Washington, D.C. – U.S. Representative Chip Cravaack (MN) offered an amendment to H.R. 5972, the Transportation, Housing and Urban Development (THUD) Appropriations Act of 2013, which would prohibit the utilization of funds by the Secretary of Transportation to research, or implement, a distance-based fee system.  This system is commonly referred to as Vehicle Miles Traveled, or “VMT,” which would tax drivers based on the distance traveled.  H.R. 5972 was passed by the House today with bipartisan support.

“I’m already paying over $3.50 for a gallon of gas.  The last thing that would help me is a little black box taxing me for every mile I drive,” said Al Cekalla, an Eighth District resident who commutes 112 miles roundtrip from Sturgeon Lake to Mora each day.

Under the VMT tax, every automobile on the road would need to be fitted with a device that both records miles driven and transmits the information to a government database.  This complicated system would cost millions of dollars and raise a number of concerns.

“My constituents often have to drive many miles more than their urban counterparts to perform the same daily tasks, like grocery shopping, dropping the kids off at school, and making deliveries from their small businesses,” said Rep. Cravaack.  “Minnesotans are already struggling to make ends meet with the current gas prices – penalizing them for nothing other than living in a rural area will put them over the edge,” he added.

Watch Rep. Cravaack’s Floor remarks here.

Importantly, the VMT tax would be yet another unwelcome increase in the cost of driving.  The gas tax is already in place for the purposes of funding transportation infrastructure, and it is an inexpensive and efficient form of taxation that is collected directly from fuel sales.  By contrast, the VMT tax would be an expensive and inefficient form of taxation that targets each and every driving American.  The concern for privacy abuses also exists.

According to a Heritage Foundation report, “A VMT would be expensive to implement because every car would need to be fitted with a device that both records miles driven and transmits the information to a government database. This complicated system would cost millions and raise concerns of big brother watching our every movement.  Americans don’t like paying the gas tax, but they are sure to be even more unhappy having to deal with the administrative nightmare the VMT promises.”

Representative Cravaack serves on the Transportation and Infrastructure Committee – where he is Vice Chair of the Aviation Subcommittee – the Homeland Security Committee, and the Science, Space and Technology Committee.  The 8th Congressional District covers 18 counties in Northeast Minnesota.

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