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General Category => General Discussion => Topic started by: Richard230 on January 04, 2021, 08:35:31 PM

Title: Proposed Texas EV yearly registration fee
Post by: Richard230 on January 04, 2021, 08:35:31 PM
According to an article in my newspaper yesterday, written by Bob Sechler and published by the Austin American-Statesman, a proposed law has been introduced into the Texas state legislature that would require owners of electric vehicles (only Teslas were mentioned in the article) to pay a $200 yearly fee to reimburse the state for EV owners not paying gas tax while traveling within the state. The article goes on to mention that motor fuel taxes generated about $2.6 billion for the state's highway fund during the 2020 fiscal year. The law would also require owners of electric/gas hybrids to pay a $100 yearly fee.  ???

An analysis by the state's Legislative Budget Board last year found that the proposed EV fee would produce no more than about $30 million annually by fiscal 2024. If approved by the legislature and governor, the law would take effect on September 1.

Needless to say there was no mention how the law would impact electric motorcycles. All it talked about was owners of Teslas, including a comment by a current Tesla owner who said that he wouldn't mind paying an extra $200 a year for the privilege of diving his Tesla in Texas.   ::)
Title: Re: Proposed Texas EV yearly registration fee
Post by: NEW2elec on January 04, 2021, 09:31:09 PM
Yeah it will be everywhere soon.
Pure money grab and for all the EVs with short range and slow charging, it's a real punch in the gut because a gas vehicle of that size would use little gas and pay very little gas tax.  One of my Zeros will likely have to go after this year because it doesn't cover the $218 (yes it goes up too) yearly cost.

The cost for roads should come from the general fund in the first place because they are one of the few universal services for all citizens.
Even if someone has never owned or driven a car or any other vehicle their whole life, the things they need in life come from roads.
Title: Re: Proposed Texas EV yearly registration fee
Post by: karlh on January 04, 2021, 10:36:02 PM
The cost for roads should come from the general fund in the first place because they are one of the few universal services for all citizens.
Even if someone has never owned or driven a car or any other vehicle their whole life, the things they need in life come from roads.

I totally disagree.  Gasoline taxes are essentially user fees.  Bigger, heavier vehicles that cause more road damage should pay more to use the roads, and they generally do due to their poorer fuel mileage.  EVs and hybrids should pay their fair share.  The major problem seems to be determining what that share is.  Some states have chosen flat fees, like he Texas proposal, while others have gone with mileage-based fees.  I would suggest that motorcycles be exempt since their effect on highway condition is almost nonexistent.
Title: Re: Proposed Texas EV yearly registration fee
Post by: Crissa on January 04, 2021, 11:03:18 PM
I have almost never used that much gas, tho, in any vehicle I have owned.

Setting such a high price and then asking people with luxury cars but then not asking people with economy cars...

There's a reason poor people in Texas are said to pay 4x the tax rate the top 1% do.

-Crissa
Title: Re: Proposed Texas EV yearly registration fee
Post by: karlh on January 05, 2021, 12:28:22 AM
I have almost never used that much gas, tho, in any vehicle I have owned.

That may depend on the tax rate on gasoline where you live.  We all pay an 18.4 cents per gallon federal excise tax, plus whatever the state and local taxes are.  Here in Erie county, NY, if the price at the pump is $2.00 per gallon, 60 cents of that is tax.  If the price is $3.00 per gallon, 64 cents is tax.
Title: Re: Proposed Texas EV yearly registration fee
Post by: TheRan on January 05, 2021, 12:44:30 AM
So if they want to charge people because they're losing money from the gas tax are they also going to charge people that choose to cycle instead of driving? Are they going to charge people that get more efficient cars? It's not like charging an electric vehicle is free either, owners still have to pay for electricity (more than if they had a gas vehicle) and I assume there's some sort of tax on that too.
Title: Re: Proposed Texas EV yearly registration fee
Post by: karlh on January 05, 2021, 01:02:00 AM
Are they going to charge people that get more efficient cars?

In order to even out the charges between efficient and non-efficient vehicles, some states have gone to a mileage-based tax.  The mileage is recorded each year when your vehicle is inspected.
Title: Re: Proposed Texas EV yearly registration fee
Post by: Crissa on January 05, 2021, 01:11:34 AM
I have almost never used that much gas, tho, in any vehicle I have owned.
That may depend on the tax rate on gasoline where you live.  We all pay an 18.4 cents per gallon federal excise tax, plus whatever the state and local taxes are.
Yes.  California at least raised it, because at the 18¢ a gallon that was $58 a year on my 31 mpg car a year.  Even at 50¢ a gallon, that's still $161 for my car and $200 for the equivalent EV?  (10k miles divided by 31 mpg times state excise tax)  For a bike, that's even worse: (4k miles divided by 50 mpg times state tax equals $40 gas tax)

How is that reasonable?

-Crissa
Title: Re: Proposed Texas EV yearly registration fee
Post by: NEW2elec on January 05, 2021, 04:20:37 AM
The cost for roads should come from the general fund in the first place because they are one of the few universal services for all citizens.
Even if someone has never owned or driven a car or any other vehicle their whole life, the things they need in life come from roads.

I totally disagree.  Gasoline taxes are essentially user fees.  Bigger, heavier vehicles that cause more road damage should pay more to use the roads, and they generally do due to their poorer fuel mileage.  EVs and hybrids should pay their fair share.  The major problem seems to be determining what that share is.  Some states have chosen flat fees, like he Texas proposal, while others have gone with mileage-based fees.  I would suggest that motorcycles be exempt since their effect on highway condition is almost nonexistent.

