California pilot "Road Charge" program to test different ways to fund highway repairs
A new plan could change the rules of the road when it comes to how drivers are paying their share of highway repairs.
This program is being spurred by the migration toward electric vehicles and could earn drivers earn up to $400 in credit.
California's gas tax is infamously expensive at almost 60 cents a gallon. Most of those funds go to highway and road repairs. As more drivers are ditching the pump and going all electric, the state is losing out on an increasing amount of gas tax revenue, and the drivers of gas-powered cars are paying more than their fair share of maintenance.
The state is going to test a few new alternatives, including an option that would tax people on the number of miles they drive versus how much gas they buy.
The pilot program will test two payment models: a flat per-mile rate or an individualized rate based on a vehicle's fuel efficiency.
The program will also give drivers the choice between taking a picture of your odometer, having a device installed to log miles or going high-tech with a device that will track where you drive.
The study is looking for about 800 people who will begin paying the mileage-based fee every month. Participants will also get a credit for the gas taxes or EV registration fees paid so they won't be double taxed.
The program will run for six months between August 2024 and January 2025. Interested parties can sign up for the pilot program online at CARoadCharge.com.