Report: Louisiana’s Transportation Trust Fund expected to lose more than $500M over next decade

Louisiana’s Transportation Trust Fund is expected to lose more than a half billion dollars in revenues over the next decade due to increasing fuel efficiency and electric vehicles, according to a recent report from the Louisiana Legislative Auditor.

Louisiana Legislative Auditor Mike Waguespack published a report on the state’s Transportation Trust Fund last week that evaluates the sufficiency of the fund to meet Louisiana’s transportation needs, and highlights ways to increase revenues…

“However, Act 578 of the 2022 Regular Legislative Session will enable the state to begin collecting road usage fees from these types of vehicles, assuming that all Act 578 road usage fees will be collected as required,” Waguespack wrote. “We projected these fees will be sufficient to offset the impact of external electric charging vehicles on motor fuel tax collections, but not the impact of more fuel-efficient vehicles. As a result, the state still could lose $322.9 million from calendar years 2023 to 2032.”