APTA Joins Coalition to Urge Congress to Reform Highway Trust Fund User Fee System

APTA, together with a coalition of national transportation, business, manufacturing, and other stakeholder organizations, sent a letter to congressional leaders on March 12 offering a new approach to preserve the federal user fee system and ensure the solvency of the Highway Trust Fund.

The coalition proposes a new funding approach that would eliminate existing federal user fees, including motor fuel taxes and the Federal Excise Tax on commercial trucks and trailers, and replace them with a federal registration fee based on vehicle weight, regardless of a vehicle’s powertrain type or fuel economy. This proposal is similar in concept to vehicle-miles-travelled fees that APTA supports to replace existing user fees, but a national registration fee may be easier to administer because usage would not have to be tracked.

The letter describes the long-term financial challenges facing the Trust Fund and the urgent need for sustainable funding solutions as Congress prepares the next surface transportation authorization.

For more than 70 years, federal user fees, including gasoline and diesel taxes and other motor vehicle-related excise taxes, have supported the construction and maintenance of highways, bridges, and public transportation systems across the U.S. However, the coalition emphasized that the current funding model has not kept pace with changes in vehicle technology, fuel efficiency, and travel patterns.

“America’s transportation system depends on a funding structure that is fair, reliable, and sustainable,” APTA and its partners wrote. “The current system, last adjusted in 1993, no longer reflects how Americans travel today.”

Under a registration fee model, all vehicles, including electric, hybrid, and traditional gasoline-powered vehicles, would contribute to the Highway Trust Fund. The coalition said such an approach would restore fairness to the user fee system while ensuring long-term financial sustainability.

The coalition stressed that transitioning to a new user fee system would require coordination with states and stakeholders and would take time to implement effectively. However, the organizations believe the Highway Trust Fund must be fixed to modernize federal transportation funding and ensure the long-term success of the nation’s mobility network.

“By reforming the user fee system, Congress can restore fiscal responsibility to transportation funding while ensuring that everyone who benefits from our transportation infrastructure contributes fairly to its upkeep,” the letter states.