dinged twice: once from the gas taxes we pay at the pump and the other through the road charge. 

This road tax is a long time coming, according to Forbes magazine, which published an article on Jan. 30.

“In 2014, California passed Senate Bill 1077, authorizing a ‘Road Usage Charge Technical Advisory Committee’ to explore whether the state could replace its gas tax with a mileage-driven tax. The logic was sound – as vehicles get cleaner and the state pushes towards a potential zero-emission future, gas tax revenues are bound to dwindle.

“Now, 12 years later, lawmakers are still in the planning phase. Assembly Bill 1421, currently before the California State Assembly, would extend the committee’s lifespan until 2035. That would be two decades of pilot testing, advisory drafting, and engagement with stakeholders with no actual implementation.” 

I don’t think I would be so angry if it weren’t for the billions (yes, billions with a “b”) that we have – so far – spent on the fiction (to me) that is the high-speed rail. Do you know the original cost that was voted in by California voters for the high- speed rail, connecting Los Angeles and San Francisco, in 2008 was $9.95 billion? Despite the original operational goal of 2020, to date no trains are currently running, and construction is focused on a 119-mile section in the Central Valley, with that segment not expected to be operational until 2032 … or later. Is it really that surprising that the federal government withdrew $4 billion citing cost overruns and delays?

And I’m a bit confused. There are specific fees for electric vehicle users because of the lack of gas taxes collected – so doesn’t that mean that between those fees paid by electric vehicle owners and the taxes already paid by gas users, wouldn’t that make up the money “lost?”

Thank goodness our roads are in such great shape due to the money collected and dedicated toward them…