President Obama's proposal to boost automakers' Corporate Average Fuel Economy to 54.5 miles per gallon by 2025 will take a significant bite out of fuel-tax receipts flowing into the Highway Trust Fund, say road builders, who are pushing for a funding revamp.
The most recent CAFE standard, proposed July 29 for all light-duty vehicles, would cut $65 billion out of federal funding for state and local highway, bridge and public-transit projects, according a recent estimate from the American Road and Transportation Builders Association. Current and future fuel-economy standards combined would equate to a $75 billion loss in funding through 2025.