Drivers foot bill for roads upgrade
California Governor Jerry Brown has signed into law a bill to raise fuel taxes and other transportationrelated fees for the first time in decades, in an ambitious US$52 billion plan to repair the state’s long-neglected roads and bridges.
The measure will increase excise taxes on gasoline by 12 US cents per gallon (3.8 litres), from the current rate of 28c, and on diesel fuel by 20c per gallon over the next 10 years. It will go into effect in November.
The bill cleared the state legislature three weeks ago, on the strength of a two-thirds supermajority the Democrats wield in both houses. Republicans condemned the increases, saying the state’s transportation taxes and fees are already among the highest in the US.
The average motorist in California, a state renowned for its car culture, will see transportation costs rise by about US$10 a month, the bill’s supporters say.
Brown insisted that the pain of higher taxes would be more than offset by economic benefits.
‘‘Safe and smooth roads make California a better place to live and strengthen our economy,’’ he said.
Brown, a Democrat who has governed largely as a fiscal moderate, refused to back any plan that involved borrowing money to shore up a sagging transportation system that has gone unrepaired and unexpanded for decades.
Supporters say the measure is needed to address a mounting backlog of deferred roading maintenance projects, including more than 500 bridges requiring major repairs.
The fuel tax increases, together with higher vehicle registration fees and a new US$100 annual fee for owners of electric-only vehicles, is predicted to raise US$5.2b a year. All the funds are earmarked for road, highway and bridge repairs, along with mass transit and anticongestion projects.