PMTA President and CEO submits testimony for House Transportation Committee meetings on transportation funding
PMTA President and CEO Rebecca Oyler submitted written testimony for the House Transportation Committee Informational Meetings on "Moving PA Forward by Investing in Roads, Bridges and Transit."
The September 4 meeting took place at the Luzerne County Transportation Authority in Wilkes-Barre.
Oyler's testimony describes the importance of maintaining Pennsylvania's infrastructure system for the good of the trucking industry and economy.
She writes, "any discussion of transportation funding options must consider the benefits as well as the costs for... trucking businesses that are key to Pennsylvania’s economy and communities."
The trucking industry currently represents 10% of the vehicle miles traveled in the commonwealth, but pays more than one third (34%) of all taxes owed by Pennsylvania motorists.
"Currently, Pennsylvania’s trucking companies pay the 3rd highest diesel tax rate in the nation, second only to California and Illinois," Oyler's testimony states. "This makes us uncompetitive with other states – including with all surrounding states – for trucking companies considering locating or remaining in the commonwealth. A comparatively high diesel tax rate also punishes the small companies whose business is in their local communities, where they pass these costs on to their customers."
Oyler states that policymakers often make the case that though fuel taxes in Pennsylvania are high, vehicle registration fees remain low to balance out costs to the public. However, this is not the case for commercial motor vehicles.
Pennsylvania ranks 12th in the nation for registration and weight fees for trucks at $2,764 for a typical five-axle tractor-semitrailer combination. This is over $1000 more than surrounding states.
CT $1,546
DE $1,390
MD $1,800
MA $1,600
NJ $1,223
NY $1,208
OH $1,395
RI $1,044
VA $1,888
The only nearby state with a higher registration/weight fee is West Virginia at $3,192, but their diesel tax is less than half of Pennsylvania’s rate.
The effect of Pennsylvania’s high diesel tax rate and comparatively high registration fees is that the commonwealth is the fifth most expensive state in the nation in which to drive a truck.
"Unfortunately, this costly fact contributes to driving trucking businesses out of Pennsylvania that might otherwise be paying more taxes and registration fees in the state to support the Motor License Fund (MLF). It also places burdensome costs on local small businesses," Oyler states.
Oyler's testimony delves into potential funding solutions and the impact each would have on the trucking industry and economy.
To read Oyler's full, submitted testimony, click here.