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Post Office Box 1147 ●
Marblehead, Massachusetts 01945 ●
(781) 639-9709
“Every Tax is a Pay Cut ... A Tax Cut is a Pay Raise”
45 years as “The Voice of Massachusetts Taxpayers”
— and
their Institutional Memory — |
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CLT UPDATE
Wednesday, December
18, 2019
Impact of a TCI pact
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The pact being
developed by Massachusetts and other East Coast states to
cap carbon emissions from vehicles could add up to 17 cents
to the price of a gallon of gas, according to the newest
estimates, but could also generate more than $500 million in
revenue for state government in Massachusetts.
Leaders from a
coalition of eastern states, including Massachusetts,
have been working for over a year to develop a regional
"cap-and-invest" program to reduce carbon pollution from
cars and trucks. They plan to release a draft memorandum
of understanding on Tuesday that states would be asked
to sign onto next spring once it is finalized.
The officials
involved in the effort, known as the Transportation
Climate Initiative, are eyeing a reduction in emissions
of up to 25 percent by 2032, but it will come at a
cost....
The plan to
reduce carbon emissions from vehicles by 25 percent
would add an estimated 17 cents to the price of a gallon
of gas at the pump starting in 2022....
TCI has
significant backing from many of the major employer
groups in Massachusetts, including Associated Industries
of Massachusetts and the Greater Boston Chamber of
Commerce, but has been coming under increasing fire from
a small group of Republican legislators and small
business groups.
The National
Federation of Independent Business in Massachusetts, the
Massachusetts Fiscal Alliance and Citizens for
Limited Taxation signed on to a multi-state letter
released Tuesday opposing TCI because of the additional
cost it will add for employers. It considers the program
to be akin to a gas tax increase.
A MassINC poll
released Wednesday found that a majority of registered
voters in Massachusetts, Connecticut, Maryland, New
York, New Jersey, Pennsylvania and Virginia -- the
largest states in the coalition - strongly or somewhat
support their home state's participation in the
Transportation and Climate Initiative.
In
Massachusetts, 68 percent of the 629 respondents said
they support the program, compared to 21 percent who
oppose it and 11 percent who are unsure, according to
the poll, which was sponsored by the Barr Foundation and
conducted before the latest estimated impacts on gas
prices were known.
Theoharides
said that unlike a gas tax the price per gallon is not
fixed and would depend on how the market responds to the
caps that get adopted on pollution and how much of the
expense suppliers pass on to consumers.
State House News Service
Tuesday, December 17, 2019
Compact Could Add Nickel to 17 Cents
to Gallon of Gas
The regional
gas fee agreement being pursued by the Baker
administration as an anti-climate change measure could
raise prices at the pump by 17 cents in just the first
year, according to estimates by state officials — who
didn’t immediately say how high prices might go in
subsequent years....
A draft
version of a memorandum of understanding for the
Transportation Climate Initiative was also released
Tuesday, with a final version expected in the spring of
2020, at which point each state will determine whether
or not to sign on. Massachusetts is one of 12 Atlantic
seaboard states and the District of Columbia involved in
TCI negotiations.
A similar
measure already in effect in California has driven gas
prices to between $4 and $5 a gallon there. Critics have
said the measure could be economically damaging to
Massachusetts — especially in neighboring states such as
Vermont and New Hampshire opt not to join the compact.
The average
price of gasoline in Massachusetts this week is $2.557 a
gallon, according to AAA. The proposed 17-cent increase,
if applied today, would jack up gas prices to $2.727.
A letter of
opposition to TCI was released today by Massachusetts
Fiscal Alliance, the National Federation for Independent
Business, and Citizens for Limited Taxation, who
have voiced concern that TCI will be adopted by Gov.
Charlie Baker by executive order, without a vote of the
Legislature.
“The more
people learn about the extremes of this tax and the
undemocratic way it’s being forced upon residents, the
less popular it becomes,” Paul D. Craney, spokesman for
the Massachusetts Fiscal Alliance, said in a statement.
The anti-TCI
coalition’s letter states: “Unlike motor fuel taxes
levied to pay for roads, bridges, and transportation
infrastructure (a reasonable fee for use), the TCI would
be the equivalent of a “sin tax” – a penalty for
engaging in bad behavior. We do not believe that driving
to and for work, transporting children to school,
transporting goods, going to the grocery store, and all
the other necessary activities that generally require a
vehicle should be treated by governments as a sin. These
are not activities people can, or should be forced to,
avoid.
