States test new ways to fund infrastructure

Seven US states will be using US$14 million in federal grants to test out new ways to fund infrastructure projects.

Grants were received by California, Delaware, Hawaii, Minnesota, Missouri, Washington and Oregon through the Surface Transportation System Funding Alternatives programme, as part of the FAST Act.

These states have various methods of collecting the fees for miles driven rather than a tax on each gallon of fuel consumed in order to fund much-needed improvements to roads, highways and bridges.

“The insights that these pilot programs will generate will provide needed steps toward developing a user-fee-based funding option for the surface transportation program that will sustain it for the future,” said Michele Stanley, NSSGA director of legislative and government affairs.

NSSGA will continue to be supportive of increasing the motor fuel user fee as a short-to-medium term solution, however with current political realities, we are also supportive of a mileage based user fee (MBUF) just like these.

“It time for Congress to coalesce around the common goal of addressing the Highway Trust Fund shortfalls with a durable solution like a MBUF,” Stanley said.

Adapted from press release by Rebecca Bowden

Read the article online at: https://www.worldcement.com/the-americas/07092016/states-test-new-ways-to-fund-infrastructure-206/