Federal & Missouri Fuel Taxes Should Be Raised Now, Indexed To Inflation
In the last twenty years many things have increased in cost, including steel, concrete, asphalt, labor and other expenses of transportation infrastructure. Still, the main funding mechanism (fuel taxes) haven’t increased since 1993 (federal) and 1996 (Missouri). It’s no wonder our infrastructure is falling apart. Plus, we have more infrastructure than we did 20 years ago — more to maintain.
On the federal fuel tax:
It was last raised, in the year 1993, to 18.4 cents per gallon. That’s over 20 years ago, and gas prices at the time were close to the now unimaginable $1.00 per gallon mark. Yet the amount of the gas tax was fixed and not tied to inflation — so it has not changed since. (U.S. states also charge gasoline taxes; the national average is about 23.5 cents.) (Washington Post)
Fuel taxes have never been tied to inflation, but they need to be! Politicians don’t like raising taxes, voters seldom approve increases. Yet we want nice roads and bridges that don’t collapse. Guess what folks, that requires money! Waiting a couple of decades between increases make raising the rate much more painful and shocking, we’re better off increasing incrementally every year or two.
Why now? Gas prices at the pump are at a 4-year low right now, but it’s likely temporary.
By holding production steady amidst very low global oil prices, Saudi Arabia and its OPEC allies have indicated that they will not take the U.S. assault on their market share lying down. Despite all the advantages of advanced U.S. hydraulic fracturing technology, Middle Eastern oil still has a definitive advantage: production cost. While OPEC countries could tolerate oil prices as low as $60 per barrel, analysts predict the U.S. will see a decline in new drilling if the price falls below $70 per barrel.
In the wake of OPEC’s announcement, the U.S. West Texas Intermediate crude oil benchmark price fell below $66 per barrel—right into the sweet spot between $60 and $70 per barrel that OPEC hopes will curb U.S. oil production. (Scientific American)
U.S. production, through “fracking”, has been impressive. Still, we’re a net importer of oil. Fracking is an expensive way to extract oil from the earth, if prices are too low it doesn’t pay to continue. Something will change that causes the supply to be reduced, causing gas prices to go back up. We need to get fuel taxes increased and set to go up automatically with inflation so we can maintain our existing infrastructure.
— Steve Patterson
Yes . . . and we need to transfer responsibility for the supplemental (“letter”) state highways (K, N, DD, etc.) to the counties: http://en.wikipedia.org/wiki/Missouri_supplemental_route
“The goal of the secondary highway system [in 1952] was to place state-maintained roads within 2 miles (3 km) of more than 95% of all farm houses, schools, churches, cemeteries and stores.” In other words, many of these roads are glorified driveways, maintained at (great) state expense.
I disagree with taxes being tied to inflation. Roads and bridges don’t need to be rebuilt on a regular basis, just maintained. Take your example of the Kingshighway Viaduct; It was rebuilt last time in 1993, 22 years ago. You imply that because material costs have increased, that taxes should be increased as well to cover the increases. But, a bridge/road isn’t rebuilt on a regular basis. Just needs to be maintained. And I think there lies the problem with the bridge needing rebuilt (along with other bridges in MO and roads). They don’t seem to be maintained well. With that, it would seem like MODOT is stockpiling the tax money (kidding of course) and saving it to just replace some day. The kingshighway viaduct was originally built in 1910 and has been rebuilt 2 other times already. Once in 1955, then again in 1993. Now in 2015, its going to be demolished again. I’m no structural engineer, but I’ve seen bridges in other states last a lot longer than 22 years.
The Kingshighway viaduct over the UP tracks south of I-44 is the one being rebuilt. It’s from the 30s.
As the other person indicated, the Kingshighway viaduct is very very old — it has been falling apart the 24 years I’ve lived here. We have so much neglected infrastructure throughout the state and country. Raising the fuel taxes evey two years would endure it isn’t shovking to businesses and the general public.
Well first of all there would be more money available if they didn’t do the updates of lighting and new railings all the way across the bridge a few years back. The original lights they first put up were hideous and you can still see how too close the light standards where to each other even now. What you see driving over the viaduct are changes to the lighting in recent years.
As far as taxes, I’m not sure taxes are the problem, the problem seems to me that there is not public discussion ongoing about any of these issues, it’s always a done deal when presented to the public, so all a raise in taxes does is piss people off.
I won’t take up your time, but for instance the Kingshighway location would likely be a super site for a new major public space that includes a major transit component along with cars.
Maybe not too, I get it, but why raise taxes when the same crap is done over and over. The fact planned infrastructure improvements are not already in projected budgets makes me question how investment of new lights and railings happened. There are many questions about how long term budgeting is done. The clear overlap infrastructure expenditure in the Kingshighway viaduct exposes something that should be corrected before any raise in taxes. Then too there is no ongoing public discussion on how to build a future, sustainable city, especially given deep concerns about global warming and oil in general.
So really why raise taxes? For what, the dysfunctional system of governance we tolerate?