Most experts agree that putting more electric vehicles on the road is a positive step toward fighting climate change, but a new report warns that states may need a new system to fund road construction and maintenance.

Currently, EV owners pay an extra fee with their annual registration, but it is far less than the average gas tax paid by drivers of internal-combustion vehicles.

Report author Patrick Anderson - CEO of the Anderson Economic Group - said that means as the number of EVs grows, highway maintenance funds will shrink. Without a new plan, he said Illinois' already-crumbling roadways will only get worse.

"People haven't really thought through all the implications of moving a large share of the driving public over to an electric-vehicle platform," said Anderson. "And one of the ones that is going to surprise a lot of people is that battery-electric vehicles don't pay any gas tax."

Illinois drivers already pay some of the highest gas-tax rates in the nation, at 42.1 cents per gallon. EV owners currently pay about $250 a year in registration fees, while gas-powered cars cost $400 or more in fees and fuel taxes.

In a recent study, Illinois ranked 14th worst in the nation for road infrastructure, with 20% of state roads - more than 6,500 miles - rated non-acceptable, and 12% of bridges in poor condition. To make things worse, the state ranked near last in spending on repairs.

Illinois is expected to receive approximately $11 billion over five years in transportation funds from the federal Bipartisan Infrastructure bill, but Anderson said it's unclear how that will be spent.

"For a lot of people who make a switch to an electric vehicle, they're paying $100 or $200 less a year in road taxes, but they're putting more weight on the road," said Anderson. "That's a big switch and something that has significant consequences for our ability to maintain our roads."

Illinois officials say they are studying ways to equalize the costs, including a tax at the charging station or a per-mile fee, but they have not finalized a proposal.

City and county governments are feeling the pinch of rising operating costs but in Wisconsin, federal incentives are driving a range of local projects, taking off some of the pressure in making communities economically viable.

Dane County is no stranger to embracing clean energy and federal aid from policies like the Inflation Reduction Act and the Bipartisan Infrastructure Law are spurring more activity.

Joe Parisi, Dane County executive, said there have been past government credits for things like solar installations and the latest approach is more expansive, with a robust list of those who can benefit.

"Everybody -- a business, a nonprofit, a church, a temple, even a government, and a local government -- gets 30% back on renewable energy projects," Parisi pointed out.

For example, a local construction company put solar arrays on several of its facilities. Parisi noted the new credits speed up the pace of reimbursements, creating more energy savings in the near future. Federal officials said demand has been strong for the programs but Parisi said one challenge is creating broader awareness so under-resourced areas can apply.

Locally, the website for the Dane County Office of Energy and Climate Change has posted details about project opportunities and investments. Beyond clean energy, Parisi emphasized the federal government's push for more "Made in America" manufacturing creates opportunities for local plants and regional economies.

"There's money to help retooling to manufacture (products)," Parisi stressed. "Then, there's a stronger market for those components now because they are made in America."

National polling shows Americans are greatly concerned about things like inflation but Parisi argued long-term investments stand to help reduce operating expenses for government agencies and businesses, hopefully keeping local taxes in check and providing savings for consumers.


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Two pieces of legislation in Connecticut could bolster public transportation if they make it through the General Assembly.

Senate Bill 277 would restore funding to Shore Line East to increase rail service. Ridership plummeted during the pandemic, though it's been growing modestly since then.

But as more people opt to work from home instead of commute, some question whether there's a need for more rail service.

Jay Stange, coordinator with the Transport Hartford Academy, said state investments can help transit lines attract the riders they need.

"Ridership on the Hartford Line, which has been supported by state investment, is up every year," said Stange. "We also are seeing huge increases on the Waterbury Line in Connecticut, where those service investments have been made. The bottom line is that if you don't have the service, you won't have the riders."

The 2023 budget cut funding for Shore Line East to 44% of what was required for pre-pandemic service.

The bill received wide support at a public hearing, but some residents don't agree that funding cuts cause low ridership.

Stange said restoring this funding would provide economic benefits through growing jobs and tourism.

Another bill incentivizes transit-oriented development.

House Bill 5390 would provide water and sewer funding for land-use planning and other developments, making it easier to build housing where transit and rail services exist.

Stange said it's time for the state to build better.

"Connecticut is starting to see," said Stange. "that the development pattern of the last 70 years - where we build new interstate to green-land development that's mostly single-family homes - is a money-losing proposition, in the long term."

Studies show transit-oriented development reduces air pollution and uses large plots of land to accommodate growing populations.

The bill faced opposition from communities concerned about the need for local control for developing these projects. The new version of the bill allows communities to "opt in" for these incentives instead.




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Federal and agency officials convened with stakeholders in Southeastern Utah to discuss how federal funds can help grow and strengthen local economies.

Lenise Peterman, mayor of Helper in Carbon County, said money from major legislation like the Bipartisan Infrastructure Act and the Inflation Reduction Act often bypasses communities like hers, which are often the most in need.

Peterman was part of the "Coal Country at a Crossroads Listening Session," examining the challenges of smaller, rural communities in addressing needs for clean energy, workforce and economic development, and infrastructure.

"I felt very optimistic, because I felt like I was no longer just this region, somewhere tucked away in the intermountain area, but somebody that they had to look at and see, and hear them say, 'I need to get this funding. How do I do this?'" Peterman recounted.

Like many rural towns, Helper has seen a declining coal industry. In 2022, five operators in Utah produced coal worth $504 million, down 15% from the previous year. Peterman pointed out power plants and coal mines have traditionally been the sources of well-paid jobs, but communities like hers are figuring out how to adapt with the times and ensure people can continue to call rural Utah home.

Peterman said she considers the listening session a success, as it brought together federal officials and local leaders to focus on possible solutions. She noted one message was the government may need to do more to ensure communities like Helper, as she put it, "don't fall through the cracks."

"How do we equate a rural community with these more urban areas that have headcount, and have people on staff who can look into these federal funding opportunities and collect them?" Peterman suggested.

She added she works with a team of 15 other individuals but is the sole grant writer for her town. Legislation in Congress, called the "Rebuild Rural America Act," would have allocated money to help smaller communities compete for federal dollars but got stuck in a Senate committee last year.


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