(2) As we discussed in our class on transportation, user fee financing is inhere
ID: 1108069 • Letter: #
Question
(2) As we discussed in our class on transportation, user fee financing is inherent in transportation funding by government at all levels. Besides gasoline taxes, most states also generate revenue from vehicle registration fees and drivers' license charges. As user charges (fees), what types of transportation service should be financed by the revenue generated by these fees? What types of transportation service should be financed by the gas tax? Recently, some states have considered levying special-use fees on each driving infraction conviction. For instance, in addition to the existing fines, there could be an additional $5 charge for each case of speeding. As a user fee, what type of government service could it be used to finance?Explanation / Answer
User charges can be used to construct more freeways and their maintenance alongwith they can also be used for public transport so as to provide better public transport services in forms of Metro trains,Mono Rails, Public Buses ,High speed trains etc beside this money can also be used for general maintennance and quality control for public transport too. From gas tax too several projects for usage of renewable energy can be financed such as solar Plats,wind Plants etc.
Fines etc are generall used to enhance traffic policing so as to ensure safety of the commuters apart from that these can also be used for ensuring safety rules,public awareness etc
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