Taxes are one of those things that seem as permanent as a scar, indelible as a tattoo.
It is one of the reasons we bristle when one is proposed. We have come to realize that a tax is rarely temporary. It may be imposed to pay for one very admirable public service today, but it is unlikely to be repealed when that service is fulfilled tomorrow. (See: the 1936 Johnstown Flood Tax — still an 18% levy on alcoholic beverages.)
Which is why it was a little surprising to hear Gov. Tom Wolf propose phasing out a tax. And not just any tax — Pennsylvania’s sky-high gasoline tax, at 58.07 cents a gallon.
On Friday, Wolf appointed a commission to find new ways to cover the money that is generated at all of the state’s gas pumps.
The governor called the tax burdensome. He’s not wrong. Depending on the price of gas, the tax might be 15% to 20% of the cost. So by Aug. 1, he would like a list of alternatives to replace the stream of billions that usually pours from that spigot.
Because that’s the issue. We still need the money.
The gas tax pays for things we use every day. Building roads. Maintaining them. Keeping them safe. A chunk even goes to state police. All of those are non-negotiable necessities.
So the committee is going to have to be creative. There is a blend of traditional and more out-of-the-box funding sources that could be used, but it’s important to remember that “funding” is a dangerous word. It seems a lot like payment, but it often means something more like credit. A credit line and a paycheck are not the same thing.
The state has to provide the services in an equitable way, getting everyone to contribute but perhaps weighting that contribution more heavily the greater the use and steeper the cost of the participation. The changing face of transportation also has to be part of it.
Gas tax revenue took a plunge during the pandemic slowdown, but it has been falling for years. Cars are becoming more fuel efficient and more likely to be electrified. But transportation isn’t powered only by gas stations. The state needs to engage people who use mass transportation, too — higher fares could lead to higher-quality service. And hey, bike lanes may be inexpensive, but they’re not free. Riders of bicycles, despite their environmental goodliness, should want to participate in the solution.
Public-private partnerships already have been mentioned as a solution to bridge-repair projects, with attendant tolls. That proposal has met resistance from lawmakers. It definitely won’t be popular with drivers, especially given the state’s history with tolls that rise steadily every year.
But the hard fact remains: The gas tax would be replaced by another tax, whether on road use (tolls) or consumption (mileage) or some metric yet to be determined.
Losing a tax sounds like a great idea. Just realize that the tax might not be collected at the pump, but the bill will still be paid somewhere.
— The Tribune-Review/TNS