“The TCI tax
is a poorly conceived, fundamentally regressive, and
economically damaging proposal. It would — on purpose —
make the day-to-day transactions of life painfully
expensive, especially for those of us who are going
through bad times and are struggling every day to get
by. Government should not do this to its citizens.
Government exists to serve the people, not to bend them
to the will of elite opinion. For these philosophical
and financial reasons, states should reject the TCI at
the first available opportunity,” states the letter,
which was delivered to Gov. Charlie Baker and
legislators.
The Boston Herald
Tuesday, December 17, 2019
Regional gas fee agreement could
raise fuel costs by 17 cents in first year
Critics have warned TCI climate initiative could do
economic harm
In
Massachusetts, this system could mean an influx of
around $500 million a year for transportation purposes,
starting as soon as January 2022.
The states
still need to approve the initiative, and some might not
agree to participate in this new market. Katie
Theoharides, the state’s energy and environmental
affairs secretary, said all but three states need
legislative approval to participate. Massachusetts does
not, although Theoharides said the Governor Charlie
Baker administration would make its decision in
consultation with legislative leaders on Beacon Hill....
Critics of the
program such as the conservative Massachusetts Fiscal
Alliance have argued TCI is effectively a tax hike.
Another small-governance organization, Citizens for
Limited Taxation, noted in a statement Tuesday that
gas tax increases were rejected the last time voters had
a direct say on the matter, in a 2014 ballot measure.
What’s more,
with state lawmakers likely to debate a gas tax increase
next year, implementing TCI could lead to two separate
hikes at the pump.
The Boston Globe
Tuesday, December 17, 2019
States disclose details of new
emissions controls that would drive up gas prices
Today,
Governor Chris Sununu announced that New Hampshire will
not be participating in the Transportation and Climate
Initiative (TCI). Under this scheme, New Hampshire
drivers would be forced to pay a significant new gas tax
with little environmental benefit to the state.
“I will not
force Granite Staters to pay more for their gas just to
subsidize other state’s crumbling infrastructure,” said
Governor Chris Sununu. “New Hampshire is already taking
substantial steps to curb our carbon emissions, and this
initiative, if enacted, would institute a new gas tax by
up to 17 cents per gallon while only achieving minimal
results. This program is a financial boondoggle and the
people of New Hampshire will never support it.” ...
“There are
clearly better ways to achieve the purported goals of
this program,” said Office of Strategic Initiatives
Director Jared Chicoine. “This proposal is a huge hit to
the wallets of rural drivers. The data makes it clear
that — even without the TCI proposal — the market is
already projected to reach many of the same
environmental benchmarks."
State of New Hampshire
Office of the Governor, Chris Sununu
News Release — December 17,
2019
New Hampshire Declines to Participate
In the Transportation Climate Initiative
New Hampshire
is backing out of the controversial regional TCI compact
just hours after a draft policy was released Tuesday,
with Granite State Gov. Chris Sununu citing increase
costs in gas prices as his reason for their retreat....
Officials told
reporters that they did not examine how those economic
impacts would change if any of the 12 states or the
District of Columbia decided to back out. They also
didn’t immediately say how high gas prices might go in
subsequent years.
Opponents of
the TCI compact have said that if neighboring states
such as New Hampshire back out, the Massachusetts
economy could take a hit due to higher gas prices.
Sununu
announced that New Hampshire will not be participating
in the Transportation and Climate Initiative because
drivers would be forced to pay more for gas with “little
environmental benefit to the state.” Rural communities
would be left at a severe disadvantage if New Hampshire
participated in the TCI, according to Sununu’s office,
as drivers will bear the brunt of the artificially
higher gas prices.
The Boston Herald
Tuesday, December 17, 2019
New Hampshire backs out of regional
climate initiative
Outraged
anti-tax warriors Tuesday vowed to fight a “tone deaf”
regional initiative — already rejected by New Hampshire
officials — that could hike the cost of gas by as much
as 17 cents a gallon in just the first year, saying the
proposal is an insult to Bay State voters’ who rejected
a gas tax five years ago.
“The people
spoke very clearly that they didn’t want a gas tax. This
flies in the face of that vote and it just shows you how
tone deaf Beacon Hill is,” said Holly Robichaud, who was
behind a victorious 2014 ballot initiative that repealed
a gas tax hike of 24 cents a gallon and built-in
automatic increases for years to come....
