House Transportation Committee to Explore Sustainable Funding Options

Federal transportation leaders recognize that sustainable transportation funding options are needed to meet America's infrastructure needs. At AASHTO's Annual Washington Briefing, different funding strategies were proposed by key Congress members.

3 minute read

March 1, 2016, 10:00 AM PST

By Irvin Dawid


While Congress celebrated the passage last December of the first long-term transportation reauthorization bill since the 2005 bill, SAFETEA-LU expired in 2009, it is not resting on the funding problem. Sustainable options, rather than one-time subsidies like the $70 billion that props-up the FAST Act for five years are recognized by most to be necessary.

Four key transportation leaders from the House and Senate addressed the American Association of State Highway and Transportation Officials (AASHTO) Annual Washington Briefing on Capitol Hill held February 24 through February 26 on what they believe can fully fund transportation spending.

Rep. Sam Graves, R-Mo., chairman of the House House Transportation and Infrastructure Subcommittee on Highways and Transit, "made clear that he thinks the effort will eventually move toward VMT (vehicle-miles-traveled) pricing," writes the AASHTO Journal editor, commonly known as a VMT fee, road usage charge, or mileage-based user fee.

Graves said lawmakers should be able to agree on a funding solution in a year or two, and "I really believe we'll end up with some form of vehicle miles traveled (fee)."

Rep. Peter DeFazio (D-Ore.), ranking member of the House Transportation and Infrastructure Committee supports a different funding option, opting for a very indirect user fee that doesn't tax gasoline but adds "an upstream wholesale tax on the portion of oil used in transportation." President Obama recently proposed a similar type of funding option, a $10-per-barrel oil fee, for his transportation budget next year.

[He] cited some difficulties with adopting a VMT-type user fee across the country, including its complexity and the privacy concerns it raises for some.

DeFazio noted that Oregon has a major VMT pricing system pilot program [sic] under way.* 

One problem with the wholesale oil tax is that it misses a growing component of the motor vehicle fleet, electric vehicles (EVs). Many states are tackling that problem by charging fixed, annual EV fees. Unlike a gas tax, there would be no difference between some driving a 1,000 miles a year, or 10,000 miles a year.

Four videos (click on Congress member or Senator) are available of the presentations to the AASHTO Annual Washington Briefing:

  • Sen. Jim Inhofe, (R-Okla.) Chairman of the Senate Environment and Public Works Committee
  • Senate Environment and Public Works Committee Ranking Member, Sen. Barbara Boxer (D-Calif.)
  • Rep. Peter DeFazio, (D-Ore.) Ranking Member of the House Transportation and Infrastructure Committee
  • Rep. Sam Graves, (R-Mo.) Chairman, of the House T&I Subcommittee on Highways and Transit 

The T&I Committee will likely look for reports from the states on the VMT programs. For states considering embarking on their own mileage fee programs, "the FAST Act establishes the Surface Transportation System Funding Alternatives program, which provides up to $95 million to enable States to test and demonstrate innovative methods to fund needed infrastructure improvements," according to a January post.

*Correspondent's note: Oregon's pricing program, known a OReGO, is not a pilot—it's the real deal. ODOT already ran two pilot programs in 2007 and 2013. The new program is limited to 5,000 volunteers though. It will run until legislation ends it, unlike a pilot program which has a set termination date, such as the 9-month California Road Charge Pilot Program to begin in July.

Friday, February 26, 2016 in AASHTO Journal

portrait of professional woman

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching. Mary G., Urban Planner

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching.

Mary G., Urban Planner

Cover CM Credits, Earn Certificates, Push Your Career Forward

Logo for Planetizen Federal Action Tracker with black and white image of U.S. Capitol with water ripple overlay.

Planetizen Federal Action Tracker

A weekly monitor of how Trump’s orders and actions are impacting planners and planning in America.

July 16, 2025 - Diana Ionescu

Blue and silver Amtrak train with vibrant green and yellow foliage in background.

Amtrak Cutting Jobs, Funding to High-Speed Rail

The agency plans to cut 10 percent of its workforce and has confirmed it will not fund new high-speed rail projects.

July 14, 2025 - Smart Cities Dive

Green vintage Chicago streetcar from the 1940s parked at the Illinois Railroad Museum in 1988.

Chicago’s Ghost Rails

Just beneath the surface of the modern city lie the remnants of its expansive early 20th-century streetcar system.

July 13, 2025 - WTTV

Aerial view of viaduct under construction for California High-Speed Rail.

DOT Officially Cancels California High-Speed Rail Funding

The Trump administration has repeatedly taken aim at the LA-to-Bay Area rail project, blaming Democratic leaders for cost overruns and delays.

7 hours ago - Streetsblog California

Orange "Apartments Leasing" sandwich board sign on sidewalk with arrow pointing right.

Legislators Push Back Against ‘Rent-Setting’ Software

In the last six months, lawmakers in more than two dozen cities and states have made strides to stop landlords from using anti-competitive rental software to determine how much to charge for rent. Shelterforce looks at the wins and losses so far.

July 20 - Shelterforce Magazine

Orange and black heavy equipment and workers building new asphalt roadway.

DOT Awards 77% of BUILD Grants to Road Projects

Trump’s DOT is directing 87 percent of total grant dollars to states that backed the President in the last election.

July 20 - Streetsblog USA