Secretary of Transportation Ray LaHood arriving to introduce First Lady Michelle Obama for a visit to the Department of Transportation today. (Photo by Brendan Smialowski/Getty Images)
by Rebecca Cole and updated at 5 pm EST
As quickly as the idea of a mileage tax in place of gasoline taxes was floated today, the White House sank it.
Concerned that traditional gas taxes cannot keep pace with the cost of building and repairing highways, Transportation Secretary Ray LaHood said today that he is studying the alternative of taxing motorists according to miles driven.
But President Barack Obama has no interest in such a tax, the White House said.
"I can weigh in on it, and say that it is not, and will not be the policy of the Obama administration,'' said Robert Gibbs, White House press secretary.
Even the concept - which requires the placement of Global Positioning Satellite tracking devices in the cars and trucks that everyone drives - strikes critics as a colossal invasion of privacy, with the government tracking the travel of all motorists.
Yet it already has been road-tested successfully in some places as a viable alternative to gas taxes.
The Obama administration's new transportation secretary elevated the debate by suggesting that the federal government should take a mileage tax seriously. But the White House quickly shelved any such talk, directing any questions of whether LaHood was speaking out of turn to LaHood.
"We should look at the vehicular miles program where people are actually clocked on the number of miles that they traveled," LaHood told the Associated Press today.
LaHood, a former Republican congressman from Illinois, is the sole registered Republican in the president's new Cabinet. And the Department of Transportation was quick to say that the secretary is not necessarily speaking for the administration in suggesting that the nation shift from gas taxes to mileage taxes.
The nation's aging infrastructure of roads and bridges is in dire need of cash, but revenue from the federal gas tax are not enough to cover federally-promised maintenance and repair projects. Last fall, Congress injected $8 billion to cover the shortfall.
And with the advent of fuel-efficient and electric cars, experts say revenue from the gas tax will continue to dwindle.
"One of the things I think everyone agrees with around reauthorization of the highway bill is that the highway trust fund is an antiquated system for funding our highways," LaHood said. "It did work to build the Interstate system and it was very effective, there's no question about that.
"The big question now is, we're into the 21st Century and how are we going to take care of our infrastructure needs with a highway trust fund that had to be plussed up by $8 billion by Congress last year?"
While the idea may appear eccentric, taxing motorists for the number of miles they drive rather than how much gas they burn may not be so far off on the horizon.
In Oregon, a 2006 pilot program tested the idea with 285 vehicles, and the Oregon Department of Transportation deemed it a "proof-of-concept" success. Last month, Gov. Ted Kulongoski presented recommendations to the legislature to move away from the gas tax as a central funding source for transportation.
This isn't the first pioneering that Oregon has undertaken in the field of transportation. In 1919, Oregon became the first state to enact a gas tax.
The state is taking a similar lead with its Road User Fee Pilot program, a 12-month study launched in 2006 that measured the viability of an electronic collection system for a "vehicle miles traveled'' tax, or VMT, that could replace the gas tax.
With a $2.1 million grant from the Federal Highway Administration, the state outfitted two service stations in the Portland area with mileage-reading technology and recruited 260 volunteers to have passive, receiving-only GPS devices implanted in their vehicles. The tracking count mileage, but didn't record locations.
James Whitty, manager of the state Office of Innovative Partnerships and Alternative Funding which oversaw the project, says the test proved that the technology is viable, but people still have "visceral reactions" when they hear abut the concept - especially concerning the issue of privacy.
Once Whitty has a chance to explain the system to the doubtful, he said, people gradually come around to the idea.
"Just like TV or radio, which doesn't send a signal out to know what you're watching, the passive GPS device in the car can't be followed," Whitty said. "Unlike a navigation unit, we developed this so it could not read a travel history."
With electric vehicles ready for a mass market as soon as 2012, Whitty calls this a "perfect time to create a VMT" plan, so that automakers can incorporate the mileage-reading technology into their designs. But it could take longer to put such a system in place, he estimates -- at best, four years for some systems to be operating statewide, and much longer nationally.
"I think this mileage charging system is inevitable. but what the nation needs to do is sort through all the options," Whitty said. "It's a wide range of possibilities. We have to recognize that we need to move to a new system, one that is the most efficient and most acceptable to the consumer."









