Skip to main content

Study: How to fund Interstate highways in a way truckers and drivers can support

As the US Congress once again struggles to find funding for a long-term highway bill, a new Reason Foundation study details why truckers should embrace the use of tolling to finance the reconstruction and modernisation of aging Interstate highways, describes how all-electronic tolling can solve the industry’s previous privacy and logistical concerns about toll roads and proposes a set of rules to ensure that the tolls paid by truckers and motorists are used only to rebuild and widen the newly tolled Inters
July 24, 2015 Read time: 3 mins

As the US Congress once again struggles to find funding for a long-term highway bill, a new Reason Foundation study details why truckers should embrace the use of tolling to finance the reconstruction and modernisation of  aging Interstate highways, describes how all-electronic tolling can solve the industry’s previous privacy and logistical concerns about toll roads and proposes a set of rules to ensure that the tolls paid by truckers and motorists are used only to rebuild and widen the newly tolled Interstate corridors.

The report outlines federal and state legislation that could eliminate the trucking industry’s previous objections to tolling. Truckers would be guaranteed that: Toll rates for the reconstructed Interstates would be set to cover only the capital and operating costs of the tolled infrastructure; Tolling of existing Interstate routes would not begin until that section of highway had already been reconstructed and re-opened to traffic; Tolls would replace current state gas taxes on Interstates, to avoid double taxation; and toll revenues would only be spent on rebuilding, widening, and maintaining the tolled highways.

“The trucking industry has the most at stake in ensuring a solid future for the Interstate highway system,” said Robert Poole, director of transportation policy at Reason Foundation.  

“But truckers have been wary of toll roads because they fear, rightly so, that any new Interstate tolling will turn those highways into cash cows for states, with that money being diverted to other projects, not to the highways used by trucks. However, with full use of today’s electronic tolling technology, plus strong legal highway user protections, toll-financed Interstate modernisation would be an attractive value proposition for truckers and other highway users.”

Historically, the trucking industry has suggested raising gas and diesel taxes instead of implementing tolls. However, Poole notes that paying for the estimated US$1 trillion cost of reconstructing and widening the aging Interstate system would require far more than the modest fuel tax increases being discussed by Congress (which are, in any event, unlikely to be enacted). Even then, Poole says “the new revenue would very likely be spread across all the myriad programs currently supported by the Highway Trust Fund, diverting most of it away from major highways such as the Interstates. Truckers wouldn’t get good value for their fuel tax increase.”

The study also examines existing tolling technology that would protect proprietary route information and will soon allow trucking companies to receive a single, consolidated bill for all tolls on all toll roads used nationwide each month by a fleet of trucks. This technology would eliminate the problem of needing different transponders and receiving individual bills from each state.

Related Content

  • Bigger role for data protection and privacy policies in transportation
    June 11, 2015
    Dr Caitlin Cottrill, lecturer at the University of Aberdeen’s School of Geosciences, examines the impact of privacy legislation on the transportation sector. Growing reliance on big data, underscored by the increasing ubiquity of smart infrastructure and the ‘Internet of Things’, has profoundly impacted the regulatory environment experienced by transportation professionals. This is particularly the case in relation to the privacy of personally identifying information (PII). There has been increased attenti
  • Fast and efficient barrier-free electronic toll collection
    May 21, 2012
    Canada’s 407 tolled highway allows non-stop travel and a fast and efficient way of paying for it. Ontario’s 407 ETR highway features one of the most advanced barrier-free and all- electronic toll collection systems in the world. The company that operates the road launched the latest phase of its strategy to provide end-to-end automation in summer 2011. A self-service website is now available, allowing users to view and pay charges online using technology supplied by the international market leaders in e-bil
  • Funding agreed for reconstruction of Fort Worth I-35W
    September 20, 2013
    A significant milestone in the redevelopment and expansion of Interstate 35W in Fort Worth, one of the most critical and most-congested corridors in the North Texas region and in the country has been achieved by NTE Mobility Partners Segments 3 LLC (NTEMP3). They have reached financial agreement on Segment 3A of the North Tarrant Express (NTE), paving the way for the reconstruction and expansion of the interstate. The project is being financed through a unique combination of public and private funds: US$
  • IBTTA: tolling embraces future of mobility
    August 15, 2019
    The future of mobility is a complex and changing topic. The IBTTA’s Bill Cramer finds the tolling industry is asking new questions – and finding some surprising new answers