Some Transportation Funding Gimmicks Are Worse than Others

Carl Davis of the Institute on Taxation and Economic Policy wants a gas tax increase, not gimmicks, to fund the 6-year transportation bill. Not likely. As bad as they are, they are better than resorting to a repatriation tax, notes the press release.

2 minute read

November 23, 2015, 7:00 AM PST

By Irvin Dawid


"(D)espite an abundance of voices urging action—including businesses, labor unions, civil engineers, [road builders], truckers, and even AAA—Congress is continuing its long-running opposition to a gas tax increase," writes Carl Davis, Research Director at Institute on Taxation and Economic Policy, "a non-profit, non-partisan research organization that works on federal, state, and local tax policy issues."

Rather than update our gas tax rate, Congress is hoping to cobble together a few years’ worth of funding by shuffling around money paid by airline passengers, selling off millions of barrels of oil from the Strategic Petroleum Reserve, and spending Customs “user fees” on things that are unrelated to Customs and Border Protection.

But as bad as this incoherent and gimmicky package truly is, the sad reality is that it is better than the next most likely option on the table: a corporate “repatriation” tax [...] (R)epatriation would reward and encourage offshore tax avoidance and reduce federal revenues in the long-term.

President ObamaHouse Speaker Paul Ryan and Sens. Rand Paul and Barbara Boxer all are in support of some version of the repatriation tax.

"Gimmicks" is actually a gentle term. A critic called them "a sick joke," writes Ashley Halsey III of The Washington Piece in an extensive piece on the funding in the House and Senate bills.

Davis ends by pointing to the states, which unlike the federal government, have shown a willingness to increase gas taxes to fund needed transportation improvements. "In just the last three months, eight states have approved increases in their gasoline taxes to fund additional spending on infrastructure maintenance and expansion," he wrote earlier.

Friday, November 20, 2015 in Institute on Taxation and Economic Policy

portrait of professional woman

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching. Mary G., Urban Planner

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching.

Mary G., Urban Planner

Get top-rated, practical training

Wastewater pouring out from a pipe.

Alabama: Trump Terminates Settlements for Black Communities Harmed By Raw Sewage

Trump deemed the landmark civil rights agreement “illegal DEI and environmental justice policy.”

April 13, 2025 - Inside Climate News

High-rise apartment buildings in Waikiki, Hawaii with steep green mountains in background.

Study: Maui’s Plan to Convert Vacation Rentals to Long-Term Housing Could Cause Nearly $1 Billion Economic Loss

The plan would reduce visitor accommodation by 25% resulting in 1,900 jobs lost.

April 6, 2025 - Honolulu Civil Beat

Logo for Planetizen Federal Action Tracker with black and white image of U.S. Capitol with water ripple overlay.

Planetizen Federal Action Tracker

A weekly monitor of how Trump’s orders and actions are impacting planners and planning in America.

7 hours ago - Diana Ionescu

Streetcar and bus stopped at station on Market Street in San Francisco with Ferry Building visible in background.

Waymo Gets Permission to Map SF’s Market Street

If allowed to operate on the traffic-restricted street, Waymo’s autonomous taxis would have a leg up over ride-hailing competitors — and counter the city’s efforts to grow bike and pedestrian on the thoroughfare.

4 hours ago - San Francisco Examiner

Parklet with wooden benches and flower boxes on street in Ireland.

Parklet Symposium Highlights the Success of Shared Spaces

Parklets got a boost during the Covid-19 pandemic, when the concept was translated to outdoor dining programs that offered restaurants a lifeline during the shutdown.

5 hours ago - Streetsblog San Francisco

Bronze statue of homeless man (Jesus) with head down and arm outstretched in front of St. Matthew Cathedral in Washington D.C.

Federal Homelessness Agency Places Entire Staff on Leave

The U.S. Interagency Council on Homelessness is the only federal agency dedicated to preventing and ending homelessness.

6 hours ago - The New York Times