Memorial Day Spike in Revenue?

Memorial Day marks the start of summer and an increase in driving. With that comes the inevitable spike in gasoline prices. It is easy to assume that these higher gas prices would generate significant extra revenue to the Highway Trust Fund and extend the drop dead date for when the Trust Fund runs out of money.

It won’t.

The current gasoline tax is fixed at 18.4 cents per gallon and not indexed to the price. That means that it doesn’t rise or fall based on the price of gas at the pump. Consumers pay the same amount of tax whether the base price is high or low. Additionally, an increase in the percentage of fuel efficient cars that comprise the total number of cars on the road, coupled with the non-indexed gas tax, means that there will not be a Trust Fund windfall. The looming transportation financing crisis will not take a summer vacation.

States are grappling with the problem of diminishing transportation funding from the federal government balanced against a crumbling infrastructure. This precarious position has forced many states to explore innovative solutions. This is what states do best—incubate new policies. Need an example? The gas tax currently in place today was born in the states and wasn’t adopted by the federal government until it was working and accepted in the majority of states.

In the new transportation bill, Congress needs to support testing and exploration of different financing options to identify what works, what doesn’t, and provide policy options for the future.

5 Reasons You Will LOVE the MBUFA National Conference – March 12, 2014

1. New Speakers Confirmed
• Sen. Bruce Starr, helped lead the effort to pass Road User Charge legislation in Oregon and President, National Conference of State Legislatures
• Sen. John J. Cullerton, President, Illinois State Senate
• Beth Kigel, Florida Transportation Commission
2. Hear from key Congressmen on re-invigorating funding infrastructure.

3. Learn from state representatives what they expect as states take action.

4. Hear what car manufacturers are thinking as they look to the future.

5. Who you gonna call to answer those myths about MBUF? A full session to address the myths. (It will be rapid fire — so don’t leave early)

Location:

Pew Conference Center
901 E Street, NW
Washington, DC

Registration Fee: $165

CLICK HERE TO REGISTER: https://www.regonline.com/builder/site/Default.aspx?EventID=1457100

Minnesota Sustainable Transportation Workshop

Adrian Moore, Reason Foundation

Panel Discussion at the Workshop

Panel Discussion at the Workshop

Three months ago, we held our first workshop in Tallahassee, Florida at the invitation of the Florida Transportation Commission. It was an opportunity for the Commissioners and officials from the Florida Department of Transportation to learn more about mileage-based charges and to talk directly with policymakers from Nevada, Washington, and Oregon about the status of their state initiatives and lessons learned.

On November 17 and 18, we held our second state workshop in Minnesota in conjunction with the University of Minnesota’s Humphrey School of Public Affairs. The workshop, held in St. Paul, included the Minnesota Department of Transportation (DOT) Commissioner Charles Zelle, MN DOT leadership staff, members of the Minnesota State Congressional Delegation, and experts from around the country including James Whitty from Oregon DOT; Alauddin Khan, Nevada DOT; Cory Johnson, Minnesota DOT; and Burt Tasaico, North Carolina DOT.

The state workshops offer the opportunity to explore specific state issues and identify solutions with those who are responsible for developing effective financing alternatives to meet the future infrastructure needs of the country. Looking forward to 2014, we’ve been asked to do more workshops in states around the country and will be holding a conference in Washington, DC on March 12, 2014, with federal and state leaders participating.


3M Joins MBUFA as Education Sponsor

The leadership of MBUFA is pleased to announce that 3M is joining major sponsors as a Premium Level Sponsor of the Education Sponsor Series. 3M will bring its significant experience to the issues of vehicle miles traveled (VMT) and the funding discussion by working with members and staff on the workshops being hosted by MBUFA.

“As a leader in transportation technology worldwide, we believe the capability 3M can provide to MBUFA workshop participants will be extremely valuable,” Chairman Jack Basso noted, “We look forward to their participation at the workshop scheduled in two weeks in St. Paul and others throughout the nation in the coming months.”

MBUFA is scheduled to host a workshop in St. Paul, Minnesota on November 18, 2013, that will include the Minnesota Department of Transportation (DOT) leadership staff, Sen. Bruce Starr, Chairman of the National Conference of State Legislatures and chief Author of the Oregon Road User Charge Legislation, along with Jim Whitty, Oregon DOT, Alauddin Khan, Nevada DOT, Cory Johnson, Minnesota DOT. A national conference is scheduled in Washington, DC on March 12, 2014 with federal and state leaders participating.

