Indiana House Bill HB1288

Indiana 2022 Regular Session

• Introduced: 1/10/22
• Refer: 1/10/22

Caption

Supplemental fee on electric and hybrid vehicles.

Impact

If passed, HB1288 would remove the previously imposed supplemental fee of $150 for electric vehicles and $50 for hybrid vehicles. This change could lead to an increase in the registration of such vehicles in Indiana, as the financial barrier related to registration is lowered. Supporters of the bill argue that it will promote environmentally friendly transportation and aid in the state's goals for reducing carbon emissions and encouraging sustainable practices. The move aligns with broader national trends of promoting electric vehicles as a key component in combating climate change.

Summary

House Bill 1288 seeks to repeal the supplemental registration fees that currently apply to electric and hybrid vehicles in Indiana. This bill aims to simplify the registration process for these types of vehicles by eliminating a fee that has been contentious among vehicle owners and advocates for cleaner energy. The intent behind the legislation is to encourage the adoption of electric and hybrid vehicles by making it economically easier for residents to own and register these vehicles. The bill stipulates that it will be effective from January 1, 2023, following its passage through the legislative process.

Contention

Despite its positive reception among proponents, the bill has faced criticism and points of contention regarding potential impacts on local funding. The revenue generated from these supplemental fees was intended to contribute to local road and bridge improvement projects, serving as a funding mechanism to help maintain and develop infrastructure. Critics argue that eliminating these fees could therefore inhibit local governments’ abilities to fund essential developments in transportation infrastructure, raising concerns about the long-term ramifications of reduced local funding sources.