Comments
Secretary LaHood has revealed himself to not be intellectually or ideologically suited to his job. He clearly thinks just like the rest of the Bush Administration who have been turfed out of their jobs. It's time he accompanied the rest of them into political oblivion. Just say no to GOP holdovers.
Posted by: Vast Rightwing Union Basher | February 20, 2009 4:33 PM
I think it's great that all these ideas, even if their bad ones, are being put out there and being debated. You have to hand it to Lahood, it may not be the best idea in the world but unlike his fellow Republicans at least he has some idea's he want's to put out there. Better to compare them all and let people debate the pros and cons so that when a decision is made, people are informed and understand the thinking behind them.
I've heard LaHood's idea before and I understand the concern as cars become more fuel efficient. But let's cross that bridge when we get to it. For now, vehicles are not fuel efficient enough. We first need to lower carbon emissions.
Posted by: PalinbotsACTIVATE!....please? | February 20, 2009 4:40 PM
LaHood is a porker above all else and while he's doling out billions to his asphalt and concrete industry buddies he's simultaneously trying to tell us little people how far we can drive. Typical.
Posted by: Jeff | February 20, 2009 4:51 PM
I've read of this idea several times before and judged it through the prism of a family member who lived a great distance from work--by necessity because of property costs near his employment. A mileage tax would only add a financial burden. What of salesmen and other employees who must travel extensive distances as part of their job? Some accommodation would, and should, have to be worked out with the employer to assume a portion of the cost, or perhaps a tax break to help defray the extra expense. So this idea being put out for consideration involves factors maybe not anticipated.
Posted by: Richard Palzer | February 20, 2009 5:08 PM
This republican should never have made the grade.
Posted by: bill r. | February 20, 2009 5:51 PM
This was about the most ill advised and wrongheaded approach to fixing the energy crisis that anyone could come up with. Mileage taxes were tried and failed in several locales around the country.
http://www.political-buzz.com/
Posted by: matt | February 20, 2009 7:11 PM
I'm surprised to see some Lefties bashing LaHood over this idea. I would think you folks would love it. If this ever happens, it means higher taxes (which Lefties love), more government intrusion (which lefties love), more govt in our lives (which lefties love), more money for govt programs (which lefties love) and if successful will mean people will drive less (which lefties love because of the whole global warming sham).
Posted by: John D | February 20, 2009 7:16 PM
I think this is a trial balloon for an increased gas tax. Propose something stupid and when you propose something else people won't like but to a lesser degree they will be satisfied with it as a lesser of two evils.
Posted by: John | February 20, 2009 7:25 PM
President Obama needs to dump the Republicans in his cabinet and that includes Gates. They've got nothing to offer and what they do have to offer is always something that came from the mouth of Druggy Rush or one of their dopey "think" tanks run by Grover Norquist. They don't have independent thoughts , they have a herd mentality which looks down on that kind of thing. They put that on display for everyone to see during their most recent lockstep voting against the middle class job stimulus and tax cut bill.
The GOPer mascot is an elephant for a good reason:
http://media.photobucket.com/image/house%20republicans/RoyalBlog/circus-elephants-lineup.jpg
Posted by: Ned Flanders | February 20, 2009 7:30 PM
Small problem with giving a tax break to help with employee's expenses.
You would have to figure out how much the employer and the employee is going to get in a tax rebate to pay for everyone who doesn't have a job or just bought a muscle car you have to fill up every time you take it around the block.
The Government and it's EPA supporters got what they wanted. Less milage, which means less fuel, which means less taxes, which means "how can we pay for all these programs without taxes".
Posted by: PG | February 20, 2009 7:47 PM
Will turnout to be an embarsement
for Obama like Hillary and Holder.
Posted by: Inky | February 20, 2009 7:58 PM
The Government and it's EPA supporters got what they wanted. Less milage, which means less fuel, which means less taxes, which means "how can we pay for all these programs without taxes".
Well said. We're damned if we do and damned if we don't.
This plan was the most intrusive, asinine and unamerican idea yet. Keep people from accepting precious jobs too far away from home, charge people to drive their loved ones to far-away Mayo clinic, truck drivers see their profit eaten up in taxes. A group of six year olds would know this was a bad idea. And they top it off with the cherry idea of GPSing us and watching us like Big Brother.
Communist Krushchev said "We will bury you." If we aren't careful, we will be buried by our own government. Is it time to buy a pitchfork and a red touque yet?
