Bill > H837

This bill directs the Legislative Services Officer (LSO) and the Joint Legislative Transportation Oversight Committee (JLTOC) to commission a comprehensive study exploring alternative highway funding methods to potentially replace or supplement the current gas tax system. The study will specifically investigate two main alternatives: first, implementing a fee structure for electric and hybrid vehicles, which could include a vehicle miles traveled (VMT) fee based on odometer readings or a flat annual fee, and second, creating a statewide "Access User Fee" for all non-diesel vehicles as a replacement for gas tax payments. The LSO and JLTOC are required to issue a request for proposals by November 1, 2025, select a consultant by January 1, 2026, and receive a detailed report with findings and legislative recommendations by May 1, 2026. The Department of Transportation will transfer $125,000 from the Highway Fund to fund the study, with any unused funds reverting back to the Highway Fund after the study's completion. The bill is set to become effective on July 1, 2025, and aims to explore more equitable and sustainable funding mechanisms for maintaining state highways and infrastructure.

Budget and Finance, Transportation and Infrastructure

https://www.ncleg.gov/BillLookUp/2025/H837