My take Coming soon - Vehicle fee and toll increases

 One representative trotted out a long-standing Republican suggestion to put DelDOT workers on the state payroll rather than through the Transportation Trust Fund. The idea has merit but would blow a hole in the state budget.

Under the bill, battery-electric vehicle (EV) owners will pay a fee that compensates for their absence of gasoline consumption and higher weight compared to internal combustion engine vehicles. It’s a sensible approach that sidesteps other more complicated fees.

 The fee hikes followed the DelDOT secretary's report of a shortfall in fuel tax revenues due to the rise of electric vehicles and the sales of more fuel-efficient new cars, trucks, and SUVs.

Electric vehicle (EV’s) account for about  12% of new vehicle sales. While the Trump Administration wants to axe EV incentives, battery-electrics are expected to see steady, if unspectacular, sales gains as battery prices drop and driving ranges increase.

Fuel efficiency standards, even if rolled back in a heated political environment, will have a substantial impact on gas sales. The mileage from my "mild" non-plug-in crossover exceeds 30 miles per gallon - about ten miles per gallon more than the previous vehicle. My rough calculations indicate that the fuel savings amount to more than $30 per year in state fuel taxes.

 Delaware continues to have the lowest gas tax in the region, with legislators unwilling to touch a political "third rail" that would jeopardize their chances of re-election.

 The state manages to get by, thanks in part to its location on busy travel corridors, which leads to higher revenues as out-of-staters stop and refuel on their way to home or work.

Also, the impact of any increase in the fuel tax would be blunted by sales and leases of more fuel-efficient vehicles.

The General Assembly will have opportunities to hike fees in the future since Delaware still ranks low in this category when compared to several other states. 

Tolls are (politically) the easiest option, although it’s getting expensive to take turnpikes for long distances.

The current package of bills amounts to a quick fix, and absent cutbacks in highway projects, motorists should expect even higher fees in the future. - Doug Rainey, chief content officer.