How does the United States pay for transportation infrastructure and improvements?
Transportation infrastructure in the U.S. is paid for largely through user-related taxes and fees that are dedicated to construction and maintenance. The major source of funding for federal highway investment is the federal motor fuel excise tax of 18.4-cents-per-gallon of gasoline and 24.4-cents-per-gallon of diesel fuel. All revenues are credited to the federal Highway Trust Fund (HTF) established by Congress in 1956 as part of the legislation authorizing construction of the Interstate Highway System. Today, the HTF finances virtually all federal investment in highways and mass transit. Highway user tax rates have not been increased since 1993 despite large increases in highway travel, investment needs and construction costs. There is also a federal Airport and Airways Trust Fund, which finances airport improvements and the air traffic control system. This trust fund is financed by fees on air travelers and taxes on aviation fuels. State governments finance highway construction and m
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