Michigan

Plan would raise fees on hybrid, electric cars in Michigan to fund roads

LANSING, Mich. (AP) — Owners of electric and hybrid vehicles would pay more toward funding the state’s roads with registration fee increases proposed as part of a House Republican package.

The bill’s supporters say hybrid and electric vehicles aren’t paying their fair share for road repairs because they use less gas. That means they pay less of the state gas tax that goes to support transportation.

Opponents say the proposed registration fee increases unfairly target a developing technology while only generating a few million dollars toward a more than $3 billion transportation budget. They say the Legislature should develop an approach to funding roads that doesn’t rely as much on gas-tax revenues that have declined as fuel efficiency improves for all kinds of vehicles.

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