Government Information

Earl Gregg Swem Library

How Would Proposed Fuel Economy Standards Affect the Highway Trust Fund

Categories: Govt Finance,Public Works,Taxes,Transportation

http://www.cbo.gov/sites/default/files/cbofiles/attachments/05-02-CAFE_brief.pdf

Policies designed to reduce gasoline consumption will also reduce revenue from the federal gasoline excise tax.  Between 2016 and 2025 the average fuel economy of light-duty vehicles (cars, pickup trucks, minivans) is expected to increase from 34 to 49 mpg.  Gasoline tax revenues are expected to fall by 21%.  Also proposes ways to mitigate the loss of highway funds.  From the Congressional Budget Office