Like most everywhere else in the country, California’s roads and bridges are hurting and the state is looking for ways to fund repairs. Governor Jerry Brown has come up with a plan that just passed the state senate which would raise $52 billion over the next 10 years, funded largely by raising the gas tax for the first time in 23 years.
Taxes on gas will go up by 12 cents a gallon and diesel taxes will increase 20 cents a gallon. A new annual fee was also introduced that ranges from $25 to $175 a year depending on the value of the vehicle. An additional $100 annual fee will be charged for all electric vehicles.
All together the new taxes and fees are estimated to bring in an additional $5 billion a year for the state to spend on transportation projects.
This bill has been in the works for more than two years now. The state is desperate to raise the money it needs to tackle an estimated $137 billion backlog of maintenance projects.
According to the LA Times, the money will be split 50-50 between state and local projects. About $34 billion will go to repairing existing roads, bridges, and highways. $7 billion will go to funding mass transit projects. Most of the remaining money will go to improving critical trade corridors like the roads surrounding the ports of Los Angeles and Long Beach.
While in the past, money raised for transportation has found its way to other uses, the CA Senate has already approved placing a constitutional amendment on the June 2018 ballot that supporters say will prevent the money from being used for anything other than transportation projects.
Some lawmakers weren’t thrilled with the idea of voting for higher taxes. Republicans called for repairs to be made using existing money. But with state budgets stretched tight, California Democrats claim that using existing money would require cutting funding from other places like education and social services.
In order to get lawmakers on board, Gov. Brown had to make some concessions. Both Republicans and Democrats changed their tunes after money was earmarked for transportation projects in their districts. Just barely enough votes from the ‘no’ column were moved to ‘yes’ to get the 27 votes needed to pass.
But trucking industry lobbyists have a strong presence in California, and even though truckers will benefit from improved infrastructure, increases in diesel taxes will cost carriers a lot of money. So to sweeten the deal, an amendment was added to the bill which would make carriers happy.
Environmental groups are up in arms about this so-called “dirty truck” amendment. According to an op-ed in The LA Times, regulators “cannot require truck owners to retire, replace, retrofit or repower their trucks within 13 to 18 years of their model year or when the vehicle hits 800,000 miles.”
The amendment will ensure that fleets can purchase new trucks and know that they will be able to use them for the lifetime of the rig without worrying that it will have to be placed out of service because of increased CARB air quality standards.
After all that wheeling and dealing, the state Senate approved the measure and it looks as though it will pass the state assembly and be signed by Governor Brown.
“I’m energized and doing everything I can to make sure California climbs out of this big hole,” Governor Brown said to reporters.
Source: truckinginfo, latimes, sanluisobispo, kcra, latimes, sacbee, yourcentralvalley, usnews, usnews, bakersfieldnow, latimes
Not sure what this means. Can I run my 2003 truck in California now? I guess $175 and higher a higher fuel tax magically makes my pre emissions truck ok. No thanks, I’m doing just fine not running into California, they won’t get any of my money.
Californicate constantly cuts their own throats because of stupidity just like this! I dropped my authority as an O/O MANY years ago because of the political BS there. I hope that Jerry Brown finally takes the state down completely and they put up signs at the border that say “Californicate is closed….please go around”!
Ok im in the market for a truck, so does that mean I can now buy a pre emissions truck without being harrased by the enviro nazis? Because as of a week ago according to CARB i HAD to buy a 2010 or newer truck to operate in California!
This is great! Colorado hasn’t raised fuel tax since 1991 and we desperately need to. Fuel is too cheap and our roads are in dire need of repairs.
Rather than adding to the fuel tax to be paid by carriers and ICs, the state of CA should tax the truck repair facilities that are benefiting from CARB regulations in the form of performing frequent, costly repairs. These repairs are costing carriers and ICs thousands each year over and above what they were already paying in truck maintenance costs. I bet if they repealed CARB regulations, carriers and ICs would gladly pay more in fuel taxes to help fix the roads, outfit trucks with battery-powered APUs to reduce pollution, etc. There is no greater inhibitor to profit in trucking than CARB regulations/requirements.
cannot require truck owners to retire, replace, retrofit or repower their trucks within 13 to 18 years of their model year or when the vehicle hits 800,000 miles”
A team can put 300K+ miles on a truck a year? So by how this was written, you couldent run a 2017 truck in California in 2020?
How the HELL does mileage impact emissions? DPF has to be cleaned/replaced every 300K or so miles, DEF constantly gets replenished when fueling. EGRs still be EGRing…
Were they just trying to get more trucks bought?
California and the rest of the nation should require $50-$75 registration fee on bicycles ,use that money to fix the roads!