While Lansing has seen a lot of legislative action this year, local officials say one area that’s lacking is finding enough money to fix and maintain public roads.
When you fill up your car’s gas tank, nearly 70 cents per gallon is tax. A portion of that goes to roads. With the growing adoption of electric vehicles, however, governments are collecting less fuel tax, meaning less money for the roads.
From 2019 to 2021, electric vehicles avoided contributing about $50 million to the roads in Michigan.
Van Buren County Road Commission Director Bret Witkowski said, “Most of our formula to fund the roads comes from gas tax. If they’re not using gas, they’re not funding the roads.”
Witkowski says it’s not a party issue or pitting gas cars versus electric; it’s about making sure those using the roads are paying for them.
Among the solutions he’d like considered, a mileage-based use tax –report the miles driven per year and pay accordingly. Another solution, up the flat fee for car registrations.
Without action and at the current rate of EV adoption, the deficit is projected to grow to as much as $95 million a year by 2030. So far, the state legislature is not moving toward any remedy.
