Administration plan calls for more local user fees

David Fettig | Managing Editor

Published March 1, 1990  | March 1990 issue

More local government funding, more user fees and more money from private sources—that's the financial message from the Bush administration's recently announced national transportation strategy.

Problems of urban highway congestion, overworked airports, rural highway networks and traffic safety in general must be addressed in coming years, according to the plan, but dependence on federal funding must be scaled back.

Recommendations include:

  • Increase airline passenger and aviation user fees.
  • Eliminate all mass transit subsidies in cities of more than one million people; reduce those subsidies in other cities.
  • End Amtrak subsidies.
  • Encourage state and local governments to open more toll roads and increase gasoline taxes.
  • Establish new user fees for boaters and rail passengers.
  • Deregulate the trucking industry and further deregulate other transportation sectors, and let private industry operate transportation companies to attain the benefits of the profit motive.