“The people
spoke very clearly that they didn’t want a gas tax. This
flies in the face of that vote and it just shows you how
tone deaf Beacon Hill is,” said Holly Robichaud, who was
behind a victorious 2014 ballot initiative that repealed
a gas tax hike of 24 cents a gallon and built-in
automatic increases for years to come.
The current
proposal, called the Transportation Climate Initiative,
could increase gas prices an estimated 17 cents a gallon
in the first year by levying fees on fuel companies that
would be passed on to drivers. The price could balloon
from there — all without a vote from the state
Legislature. Gov. Charlie Baker has signaled he could
use his executive authority to approve the plan.
“Every time we
turn around they’re looking to hit drivers with some new
fee,” said Robichaud. “They should get the message and
get off the backs of drivers.” ...
“This all
boils down to the same thing as before — it’s a way to
subsidize the MBTA,” said Geoff Diehl, a former state
representative who was also a part of the 2014 “Tank the
Gas Tax,” campaign. “Voters didn’t like it the first
time they tried it.”
If Vermont
follows New Hampshire’s lead and opts out of the TCI,
that would leave more border gas stations high and dry
as drivers go across state lines for their gas.
Businesses that see their costs rise, and shoppers who
see prices rise won’t be far behind.
“This will
just send people out of state again,” said Robichaud.
Robichaud and
Diehl are part of a growing opposition to TCI that
includes the Massachusetts Fiscal Alliance, the National
Federation for Independent Businesses and Citizens
for Limited Taxation. The coalition denounced the
proposal yesterday and are pushing for legislators to
review and vote on the plan after its release in the
spring of 2020.
“We’re going
to fight this thing one way or another,” said Robichaud.
“This isn’t about saving the world, its about grabbing
more money.”
The Boston Herald
Tuesday, December 17, 2019
‘Tank the Gas Tax’ targets Gov.
Charlie Baker’s fuel fee proposal
Gov. Charlie
Baker’s push to join a regional anti-climate change
compact — predicted to jack up gas prices by up to 17
cents in just the first year — took a potentially
critical blow even as it was being rolled out Tuesday,
when New Hampshire quickly rejected it as a “financial
boondoggle” and a burden on drivers.
“I will not
force Granite Staters to pay more for their gas just to
subsidize other states’ crumbling infrastructure,”
Granite State Gov. Chris Sununu said of the the
controversial Transportation Climate Initiative. “This
program is a financial boondoggle and the people of New
Hampshire will never support it.”
New
Hampshire’s rejection came just hours after a draft
memorandum of understanding was released Tuesday for the
consideration of the 12 Atlantic Seaboard states and the
District of Columbia that have been involved in TCI
negotiations. The multi-state compact is intended to
reduce carbon emissions and raise money for
transportation projects by driving up gas prices. But
critics say that driving up gas prices in Massachusetts
if neighboring states don’t go along is a recipe for
economic disaster — sending drivers, businesses and
shoppers across the border to avoid higher costs....
While they
pegged the first year’s increase at 17 cents a gallon,
officials didn’t immediately say how high prices might
go in subsequent years and told reporters that they did
not examine how the economic impacts would change if
neighboring states opted out, as New Hampshire now has
done.
TCI opponents
say if neighboring states such as New Hampshire or
Vermont opt not to join, the Massachusetts economy could
take a hit due to higher gas prices.
“We have been
talking about this for a while and today was the first
day the TCI coalition came out with a proposal,”
MassFiscal Alliance spokesman Paul Craney said. “Within
the first day already they have suffered a major setback
as one of the crucial states in the region decided it is
not going to join.”
“I’m not
surprised to hear New Hampshire is not joining TCI, as
they’ve shown reluctance up to this point,” state Rep.
Marc Lombardo said. “Once again a Massachusetts tax
increase will be an economic win for New Hampshire. I
hope the governor will reconsider joining TCI.” ...
Baker was not
available for comment late Tuesday on New Hampshire
opting out. Baker spokeswoman Anisha Chakrabarti did not
directly address Sununu’s decision, saying in a
statement the administration “is pleased by the robust
participation by Northeast and Mid-Atlantic states
throughout the program’s ongoing development process and
by the broad coalition of support from members of both
the business and environmental communities.”
