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Monday, April 8, 2024

Electric vehicle fee could be coming to Pennsylvania - WGAL Susquehanna Valley Pa.

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TOM. YEAH, JERRY, BOTH DEMOCRATS AND REPUBLICANS SEEM █TO AGREE THAT FEE IS NEEDED, AND THAT’S BECAUSE IF YOU’RE PLUGGING IN TO CHARGE YOUR CAR, YOU’RE NOT FILLING UP YOUR GAS TANK. AND THAT MEANS FEWER DOLLARS IN GAS TAX REVENUE. AND WHILE A LOT OF LAWMAKERS THINK THAT THERE HAS TO BE A FEE IN PLACE, YOU CAN IMAGINE SOME ELECTRIC VEHICLE OWNERS AREN’T TOO THRILLED ABOUT THE IDEA. A LOT OF ELECTRIC VEHICLE OWNERS SAY PLUGGING IN OFTEN SAVES THEM MONEY ON THE COST OF TRANSPORTATION FOR GAS. BUT THEY STILL. I PAY FOR ELECTRICITY. BUT CHARGING UP VEHICLES WILL NOT HELP. FLAGGING GAS TAX REVENUE THAT SERVES AS THE PRIMARY SOURCE OF FUNDING FOR ROAD PROJECTS AND REPAIRS. TREAT PEOPLE FAIR. THEY’RE OKAY. DEMOCRATIC REPRESENTATIVE ED NIELSEN HEADS THE HOUSE TRANSPORTATION COMMITTEE. HE’S PROPOSING A FEE OF $125 NEXT YEAR FOR ELECTRIC VEHICLES. IT WOULD GRADUALLY INCREASE TO $225 IN 2029. AND STARTING IN 2030, THE RATE WOULD BE ADJUSTED EACH YEAR FOR INFLATION. AND IF WE GRADUALLY PUT IT IN AND GRADUALLY PEOPLE WILL BUY INTO ELECTRIC VEHICLES, THIS WILL MAKE SENSE ON THE OTHER SIDE OF THE STATE HOUSE, REPUBLICAN STATE SENATOR GREG ROTHMAN’S BILL WOULD DO AWAY WITH THE EXISTING ALTERNATIVE FUELS TAX FOR EVS AND REPLACE IT WITH A FLAT $290 FEE THAT, HE SAYS WOULD ENSURE ELECTRIC VEHICLE OWNERS PAY THEIR FAIR SHARE. THERE OUGHT TO BE SOME LOGIC BEHIND HIS NUMBER. AN AND THAT’S WE’LL NEGOTIATE THE NUMBER. BUT SOMETHING’S BETTER THAN NOTHING. BUT IF. WE’RE GOING TO PHASE IT IN, IT SHOULDN’T STOP AT A NUMBER THAT’S EVEN BELOW WHAT. IMAGINE FIVE YEARS FROM NOW WITH. BY THE WAY, THERE THERE IS AN ALTERNATIVE FUELS TAX THAT ELECTRIC VEHICLE USERS ARE SUPPOSED TO BE PAYING. BUT ROTHMAN SAYS SO MANY PEOPLE WHO HAVE ELECTRIC VEHICLES DON’T EVEN REALIZE IT, THAT THEY NEED TO PAY IT AND SIMPLY DON’T. AS A RESULT, HE SAYS, THERE NEEDS TO BE A MUCH LARGER DISCUSSION, INCLUDING THIS FEE ABOUT THE LONG TIME PLANNING FOR PENNSYLVANIA TRANSPORTATION FUNDIN

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Electric vehicle fee could be coming to Pennsylvania, but how much will it cost?

Many Democrats and Republicans in Harrisburg seem to agree that an electric vehicle fee is needed to recoup lost gas tax revenue — but how much will it cost?That question appears to be one that may be answered in the coming months, potentially during budget negotiations, as lawmakers seek to find solutions to flagging gas tax revenue and the increased adoption of electric and hybrid vehicles.Rep. Ed Neilson, D-Philadelphia, is proposing the state implement a $125 electric vehicle fee in 2025, doing away with the existing alternative fuels tax that Pennsylvania law currently has on the books. The measure would see gradual increase by $25 over the following years until reaching $225 in 2029, followed thereafter by annual adjustments for inflation.Neilson, who is the majority chairman of the House Transportation Committee, declined to bring the measure up for a vote by the committee on Monday but said he is negotiating with Senate lawmakers on a measure that will ultimately pass this year."At the end of the day, we're going to have a full fee enacted sooner or later, but at the later end, we're going to have more electric vehicles out there – that's the hope," he said.On the other side of the statehouse, the Senate has already passed legislation that would do away with the alternative fuels tax for electric vehicles and instead have electric vehicle users pay an annual $290 fee to help offset lost gas tax revenue. It currently awaits action by the House, though Neilson said he is opposed to it in its current form.The bill is sponsored by Sen. Greg Rothman, R-Cumberland County, who said he wants to negotiate a fee for electric vehicles because "something is better than nothing," and Pennsylvania is leaving millions of dollars on the table because many EV owners simply do not pay the alternative fuels tax.But Rothman believes if there is a gradually increasing fee structure, then it needs to be equitable, saying the state should not be effectively subsidizing someone who buys a $100,000 truck and pays very little to help with the upkeep of roads."You pay nothing in gas tax, you pay nothing for the roads, and you're going to pay $10 a month?" he said. "That really doesn't make sense."

Many Democrats and Republicans in Harrisburg seem to agree that an electric vehicle fee is needed to recoup lost gas tax revenue — but how much will it cost?

That question appears to be one that may be answered in the coming months, potentially during budget negotiations, as lawmakers seek to find solutions to flagging gas tax revenue and the increased adoption of electric and hybrid vehicles.

Rep. Ed Neilson, D-Philadelphia, is proposing the state implement a $125 electric vehicle fee in 2025, doing away with the existing alternative fuels tax that Pennsylvania law currently has on the books. The measure would see gradual increase by $25 over the following years until reaching $225 in 2029, followed thereafter by annual adjustments for inflation.

Neilson, who is the majority chairman of the House Transportation Committee, declined to bring the measure up for a vote by the committee on Monday but said he is negotiating with Senate lawmakers on a measure that will ultimately pass this year.

"At the end of the day, we're going to have a full fee enacted sooner or later, but at the later end, we're going to have more electric vehicles out there – that's the hope," he said.

On the other side of the statehouse, the Senate has already passed legislation that would do away with the alternative fuels tax for electric vehicles and instead have electric vehicle users pay an annual $290 fee to help offset lost gas tax revenue. It currently awaits action by the House, though Neilson said he is opposed to it in its current form.

The bill is sponsored by Sen. Greg Rothman, R-Cumberland County, who said he wants to negotiate a fee for electric vehicles because "something is better than nothing," and Pennsylvania is leaving millions of dollars on the table because many EV owners simply do not pay the alternative fuels tax.

But Rothman believes if there is a gradually increasing fee structure, then it needs to be equitable, saying the state should not be effectively subsidizing someone who buys a $100,000 truck and pays very little to help with the upkeep of roads.

"You pay nothing in gas tax, you pay nothing for the roads, and you're going to pay $10 a month?" he said. "That really doesn't make sense."

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Electric vehicle fee could be coming to Pennsylvania - WGAL Susquehanna Valley Pa.
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