I don't have kids but I have to pay school tax.  That one doesn't seem to need to be users only have to pay.
Besides that's my point everyone benefits from roads if they drive or not their food and cloths and everything else they need to live came to them by roads.
Title: Re: Proposed Texas EV yearly registration fee
Post by: Richard230 on January 05, 2021, 04:26:33 AM
The thing is that motorcycles, much less electric motorcycles, are just not on the various state legislatures' radar screens when it comes to making most vehicle laws and especially ones that have to do with gas tax or bridge toll fees. That typically leaves it up to state or local regulators to decide if the laws that were aimed at cars and trucks should also be applied to motorcycles.

BTW, my 2018 Zero has yet to be hit by CA's EV registration fee. I renewed by registration last November and no additional fee was added. Perhaps paying the fee may be dependent upon when the vehicle was purchased.  ???  Mine was bought in November 2017.
Title: Re: Proposed Texas EV yearly registration fee
Post by: Richard230 on January 05, 2021, 04:29:06 AM
The cost for roads should come from the general fund in the first place because they are one of the few universal services for all citizens.
Even if someone has never owned or driven a car or any other vehicle their whole life, the things they need in life come from roads.

I totally disagree.  Gasoline taxes are essentially user fees.  Bigger, heavier vehicles that cause more road damage should pay more to use the roads, and they generally do due to their poorer fuel mileage.  EVs and hybrids should pay their fair share.  The major problem seems to be determining what that share is.  Some states have chosen flat fees, like he Texas proposal, while others have gone with mileage-based fees.  I would suggest that motorcycles be exempt since their effect on highway condition is almost nonexistent.

I don't have kids but I have to pay school tax.  That one doesn't seem to need to be users only have to pay.
Besides that's my point everyone benefits from roads if they drive or not their food and cloths and everything else they need to live came to them by roads.

However, everyone would like to think that use taxes and fees are being fairly implemented. In California, I pay the same fee to cross a bridge on my motorcycle as does a large SUV or truck.  :(  That doesn't seem all that fair to me.
Title: Re: Proposed Texas EV yearly registration fee
Post by: caza on January 05, 2021, 11:18:34 AM
Seems like a problem that should be addressed. As ev's grow, the percentage of cars on the road not contributing to the gas tax grows.

But a flat tax, especially one so high, doesn't make sense. This should be legislated more thoughtfully and carefully instead of the knee-jerk proposal that this $200/yr fee is.

Reporting ODO mileage and calculating gas tax based on MPGe and median gas prices for the year would be the most fair, but also difficult to implement and would essentially be an honor system. I think the only way to properly enforce it would be an EV "smog" equivalent where a third party checks your ODO every couple years and reports it to the state. Of course this creates a whole new cost to the EV owner that may negate the difference between a properly calculated gas tax and a flat fee.
Title: Re: Proposed Texas EV yearly registration fee
Post by: Crissa on January 05, 2021, 11:26:41 AM
We do want to charge people more for putting more weight and wear on the road, and the gas tax was an elegant solution.  No need to submit ODO readings, using weigh stations, inspections, etc.

But yes, that's what I'm complaining about.  My Mazda would be paying less than an EV, which seems... Wrong.

-Crissa
Title: Re: Proposed Texas EV yearly registration fee
Post by: ultrarnr on January 05, 2021, 03:14:24 PM
North Carolina used to have an EV tax on electric motorcycles but they did away with it several years ago. No idea on what was behind the decision to end it
Title: Re: Proposed Texas EV yearly registration fee
Post by: Richard230 on January 05, 2021, 08:37:36 PM
North Carolina used to have an EV tax on electric motorcycles but they did away with it several years ago. No idea on what was behind the decision to end it

Perhaps some legislator realized that electric motorcycles were quiet and decided that the purchase of such vehicles was a good thing to encourage.   :)
Title: Re: Proposed Texas EV yearly registration fee
Post by: Crissa on January 05, 2021, 08:55:24 PM
Isn't there a motorcycle tour operator that uses then in North Carolina?

-Crissa
Title: Re: Proposed Texas EV yearly registration fee
Post by: ultrarnr on January 06, 2021, 05:08:38 AM
Crissa, I am not aware of any. But if there were a motorcycle tour operator in North Carolina I would think they would operate in the western part of the state since you have Deals Gap and the Tail of the Dragon, Cherohala Skyway and other famous roads out there. But EV  charging is scarce  out there. Greenlots had several DCFC out there that they turned off there rather than upgrade the communication system to 4G. 
Title: Re: Proposed Texas EV yearly registration fee
Post by: NEW2elec on January 06, 2021, 06:46:06 AM
Yes his Forum name is RedClay, he does tours with FXs with swappable batteries and they swap out midway through.  Some roads but they have a nature off road focus.
Title: Re: Proposed Texas EV yearly registration fee
Post by: heroto on January 07, 2021, 12:15:32 AM
We pay about $60/year in Virginia. Not a good deal for a lightweight vehicle that doesn't do big miles.

Title: Re: Proposed Texas EV yearly registration fee
Post by: Crissa on January 07, 2021, 01:25:39 AM
We pay about $60/year in Virginia. Not a good deal for a lightweight vehicle that doesn't do big miles.
That's equal to 285 gallons of gas tax or a little over 14K miles on a motorcycle.

I guess that isn't a great deal.

-Crissa