Minnesota Bills to Increase Fees for Fuel Efficient Vehicles/ Tax Cars for Miles Traveled Die as Legislature Adjourns


Legislation (H.F. 324) to mandate payment of a “recoupment” surcharge of up to $95 died when the legislature adjourned for the year.  The surcharge would have been calculated to levy the highest tax on owners of the most fuel efficient vehicles.  Separate legislation (H.B. 325) to require the Department of Transportation to take steps to implement a vehicle mileage user fee to tax drivers on actual miles driven also died.  Both bills would need to be reintroduced next year in order to gain legislative consideration.

Both bills sought to penalize national efforts to create a more fuel efficient vehicle fleet.  As gas tax revenues decrease due to hybrid and electric vehicle ownership, states are looking for new sources of funding for pet projects.
Thanks you to those who participated in opposing these bills.