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Bill would put alternative-energy vehicle taxes toward Transportation Trust Fund

Brett Johnson//October 15, 2014

Bill would put alternative-energy vehicle taxes toward Transportation Trust Fund

Brett Johnson//October 15, 2014

As it stands now, electricity-, natural gas- and hydrogen-powered vehicles drive on the same roads as regular cars, but contribute to New Jersey’s transportation maintenance and improvement almost none at all.A bill (A3816) introduced Tuesday by state Assemblyman Tim Eustace (D-Bergen) aims to change that.

RELATED: Is New Jersey traveling on road to ruin? Trust fund for roads, bridges is on the verge of depletion

It would take the sales tax revenue from those vehicles and then dedicate it solely to the soon-to-be-bankrupt Transportation Trust Fund.

The legislation comes as lawmakers seek new funding sources for the ailing Transportation Trust Fund, which is financed in large part by the motor fuels tax — a tax unchanged since 1988.

RELATED: Gas tax is tough sell and wouldn’t necessarily pay all of the bills

Last year, State Sen. Jim Whelan (D-Atlantic) proposed a bill (S2531) that would have charged drivers of alternative-fuel cars based on the amount of miles traveled — up to the cost of the state’s 10.5-cents-per-gallon motor fuel tax.

The bill also intended to replenish the Transportation Trust Fund, but it died in committee.

Alternative-fuel vehicles make up less than 5 percent of New Jersey’s vehicles. However, there are expectations — and lofty goals — that by 2025 the figure will be 15 percent.

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