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Republicans propose fees on EVs, other passenger vehicles to fund transportation programs

  • On April 29, 2025, the House Transportation and Infrastructure Committee, chaired by Rep. Sam Graves, proposed new annual fees on electric and other passenger vehicles in Washington, D.C.
  • The proposal responds to persistent Highway Trust Fund shortfalls caused by unchanged federal fuel taxes since 1993 and declining purchasing power amid rising infrastructure costs.
  • The plan includes a $200 fee on electric vehicles, a $100 fee on hybrids, and a $20 fee on most other passenger vehicles to supplement fuel tax revenue for highway and aviation infrastructure.
  • Rep. Rouzer described the new fees as a ‘‘step in the right direction’’ but acknowledged they will not fully close the $142 billion funding gap through 2035.
  • If enacted, the fees would mark the first new Highway Trust Fund revenue in over 30 years and indicate ongoing congressional debates over sustainable road user funding approaches.
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Transport Topics broke the news in on Tuesday, April 29, 2025.
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