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Maryland pilots program to calculate driver fees based on miles driven


The Maryland Department of Transportation is facing a $3.3 billion transportation budget shortfall and has had to make tough funding choices, including pausing improvement projects and raising registration fees. In an effort to address the decline in fuel tax revenue due to more fuel-efficient and electric vehicles, MDOT and The Eastern Transportation Coalition launched a pilot program testing a mileage-based user fee (MBUF) to link road use with payment. The program tracked around 150 drivers’ mileage through various methods and is expected to release results in August. Four states have already enacted legislation allowing for per-mile fees, with Maryland also planning to implement an annual surcharge for electric vehicle owners starting in 2025. Trish Hendren, executive director of TETC, emphasized the need for fairness in transportation funding and the importance of finding a sustainable solution in the changing landscape. The pilot program aims to address discrepancies in fuel tax payments between rural and urban communities, potentially leading to a fairer system. Overall, the goal is to transition to a more equitable and efficient way of funding transportation that reflects road usage accurately.

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