Trucking Industry to Congress: Raise Fuel Taxes

American Trucking Associations is calling on members of the 114th Congress to approve an increase of federal fuel taxes to fund infrastructure programs under a long-term highway bill this year.

In a letter Jan. 26, the federation and the U.S. Chamber of Commerce and AAA argued that raising the highway user fee would help avert a transportation funding crisis this spring.

Congressional leaders have indicated recently they are considering several options, such as tax reform, to fund transportation programs. Thus far, however, raising the gas tax has lacked broad support on Capitol Hill.

“There are many challenges that Congress must address this year, but we believe that finding a solution for funding the Highway Trust Fund is at the top of that list. Rather than continuing to resort to short-term funding patches that only delay tough decisions, our organizations support action to address the issue pragmatically, immediately and sustainably,” the groups wrote. “While no one wants to pay more, we urge you to support an increase to the federal fuels user fee, provided the funds are used to ease congestion and improve safety, because it is the most cost-efficient and straightforward way to provide a steady revenue stream to the Highway Trust Fund.”

The trust fund faces a shortfall at the end of May when a 2012 transportation law expires. The fund, backed by revenue from fuel taxes, is used to help states finance big-ticket infrastructure projects. The 24.4 cents-per-gallon federal tax on diesel, and the 18.4 cents-per-gallon federal gas tax have not increased since 1993.

Click here to view an infographic on how the current highway funding system is designed, or see below.