The average
price of gasoline in Massachusetts this week is $2.557 a
gallon, according to AAA. A 17-cent increase, if applied
today, would jack up gas prices to $2.727. A similar
climate measure already in effect in California has
driven gas prices to between $4 and $5 a gallon there at
times.
A final
version of the TCI memorandum of understanding is
expected to be released in the spring, at which point
each state will determine whether to sign on.
The Boston Herald
Tuesday, December 17, 2019
Gas levy plan hits bump as N.H. opts
out
The pact being
developed by Massachusetts and other East Coast states
to cap carbon emissions from vehicles could add up to 17
cents to the price of a gallon of gas, according to the
newest estimates, but could also generate more than $500
million in revenue for state government in
Massachusetts.
Leaders from a coalition of eastern states, including
Massachusetts, have been working for over a year to
develop a regional "cap-and-invest" program to reduce
carbon pollution from cars and trucks and generate the
resources needed to expand clean transit options and
improve public health.
The effort, known as the Transportation Climate
Initiative, has also become a central part of Gov.
Charlie Baker's transportation and climate agenda, with
the administration proposing to earmark half of all
proceeds generated toward improving public transit...
But the coalition already began to splinter Tuesday in
light of the newly forecast economic impacts, with New
Hampshire Gov. Chris Sununu announcing that his state
would not participate.
"We are already taking substantial steps to curb our
carbon emissions, & this initiative, if enacted, would
institute a new gas tax by up to 17 cents per gallon
while only achieving minimal results. This program is a
financial boondoggle and the people of NH will never
support it," Sununu wrote on Twitter....
The officials involved in the effort are eyeing a
reduction in emissions of up to 25 percent by 2032, but
it will come at a cost.
States in the coalition are exploring three scenarios
for capping emissions from motor gasoline and on-road
diesel, with a final cap proposed after a public comment
period ends on Feb. 28.
The plan to reduce carbon emissions from vehicles by 25
percent would add an estimated 17 cents to the price of
a gallon of gas at the pump starting in 2022....
Chris Hoagland, and economist in the climate change
division of Maryland's Department of the Environment,
said TCI's model showed that emissions from vehicles –
which cover 43 percent of all emissions in the region –
would decline by 6 percent to 19 percent without any
additional action.
That drop, according to Hoagland, would result from the
ongoing shift to more fuel efficient cars and trucks,
but could fluctuate depending on whether federal fuel
efficiency standards are rolled back....
She also suggested that member states would also meet
every few years to review the program, and could
accelerate the emission reduction targets in the
future....
The concept, however, has been coming under increasing
fire from a small group of Republican legislators and
small business groups.
Rep. Timothy Whelan, a Brewster Republican, and Rep.
Marc Lombardo, a Billerica Republican, both submitted
public comments to the coalition arguing that the
Legislature should get to vote before Massachusetts
joins any partnership.
The National Federation of Independent Business in
Massachusetts, the Massachusetts Fiscal Alliance and
Citizens for Limited Taxation were also among a
cohort of business and anti-tax groups from Maine to
Virginia to sign on to a letter released Tuesday
opposing TCI because of the additional cost it will add
for employers.
"Make no mistake, this is a tax," the groups wrote in
their letter. "More precisely, it is a carbon dioxide
tax being implemented through a gas tax."
The opponents argued that not only would the program add
to municipal costs for busing, plowing and other
services, but low-income families and small business
owners would feel the pinch.
"Since motor fuels are economically 'inelastic,' the
higher costs imposed by the TCI's fuel tax will have to
come out of other areas of household budgets," the
letter stated....
[Massachusetts Energy and Environmental Affairs
Secretary Kathleen Theoharides] said that unlike a gas
tax the price per gallon is not fixed under the compact
and would depend on how the market responds to the caps
that get adopted on pollution and how much of the
expense suppliers pass on to consumers.
The program would set a limit on emissions from fuel,
and hold auctions at which fuel suppliers that transport
gasoline into Massachusetts and other states could
purchase allowances for every ton of carbon dioxide that
the fuel they are carrying would emit when burned.
The states estimate that the program could generate $7
billion a year across the region by 2032 in proceeds
from these auctions, sending $500 million or more back
to Massachusetts to be reinvested in clean transit
options.
