The Transportation and Infrastructure committee has unveiled its BUILD America 250 Act, which includes a provision requiring electric vehicle (EV) owners to pay a $130 annual federal registration fee starting in 2026. The bill, aimed at funding surface transportation for the next half-decade, also proposes increasing this fee by $5 each year beginning in 2029 until it reaches $150.
Committee chairperson Sam Graves (R-Mo.) highlighted the bill's focus on infrastructure investment, stating, 'I'm extremely proud of the historic level of investment in America’s bridges—at more than $50 billion, it’s the largest such investment in our history. And the BUILD America 250 Act ensures that electric vehicle owners begin paying their fair share for the use of our roads.'
Plug-in hybrid vehicles (PHEVs) are also targeted, with owners facing an initial annual fee of $35, which will escalate by $5 each year until it reaches $50. The bill mandates that state departments of transport collect this federal EV tax, threatening to withhold 125 percent of the owed amount from the state's highway apportionment if they fail to comply.