Dedicates a portion of the existing tax levied on gasoline and diesel into the Construction Subfund and imposes a one-time road-use fee on electric and hybrid vehicles (RE SEE FISC NOTE GF EX See Note)
Impact
Furthermore, the bill introduces a road use fee system for electric and hybrid vehicles, imposing an annual fee of $200 for electric vehicles and $100 for hybrid vehicles. This move is intended to account for the loss of gas tax revenue from these vehicles, which typically contribute less or nothing to road maintenance funding. These fees are expected to be collected by motor vehicle dealers at the point of sale, with future communications sent to vehicle owners to ensure compliance with ongoing payments.
Summary
House Bill 582 establishes a financial framework to support transportation projects in Louisiana by modifying tax structures associated with gasoline and diesel fuels. Specifically, it allocates $120 million from the existing tax revenues on these fuels to the Construction Subfund of the Transportation Trust Fund (TTF) starting July 1, 2021. This allocation aims to enhance funding for major infrastructure projects while ensuring that bond obligations related to these tax revenues continue to be met first.
Sentiment
The sentiment surrounding HB 582 appears to be mixed, leaning towards support from pro-infrastructure advocates who see the need for increased funding to maintain and improve transportation networks. However, there are concerns from various stakeholders regarding the imposition of new fees on electric and hybrid vehicles, potentially impacting their adoption rates. Some view these fees as necessary for contributing to road upkeep, while others feel it could deter environmentally friendly vehicle choices.
Contention
Various points of contention have emerged during discussions related to the bill. Some legislators raised concerns about the fairness of imposing fees on electric and hybrid vehicle owners, who are already contributing to reduced emissions and environmental impact. The debates have highlighted differing views on transportation funding and the balance between encouraging eco-friendly vehicles while securing necessary revenue for infrastructure improvements.
Increases the per gallon excise tax on gasoline, diesel, and certain special fuels and levies an excise tax on electric and hybrid vehicles (OR -$305,000,000 GF RV See Note)
Adjusts the amount of excise tax levied on gasoline, diesel, and special fuels and levies new taxes on gasoline, diesel, special fuels, and electric and hybrid vehicles (EG INCREASE SD RV See Note)
Creates an additional tax on motor fuels and requires the tax on gasoline, diesel fuels, and special fuels to be adjusted annually in accordance with the Consumer Price Index (EG +$551,600,000 SD RV See Note)
Dedicates a portion of the avails of state sales and use tax to the Construction Subfund of the Transportation Trust Fund and extends .4% of current state sales and use tax (EG -$37,800,000 GF RV See Note)
Dedicates the avails of state sales and use taxes on purchases of motor vehicles to the Construction Subfund in the Transportation Trust Fund (OR -$456,000,000 GF RV See Note)
The salary of the state tax commissioner, property assessment increase notices, and use tax exemptions; to provide an exemption; to provide for a transfer; to provide an effective date; and to provide an expiration date.
Relating to control over state facilities and to the abolition of the Texas Facilities Commission and the transfer of its duties to the General Land Office.
An Act Concerning The Disposition Of Excess State Property Acquired For Transportation Purposes, And Making Technical Revisions To Real Property Acquisition And Condemnation Procedures.
Proposing and submitting to the voters at the next general election a law transfer the state accounting system from the Bureau of Finance and Management to the state auditor and amend provisions pertaining to the Bureau of Finance and Management.