The Ohio Department of Transportation (ODOT) has paused a $2.5 million study that would evaluate how tolls can be implemented on state highways to generate revenue for transportation spending.
The Plain Dealer reported the proposed study would assess the feasibility of tolling in Ohio, review system logistics and identify optimal locations for toll facilities.
The state is seeking alternative funding solutions as construction costs rise and gas tax revenues decline amid growing adoption of hybrid and electric vehicles.
ODOT must receive approval from the Ohio Controlling Board before awarding a contract for the study. The seven-member board, typically made up of Ohio lawmakers, oversees adjustments to state spending, according to The Plain Dealer.
After it became clear the board was reluctant to approve the funding, ODOT delayed its request to award a $2.5 million contract to HNTB Ohio, Inc. to conduct the study, the outlet reported. Board members cited the upcoming change in administration as a key reason for their hesitation.
ODOT has not said when it will return to the board for approval, noting the anticipated cost was based on pricing from similar studies.
The tolling proposal has drawn mixed reactions from state lawmakers, with at least one official raising concerns over how truck tolls could affect the price of goods statewide.
Ohio is home to 1,581 miles of Interstate highways, including the 241-mile Ohio Turnpike, along with roughly 900 miles of other divided highways and freeways, The Plain Dealer reported. The state ranks fifth nationally for Interstate mileage, and eighth for toll-road mileage based on 2014 data from the U.S. Bureau of Transportation Statistics.
Ohio’s $8.33 billion two-year highway construction and maintenance budget is largely supported by federal funding and state gas tax, which together account for nearly 90% of revenues. About 40% of the budget comes from gas tax collections, currently set at 38.5 cents per gallon.
Gas tax revenue is projected to decline by $887 million by 2040 as vehicles become more fuel efficient — a shortfall the state expects to offset with roughly $1 billion in electric and hybrid vehicle registrations, according to The Plain Dealer.
ODOT also previously projected inflation would reduce the purchasing power of gas tax revenues by $891 million by 2040.
In 2023, the agency studied alternative funding mechanisms, including indexing the gas tax to inflation and charging drivers based on vehicle miles traveled in the state. That analysis found tying the gas tax to inflation was the only option likely to close the funding gap. Tolling was not evaluated in that study.
Source: The Plain Dealer
