California Offers $400 Credit to Drivers to Test Pay-Per-Mile Tax

California is launching a pilot program to test a pay-per-mile tax system, offering drivers up to $400 to participate. This initiative comes as the state seeks alternative methods to fund highway repairs, traditionally supported by a gasoline tax that now faces a shortfall due to the rise of electric vehicles.

Currently, the gasoline tax funds approximately 80 percent of California's highway repairs. With the increasing popularity of electric vehicles, which do not contribute to the gas tax, the state is exploring the pay-per-mile model to. . .