California, September 20, 2025
News Summary
California transportation officials are exploring a per-mile road charge as a replacement for the state’s gas tax, aiming to address the declining revenue from rising electric vehicle use. The proposed charge would apply to all drivers and was initially tested in a pilot program. Public reaction has been mixed, with concerns over fairness and privacy. The push for this new charging system is driven by predictions of significant growth in electric vehicle numbers by 2035, prompting the need for sustainable funding models for road maintenance.
California transportation officials are considering a “per-mile road charge” as a new funding method for road repairs amid declining gas tax revenue. This proposal is driven by the increasing adoption of electric vehicles, which is impacting the revenue generated from California’s 59 cents per gallon gas tax, the highest in the nation. Currently, this tax funds about 80 percent of the state’s road repairs. With more drivers switching to electric vehicles, California anticipates a further reduction in gas tax revenue.
The proposed road charge would replace the current gas tax and apply to all drivers in California. As part of the exploration process, Caltrans, the state’s transportation department, conducted a pilot program earlier this year to test a road charge system. This pilot program presented options such as a flat fee of 2.8 cents per mile or an individualized fee based on a vehicle’s fuel economy. Various methods for reporting mileage were also tested, including odometer readings and transponder devices.
The findings from Caltrans’ pilot program, expected to be published later in 2023, may compel California to explore alternative funding sources for road maintenance, given predictions of declining gas tax revenues. State forecasts indicate that by 2035, there could be 15 million electric vehicles on California roads, increasing the urgency for a sustainable funding model.
Public Reaction and Concerns
The proposal has sparked a range of reactions among local residents. For instance, some individuals have voiced concerns about the fairness of the proposed charge system. Critics, such as El Cajon Mayor Bill Wells, have labeled the road charge proposal as a “regressive tax,” arguing that it would disproportionately affect middle and lower-income families. Additionally, privacy concerns have arisen regarding the potential tracking of travel data if transponder devices are used to measure mileage.
National Context and Certification
Hawaii stands as the only state with a mandatory per-mile road usage charge specifically for electric vehicle drivers, which costs $8 per 1,000 miles driven. The implementation of California’s proposed per-mile road charge would require approval from the state legislature, which would also determine the methods for measuring mileage. The ongoing discussions among drivers indicate a willingness to engage in conversations that ensure actionable fairness in any new system.
Future Steps
The Road Charge Project continues to hold community meetings to educate and inform the public about the proposed system. The next meeting is scheduled for April 18 at the Fresno Government’s Transportation Office, where residents can provide feedback and express their concerns. Previous trials for a mileage-based fee have been conducted in California since 2016, indicating a long-standing interest in evaluating sustainable road funding alternatives.
As the state prepares for a transition towards a zero-emission fleet — an initiative which mandates that all cars sold after 2035 must be electric — the shift presents consequent implications for transportation funding strategies. Through these ongoing efforts, California aims to develop a financially equitable system as traditional gas taxes diminish due to higher fuel efficiency and a growing number of electric vehicles on the roads.
Key Details
| Aspect | Description |
|---|---|
| Gas Tax Rate | 59 cents per gallon |
| Current Revenue from Gas Tax | Approximately $7.8 billion in 2023 |
| Proposed Road Charge Rate | Potentially 2.8 cents per mile |
| Projected Electric Vehicles by 2035 | 15 million |
| Next Community Meeting | April 18 at Fresno Government’s Transportation Office |
Frequently Asked Questions
What is the proposed per-mile road charge in California?
The proposed road charge would replace the current gas tax and would apply to all drivers in California.
Why is California implementing this new charging system?
The implementation is prompted by the decline in revenue from the state’s gas tax due to the increasing adoption of electric vehicles.
When is the next community meeting regarding the road charge?
The next community meeting is set for April 18 at the Fresno Government’s Transportation Office.
Deeper Dive: News & Info About This Topic
- CBS 8 News
- Wikipedia: Gasoline Taxes in the United States
- ABC 7 News
- Google Search: California per-mile road charge
- KMPH News
- Encyclopedia Britannica: Tax
- ABC 10 News
- Encyclopedia Britannica: Transportation
Author: STAFF HERE CORONADO
The Coronado Staff Writer represents the experienced team at HERECoronado.com, your go-to source for actionable local news and information in Coronado, San Diego County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Coronado Island Film Festival, productions at Lamb’s Players Theatre, community workshops at John D. Spreckels Center, and iconic celebrations at Hotel del Coronado. Our coverage extends to key organizations like the Coronado Chamber of Commerce and Visit Coronado, plus leading businesses in hospitality, dining, and tourism that drive the local economy. As part of the broader HERE network, including HERESanDiego.com, HEREHuntingtonBeach.com, HERELongBeach.com, and HERELosAngeles.com, we provide comprehensive, credible insights into Southern California's dynamic landscape.