State House News Service
Tuesday, December 17, 2019
TCI Framework Details Gas Price
Impacts, Emissions Cuts
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Chip Ford's CLT
Commentary
“I will not force Granite Staters to pay more for their
gas just to subsidize other state’s crumbling
infrastructure. New Hampshire is already taking
substantial steps to curb our carbon emissions, and this
initiative, if enacted, would institute a new gas tax by up
to 17 cents per gallon while only achieving minimal results.
This program is a financial boondoggle and the people of New
Hampshire will never support it.”
It must be so
gratifying to have a true Republican governor making such
decisions. That's one down and twelve states to go.
Vermont's Republican Gov. Phil Scott has also expressed
reservations about joining the tax-hike cabal, so that could
be number two.
Instead of a Republican,
the serfs and subjects of the Massachusetts oligarchy have Charlie
Baker as a self-appointed Royal Governor —
the architect of "the financial boondoggle."
"The data makes it clear
that — even without the TCI proposal — the market is already
projected to reach many of the same environmental benchmarks," New
Hampshire Office of Strategic Initiatives Director Jared Chicoine
stated.
One of our opposition
coalition members, Marc Fitch of Connecticut's
Yankee Institute for Public Policy sent our coalition members
the following analysis:
The “reference case,” or
baseline scenario used by the Georgetown Climate
Center to project what would happen from 2022-2032
if states DID NOT IMPLEMENT THE TCI projects a 19%
REDUCTION in carbon emissions over that decade.
So our region can expect to see
a significant reduction in carbon emissions without
TCI ever being implemented.
If TCI is implemented,
emissions are then projected to fall by between 20%
and 25% in total for the decade. So that’s an
increased emissions reduction of between 1 and 6
percentage points on top of a presumed reduction of
19 percent — which means that the huge economic
costs imposed by the TCI are less effective at
producing emissions reductions than are policies and
practices that are already in place — namely fuel
economy standards and increased sales of electric
vehicles.
TCI revenue is projected to
fall between $1.4 billion and $5.6 billion ANNUALLY.
So to produce a mere 1 percentage point reduction in
emissions over 10 years, they would impose a $14
billion tax on the region’s economy. To produce the
high-end estimate of an additional 6 percentage
point reduction in emissions (25% overall), they
would impose a $56 billion tax on the region’s
economy.
They project that if the costs
are passed on to consumers, gas taxes will increase
by:
.05 per gallon in 20% reduction
scenario
.09 per gallon in 22% reduction scenario
.17 per gallon in 25% reduction scenario
Here is the
Transportation & Climate Initiative's own baseline
("reference case") projection from
its August report — scroll
down to slide #16.
The scheme plans to impose
a $14 billion tax increase on the region to reduce emissions 1
percentage point over ten years; $56 billion for a reduction of
6 percent.
This is not about
"mitigating the threat of climate change" as much as it is about
hiking taxes with no fingerprints, no accountability
— and no limitations.
Much like the United
States of America turning over some of its national sovereignty
through foreign compacts like the World Trade Organization, or
European nations turning theirs over to a European Union, Gov.
Baker's "financial boondoggle" plans to extend unilateral power to
hike gas taxes to a new and unaccountable cabal, "a multi-state
compact" — The Transportation Climate
Initiative which will never be held accountable for its unilateral
decisions effecting our lives.
The State House News
Service noted that Baker administration Energy and Environmental
Affairs Secretary Kathleen Theoharides said that, unlike a gas tax,
the price per gallon is not fixed and would depend on how the
market responds to the caps that get adopted on pollution
and how much of the expense suppliers pass on to consumers.
The Boston Herald
reported: "While
they pegged the first year’s increase at 17 cents a gallon,
officials didn’t immediately say how high prices might go in
subsequent years and told reporters that they did not examine how
the economic impacts would change if neighboring states opted out,
as New Hampshire now has done."
But this does not mean
that Gov. Baker intends to entirely surrender Beacon Hill's ability
to hike gas taxes on its own. That right is reserved.
The Boston Globe noted
that with state lawmakers likely to debate a gas tax increase next
year, implementing TCI could lead to two separate hikes
at the pump.
The State House News
Service yesterday reported:
A MassINC poll released Wednesday
found that a majority of registered voters in
Massachusetts, Connecticut, Maryland, New York, New
Jersey, Pennsylvania and Virginia — the largest states
in the coalition
—
strongly or somewhat support their home state's
participation in the Transportation and Climate
Initiative.