Posted by: Andrea | February 20, 2009 9:06 PM
Mr LaHood
Explain that, you are making fuel tax go green.
Government-Revenue-Enriched-Every-November… (I’m sure somebody can come up with something better… but for now it gives you an idea).
Miles per gallon (MPG) will no longer matter for TAX Collections… The Amounts OF… Go Green! Support Electric Cars with Bio-Diesel Generators… GET REVENUE and KISS… Keep-It-Simple and SMART!
You don’t need to track anyone… that is for the people trying to kill the bill… knowing no one wants to be tracked wherever they go, with privacy violating GPS systems.
Simply have America’s motorists report their odometer mileage each year to their DMV, when everyone registers/renews their tags for cars and trucks. When everyone renews their registration for their family auto… a new and very Simple requirement fulfilled, without delays and massive costs for invasive of privacy technology. Everyone has odometers on their vehicles… laws are already in place forbidding the tampering of such devices… There is no invasion of voter’s privacy… no new technology mandated to posses/purchase… and most importantly… no reason to balk at newer technology with the GREEN initiative on America’s roadways… now not needing to be tolled. And by electric cars I sure don’t mean DORK-mobiles… designed to fail… designed not to sell to the masses.
For out of state drivers… using gas or its equivalent, simply show ones driver’s license when pumping their fuel; for “licensed instate” drivers the tax at the pump would simply disappear. But that too could be proclaimed as an invasion of ones privacy.
We drive in other’s states… they drive in ours… etc. If all fuel tax went to the federal Government… What’s the difference?
Drivers that are here from out of country driving in the USA, get the vehicle’s odometer read entering and exiting this countries borders! Or again simply show their drivers license and pay the tax at the pump OR using the odometer they simply charge it, OR pay on line, OR pay in the mail, OR a cash payment at the border.
Get rid of the excuses why this cannot go ahead, and improve/enhance the reasons for the good of the issue… Going GREEN… just got better!
Posted by: Terry Wilcox | February 20, 2009 9:15 PM
John D has totally put lead into the target. How can Liberals NOT be for this, ~ a very direct tax on owning and driving a car and all of the additional malfeasance that would go along with that. And what kind of a Republican proposes crap like this? I somehow can agree with you again, bill r.
This is a tax, it is control, it limits freedom, it's aggravating, it's convoluted, it's Orwellian, and like anything that has another cost component plastered on, it would change what people are able / willing to do. Democrats / Liberals will surely be for this. Who is this guy?
Posted by: Django - N Exile In/Around the 30th Parallel | February 20, 2009 10:02 PM
So, when I drive my lightweight, 4-cylinder, 35-mpg vehicle, I'll be paying the same amount of tax as the dildo who rolls around town in a Lincoln Navigator? Brilliant.
And did any of these brain donors bother to consider just how much money it's going to cost to put a GPS unit in EVERY vehicle in the country? How about using that giant pile of cash to fund road repairs instead?
Unbelievable.
Posted by: Roland | February 20, 2009 10:11 PM
The great thing about Gibbs is that his smug arrogance isn't a very good cover for his lies. Call Underneath it there is a coercive, violent totalitarianism and a deep disrepect for anyone else's ideas.
Posted by: Jeff | February 20, 2009 10:42 PM
This is a tax, it is control, it limits freedom, it's aggravating, it's convoluted, it's Orwellian, and like anything that has another cost component plastered on, it would change what people are able / willing to do. Democrats / Liberals will surely be for this. Who is this guy?
Posted by: Django - N Exile In/Around the 30th Parallel | February 20, 2009 10:02 PM
All Hat, No Cattle Scottie,
So it's worse than the "patriot act" which took away some of your constitutional rights, and being spyed on and torturing in your name and committing war crimes in your name and giving tax cuts to billionaires, huge corporations and big oil in your name and syphoning off money that was meant for a trumped up war in Iraq and giving it out to rich cronies and then calling it unaccounted for in your name - you're cool with that - but a gas tax to help fight the Bush recession that your Repuglican heroes started is "un-American"?
HAHAHA!!!!!
If the Repuglican dimwits that you supported hadn't tanked our economy and everything else they touched the last eight years we wouldn't even need to be talking about a gas tax right now, Tex.
