Gas-Tax Revamp Pushed to Fund Transportation Project (Wall Street Journal)
States are starting to lobby Congress to replace the decades-old federal tax on gasoline with a new system that would raise revenues to pay for highway and transit projects, writes Josh Mitchell.
The gas-tax proposal, being pitched by the American Association of State Highway and Transportation Officials, would replace the current federal excise fuel taxes with sales taxes. The sales taxes would increase with inflation, unlike stagnant excise taxes last increased in 1993. In six years, it could raise an extra $43 billion.
Finding The Money To Build Out LA’s 30/10 Transportation Initiative (Huffington Post)
Joel Epstein makes the case for transit now, citing U.S. census bureau statistics to bolster the importance of building out LA’s public transportation system with as much fixed rail infrastructure as possible. Better yet, he says, LA’s 30/10 Initiative will do it in a decade. Read on to get to the shocking conclusion: “I’ll take the train over unemployment any day.”
News reports on U.S. Senator Barbara Boxer’s announcement are connecting the dots between the federal loan and the 30/10 Initiative. ”Observers nationwide should be evaluating the approach L.A. has taken on this project very carefully: This method, in which local governments promise a long-term revenue stream to pay back low-interest loans from Washington, could be a model for future infrastructure creation everywhere. Or it may at least allow the nation’s second-largest city to advance the fast-paced transit expansion program it has been planning,” writes Yona Freemark in a detailed report in Transport Politic.