Taxes Based on Estimated Road Impact Could be the Future

Could taxing people on their anticipated road use be a more equitable way to pay for roads and related infrastructure? Would it reduce car dependancy in the long term?

A western Milwaukee suburb is considereing changing the way roads are funded by levying a tax based on estimated road impact, rather than property taxes.

"The fees charged to residential and various classes of commercial and business properties would be based on the average number of vehicle trips generated each day by those properties, as estimated by the Institute of Engineers' Trip Generation Manual... Properties are classified by how many vehicles could be expected to go to and from them in a typical day. Large supermarkets, for example, would be near the high end of that measure, while single-family homes would be near the bottom."

Is it truly a more equitable solution? Would it ultimately encourage businesses to support transit and walking oriented development because it would result in a lesser tax burden to them?

Thanks to Nick Aster

Full Story: Transportation utility proposal rolls forward

Comments

building block set

NEW! Build the world you want to see

Irresistible block set for adults when placed on a coffee table or desk, and great fun for kids.
$25

Prepare for the AICP* Exam

Join the thousands of students who have utilized the Planetizen AICP* Exam Preparation Class to prepare for the American Planning Association's AICP* exam.
Starting at $245

Stay thirsty, urbanists

These sturdy water bottles are eco-friendly and perfect for urbanists on the go.
$19.00

Essential Readings in Urban Planning

Planning on taking the AICP* Exam? Register for Planetizen's AICP * Exam Preparation Course to save $25.