Bill > HF1140

This bill introduces a road usage charge for all-electric vehicles in Minnesota, designed to collect revenue from electric vehicle owners to support transportation infrastructure funding. Starting July 1, 2026, all-electric vehicle owners will be required to pay a usage charge calculated based on miles traveled within the state, with the charge structured to approximate the gas tax paid by traditional vehicle owners. The bill establishes a phased implementation approach, where the charge will be reduced to 60% in the first year (2026-2027) and 80% in the second year (2027-2028) before reaching full implementation. The usage charge will be calculated using a complex formula that considers factors like the total gasoline excise tax rate, the vehicle's analogous fuel economy, and estimated daily miles traveled. The bill requires the Department of Public Safety to work with account providers to manage the charge, track mileage, and handle billing. Additionally, the revenue collected will be split, with 11% going to driver and vehicle services and the remainder deposited in the highway user tax distribution fund. The commissioner is also required to submit an annual report to the legislature detailing the program's implementation, finances, and potential recommendations for improvement. A supplemental appropriation is provided to cover initial administrative costs, with the entire program set to expire on June 30, 2031.

Transportation and Infrastructure

https://www.revisor.mn.gov/bills/bill.php?b=House&f=HF1140&ssn=0&y=2025