Get the Feds out of Transportation Funding
In a Backgrouner, Ronald Utt writes:
Under these circumstances, a much more productive approach would be to ‘turn back’ the federal highway program to the states. Under current law, the federal Highway Trust Fund is financed by a federal fuel tax of 18.3 cents per gallon of gasoline and 24.3 cents per gallon of diesel fuel. The revenue from this tax is returned to the states according to a flawed formula that creates many winners and losers among the states, with Southern and Great Lakes states paying much more than they receive while New England and most Middle Atlantic states receive more than they pay. Furthermore, the federal money comes with many mandates and micromanaging directives that severely limit states’ abilities to meet their transportation priorities.