Posted by: Save the American economy, sell Texas and Bush to Mexico | February 20, 2009 11:51 PM
Right on Roland. Stupid of John D and Dingo to speak without thinking. This proposal is DISTINCTLY pug......it inspires poor fuel efficiency and taxes the typical blue collar worker living in the suburbs. Maybe we should all live in penthouses and drive Hummers. Sounds like something shrub would suggest. Isn't the gas tax the fairest way to tax travel and emmisions? I think Lahood should be sent on a one way travel mission.
Posted by: Xcellentform | February 21, 2009 12:38 AM
Smug arrogance was the province of Smirk & Sneer.
You remember them?
Like Moo and Oink?
Bush & Shooter.
Gibbs (like the Chief) is cool calm & collected.
Also, has secret weapon. Humor (decaf coffee for the ranter).
I'd say his performance so far has been close to perfect.
Back to John Callaway and his interview of John Kass, which should be available somewhere on the vast interconnection of innertubes.
Kass thinks LaHood will preside over big time hanky panky.
Come to think, in the above photo, he does look a bit like Richard Milhous Nixon, no?
Perhaps just a trick of the light.
Posted by: ornery | February 21, 2009 2:57 AM
John E., aka Anonymous @ 11:51 p.m.
I don't work for Al Qeada. Neither the Patriot Act or FISA has taken away ANY of my constitutional rights.
Don't have the same poobah connections that you probably have. No one has tortured or killed anyone on my behalf. Do have slightly less assets than Mark Cuban, and still benefitted from the Bush Tax Cuts. What a grand lie that has been for the democrat party. Tx probably would be better off as a Free Republic, or as OPEC West. We would only need one export ~ naphthenic lube oils, $3500 a quart, retail. Cash NO credit, American.
Are you, Barney Frank, and Oliver Stone collaborating on anything? U got a really good Oliver Stone kind of story line interweaved in your drive-by styled rants.
Posted by: Django - N Exile In/Around the 30th Parallel | February 21, 2009 2:21 PM
There is a bigger picture, than the tax and GPS. This proposal/thought is like the internet intrusion of Healthcare that I believe is in the Spending bill. We'll save money.
My healthcare provider has an online service but I don't want it. Do you want this online? If so you tick a little box that says yes, I want my info online.
Name, Address, Country of Birth, Date of Birth, Social Security #, HC provider ID, your medical history............
Do you think a hacker would enjoy having that information? You think ID theft is bad now, wait until the Gov'. wraps it in a nice little ball to steal.
I wish someone would write an article about what's in the spending bill, and how it can affect you. Like putting all your info online. Where are all those opposed to the "Patriot act", screaming about intrusion.
Posted by: PG | February 21, 2009 3:04 PM
I don't work for Al Qeada. Neither the Patriot Act or FISA has taken away ANY of my constitutional rights.
Don't have the same poobah connections that you probably have. No one has tortured or killed anyone on my behalf.
Posted by: Django - N Exile In/Around the 30th Parallel | February 21, 2009 2:21 PM
.........
Thanks to that village idiot ex-President (Bush) from Texas that you gave us, you're a "terrorist" if the government says you are.
Pay attention, Tex!
Posted by: Save the American economy, sell Texas and Bush to Mexico | February 21, 2009 5:39 PM
I can't believe the entire dialogue about VMT without touching on a clearly better approach. The VMT will do nothing to promote use of fuel efficient vehicles. In fact, a Hummer in a suburb that is drven 3 miles to the mall will pay much less per gallon than a hybrid or motorcycle in a rural area. The VMT will penalize rural drivers. And it will require millions of dollars (at least) to equip every vehicle with tracking devices…either GPS or odometer readers. And do we really want the government tracking us that way? VMT is better called "Track 'n Tax".
An alternative that hasn’t even been considered, although the experts on a commission evaluated over 30 options from which VMT emerged as the favorite. Our concept is efficient vehicle assessment (EVA) which calculates the per-gallon tax based on the vehicle’s efficiency (vehicle class, make/model, weight). So a mini-cooper or hybrid or motorcycle pays the lowest rate and the Hummers and other gas hogs pay at the top of the scale. It does not penalize rural drivers. It doesn’t require new vehicle equipment, just a new VIN decal on the windshield. There is not big brother mileage tracking and it DOES promote fuel efficient vehicle use …an incentive every time the big car driver sees their much higher per gallon price compared to the little car beside them at the pump.
Posted by: KJCape | March 25, 2009 11:51 AM