If you require information about joining the MBUFA Education Sponsor Series, please contact Barbara Rohde, Executive Director, at barbara.rohde@mbufa.org.

MBUFA

Formed in 2010, the Mileage-Based User Fee Alliance (MBUFA) is a national non-profit organization that brings together government, business, academic, and transportation policy leaders to conduct education and outreach on the potential for mileage-based user fees as an alternative for future funding and improved performance of the U.S. transportation system.

3M

3M is a global innovation company that never stops inventing. Over the years, our innovations have improved daily life for hundreds of millions of people all over the world. We have made driving at night easier, made buildings safer, and made consumer electronics lighter, less energy-intensive and less harmful to the environment. We even helped put a man on the moon. Every day at 3M, one idea always leads to the next, igniting momentum to make progress possible around the world.

CH2M HILL Joins MBUFA as Education Sponsor

The leadership of MBUFA is pleased to announce that CH2M HILL is joining major sponsors as a Premier Level Sponsor of the Education Sponsor Series. This sponsorship will bring CH2M HILL to the forefront of the vehicle miles traveled (VMT) funding discussion by working closely on workshops and conferences with MBUFA members and staff during the coming year.

“We are pleased to support MBUFA at this sponsorship level with the critical need in the nation for information on alternatives to transportation funding. Given that 46 bills are currently pending on VMT in 18 states, CH2M HILL believes this issue will be a major focus for state legislators and transportation agencies in the very near future. As one of the leading VMT solution providers, we look forward to participating at the forefront of this extremely important issue for our clients and the nation” said Daniel Baxter, Vice President and Chief Technologist for Transportation Operations at CH2M HILL.

MBUFA is scheduled to host a workshop in St. Paul, Minnesota on November 18, 2013, that will include the Minnesota Department of Transportation (DOT) leadership staff; Sen. Bruce Starr, Chairman of National Conference of State Legislatures and Chief Author of the Oregon Legislation, along with Jim Whitty from Oregon DOT; Alauddin Khan, Nevada DOT; Cory Johnson, Minnesota DOT; and a representative of the I-95 Corridor Coalition. A national conference is planned in Washington, D.C. on March 12, 2014, with federal and state leaders participating.

If you require information about joining the MBUFA Education Sponsor Series, please contact Barbara Rohde, Executive Director, at barbara.rohde@mbufa.org.

MBUFA

Formed in 2010, the Mileage-Based User Fee Alliance (MBUFA) is a national non-profit organization that brings together government, business, academic, and transportation policy leaders to conduct education and outreach on the potential for mileage-based user fees as an alternative for future funding and improved performance of the U.S. transportation system.

CH2M HILL

Headquartered near Denver, Colorado, USA, employee-owned CH2M HILL is a global leader in consulting, design, design-build, operations, and program management for government, civil, industrial and energy clients. The firm’s work is concentrated in the areas of transportation, water, environmental, energy, facilities and resources. With US$7 billion in revenue and 28,000 employees, CH2M HILL is an industry-leading program management, construction management and design firm, as ranked by Engineering News-Record and named a leader in sustainable engineering by Verdantix.

Florida Sustainable Transportation Funding Workshop

On August 15, the Reason Foundation and the Mileage-Based User Fee Alliance organized a Sustainable Transportation Funding Workshop with the Florida Transportation Commission.

U.S. transportation programs are in serious jeopardy. The Highway and Transit Trust funds have required Federal General Fund supplements and there is no support for increasing the Federal gas tax.  Our workshop focused on finding solutions to these serious and continued budget shortfalls.

The workshop featured presentations from multiple State Departments of Transportation that have began to look at vehicle-miles traveled as an alternative to the gas tax.  The MBUFA members that presented were from the Washington, Minnesota, Nevada and Oregon Departments of Transportation.  Additionally, Adrian Moore of the Reason Foundation presented a Mileage-Based Fee 101 session that provided a policy and implementation overview of  VMT systems.

Following we have provided the PowerPoint presentations from the workshop.  Please do not hesitate to contact us with any questions.

  1. Dr. Adrian Moore, MBUF101
  2. Jeff Doyle, Washington DOT
  3. Cory Johnson, Minnesota DOT
  4. Alauddin Khan, Nevada DOT
  5. James Whitty, Oregon DOT