Motor vehicles; additional license tax and registration fee; distribution of proceeds to the Alabama Public Transportation Trust Fund
Impact
The introduction of these fees represents a significant change in how electric vehicles are taxed in Alabama. Establishing a dedicated fund for electric transportation infrastructure grants proposes to improve charging station availability and promote the use of electric vehicles. Moreover, the distribution of tax proceeds is specified, with allocations to state, county, and municipal funds to enhance transport infrastructure, thus encouraging collective investment in public services.
Summary
SB91 proposes an additional license tax and registration fee for motor vehicles in Alabama, particularly targeting battery electric and plug-in hybrid electric vehicles. The bill aims to levy a $200 annual fee on battery electric vehicles and a $100 fee on plug-in hybrids, alongside existing vehicle taxes. This initiative is designed to support the Alabama Public Transportation Trust Fund, facilitating improved public transportation options across the state.
Contention
Notably, the bill may provoke controversy among different stakeholders. Proponents may argue that imposing fees on electric vehicles is a necessary step towards effective funding of infrastructure suited for growing electric vehicle usage. However, critics may raise concerns regarding fairness, particularly how this impacts the affordability of electric vehicles compared to traditional gasoline-powered vehicles. Additionally, there may be discussions regarding the adequacy of public transportation improvements relative to the funds generated by these fees.
To amend Section 40-12-242, Code of Alabama 1975, relating to license taxes and registration fees; to levy an additional license tax and registration fee on motor vehicles as defined in Section 40-12-240, Code of Alabama 1975; and to provide for the distribution of the proceeds to the Alabama Public Transportation Trust Fund.
Increasing the annual license fees of electric and hybrid passenger vehicles and trucks and electric motorcycles and distributing the fees to the state highway fund and the special city and county highway fund.
Revenue and taxation; Driving on Road Infrastructure with Vehicles of Electricity (DRIVE) Act of 2021; definitions; tax levy; reports; registration fees; revolving fund; effective date.
Revises "New Jersey Transportation Trust Fund Authority Act"; extends process for calculating gas tax rate until Fiscal Year 2032; imposes sales and use tax and additional registration fee on electric vehicles; appropriates $2.5 billion.
Relating to the creation of and the powers of a comprehensive multimodal urban transportation authority, including the power to impose taxes, issue bonds, and exercise limited eminent domain authority.