Vehicles: Road Usage Charge Technical Advisory Committee.

Assembly Member Wilson's proposal to extend California's road usage charge pilot program through 2035 comes as the state grapples with projected declines in gas tax revenue due to increasing electric vehicle adoption. The legislation would allow continued evaluation of mileage-based fees as an alternative to traditional fuel taxes, building on a 2017 pilot that tracked over 37 million miles across more than 5,000 vehicles.

The bill maintains the existing Road Usage Charge Technical Advisory Committee's mandate to assess mileage-based revenue collection methods. According to the bill's findings, California currently generates approximately $14 billion annually from fuel taxes and vehicle fees, with the 57.9-cent per gallon gasoline excise tax accounting for $7.8 billion in fiscal year 2023-24. However, the Legislative Analyst's Office projects these revenues could decrease by up to $2 billion annually by 2030 and $4 billion by 2035 as more drivers switch to electric vehicles. The California Transportation Commission estimates $31.3 billion less in fuel excise tax revenue over the next decade due to increased fuel efficiency and zero-emission vehicle adoption.

The extension allows for continued analysis of how road usage charges could affect different driver populations, including rural residents, tribal nations, and super-commuters. The bill's findings note that implementing such a system would require extensive public engagement to address the needs of both urban and rural communities across California's diverse geography. The current pilot program simulates revenue collection through mock invoices and payments, with the advisory committee's final report recommending further testing of actual revenue collection processes to evaluate practical implementation challenges.