Don't Fear the VMT Fee

I doubt very much that a VMT fee will fly in the U.S. How will it be administered? Will everyone have to have a chip in their car that will report to the State or Federal Government their travels? Will their GPS Navigation Unit report the mileage to "mothership"? Will they have to report their mileage each time they fill up? Will they have to drive their cars to a DMV office where they record the mileage? Critics will say that this smacks of Orwellian government. Will everyone have a transponder with an RFID chip that responds when queried by sensors along the roadway as they do for certain toll-roads? What would privacy advocates think? With the current EZ pass systems, people have the choice of not using those facilities. In addition, they could just pay cash at the toll-booth if one is available and forego the transponder unit.

I see the merit in such a proposal, but I don't see a VMT based fee as practical in the US given the size and population of the US. European countries are smaller than the US and people don't have as far to drive. Most importantly, Europe has a much more effective transit system As such, the people have an alternative to using their vehicles. Mass transit is a hit or miss here in America depending on the area that you live. In some areas there are no reasonable alternatives to private vehicles.

One issue is equity. Those who live in the rural areas would need to travel many miles to get to work or other destinations. The VMT would be a greater burden on those who live in the rural areas. As such, their VMT would comprise a greater percentage of their income and would be regressive. Having a two tiered system in which rural residents would pay a smaller VMT and Urban/Suburban drivers would pay more would violate the Constitution, i.e. equal protection under the law.

Ironically, this proposal mirrors what some Libertarians would like. They would like to see all roads become private toll roads and all future roads to be private toll roads, thereby eliminating the government involvement. Their belief is that people will have second thoughts about driving if they have to pay. Pricing would be determined by the market place.

The irony is that the concept is championed by the progressive or liberal proponents has some similarity to a Libertarian concept. However, the difference is that there would not be a government bureacracy involved. On the other hand, the results may be similar.

In summary, I do not believe a VMT fee is practical in the US because of the aforemention problems. Furthermore, the administrative overhead of a bureaucracy that administers the fee would not be appreciated by many Americans. Will it fly in the more conservative regions such as the South, Midwest, Southwest or Western States? No. A new Federal VMT would not fly. A state VMT may fly, probably in the Atlantic Northeast. However, in California, a statewide VMT and revision to the state taxes on gasoline and diesel would not pass because the defective state legislature in California has difficulty in coming to agreement on much of anything. Just ask Governor Swarzenegger.

William T. Chandler
Associate Env. Planner