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Household Income And Vehicle Fuel Economy In California, Christopher E. Ferrell, David B. Reinke
Household Income And Vehicle Fuel Economy In California, Christopher E. Ferrell, David B. Reinke
Mineta Transportation Institute Publications
This white paper presents the findings from an analysis of the fiscal implications for vehicle owners of changing from the current statewide fuel tax to a “road user charge” (RUC) based on vehicle-miles traveled (VMT). Since 1923, California’s motor vehicle fuel tax has provided revenue used to plan, construct, and maintain the state’s publicly funded transportation systems. Over time, improvements in vehicle fuel efficiency and the effects of inflation have reduced both the revenue from the fuel tax and its purchasing power. Thus, there is growing interest among policy makers for replacing the state’s per-gallon fuel tax with an RUC …