In Massachusetts, 68 percent of the
629 respondents said they support the program, compared
to 21 percent who oppose it and 11 percent who are
unsure, according to the poll, which was sponsored by
the Barr Foundation and conducted before the latest
estimated impacts on gas prices were known.
There it is again.
"68 percent of the 629 respondents said they support the
program . . . before the latest estimated impacts on gas
prices were known."
In fact, last Wednesday
the State House News Service first
reported:
The poll's question
did not reference the potential of higher costs on motorists
when asking about their support for the program.
The next day, The
Salem News
reported:
But the survey of
nearly 7,000 voters didn't ask if they supported new taxes and
fees to implement the program, and critics pounced on the
omission.
"People may be in
favor of TCI but do they know the costs?" [Christopher
Carlozzi, Massachusetts state director of the National
Federation of Independent Businesses]
said Wednesday.
"The poll didn't explain that the costs would be passed along to
consumers at the gas pumps."
In my
commentary
on Friday I wrote:
. . . This comes after the release
of a poll conducted by MassINC that purports to show
alleged great support for TCI. The poll is apparently
intended to shape rather than reflect public opinion —
what's commonly called a "push poll" — asking questions
in a calculated way that returns the desired response.
Any credible pollster would have
included that critical piece of information in any
legitimate poll if it expected an honest result, don't
you think?
Once motorists and
taxpayers become aware of what's being done to them under
the guise of "climate change mitigation" do you think the
support will remain?
In fact, do you think
we'll see any polls even conducted once the citizens wake up
to this unconscionable assault?
And they are slowly
awakening, beginning to absorb what's being plotted against them.
A CLT member, Jim G.,
brought to my attention a clause in the U.S. Constitution that seems
to specifically prevent such multi-state compacts. I've passed
it along to the allies in our multi-state opposition coalition.
The response from one was: "Yes, down the road my guess is
there will be a legal arm to this [opposition]."
"No State shall,
without the Consent of Congress, lay any Duty of Tonnage,
keep Troops, or Ships of War in time of Peace, enter into any
Agreement or Compact with another State, or with a foreign
Power, or engage in War, unless actually invaded, or in such
imminent Danger as will not admit of delay."
The United States
Constitution
—
Article I, Section 10, Clause 3
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Chip Ford
Executive Director |
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State House News
Service
Tuesday, December 17, 2019
Compact Could Add Nickel to 17 Cents to Gallon
of Gas
By Matt Murphy
The pact being developed by
Massachusetts and other East Coast states to cap carbon emissions from
vehicles could add up to 17 cents to the price of a gallon of gas,
according to the newest estimates, but could also generate more than
$500 million in revenue for state government in Massachusetts.
Leaders from a coalition of eastern states, including Massachusetts,
have been working for over a year to develop a regional "cap-and-invest"
program to reduce carbon pollution from cars and trucks. They plan to
release a draft memorandum of understanding on Tuesday that states would
be asked to sign onto next spring once it is finalized.
The officials involved in the effort, known as the Transportation
Climate Initiative, are eyeing a reduction in emissions of up to 25
percent by 2032, but it will come at a cost.
The draft will put forward three scenarios for capping emissions from
motor fuel, with a final cap proposed after a public comment period ends
on Feb. 28.
The plan to reduce carbon emissions from vehicles by 25 percent would
add an estimated 17 cents to the price of a gallon of gas at the pump
starting in 2022. If states elected for a smaller reduction goal of 22.5
percent, the cost per gallon, based on the group's modeling, would drop
to 9 cents. The third option presented in the memo is for a 20 percent
emission reduction by 2032 at a cost to drivers of 5 cents per gallon.
The Baker administration, with Energy Secretary Kathleen Theoharides
leading the negotiations between the states, has been pursuing TCI since
late 2018 as a central component to its transportation and climate
agenda.
TCI has significant backing from many of the major employer groups in
Massachusetts, including Associated Industries of Massachusetts and the
Greater Boston Chamber of Commerce, but has been coming under increasing
fire from a small group of Republican legislators and small business
groups.
The National Federation of Independent Business in Massachusetts, the
Massachusetts Fiscal Alliance and Citizens for Limited Taxation
signed on to a multi-state letter released Tuesday opposing TCI because
of the additional cost it will add for employers. It considers the
program to be akin to a gas tax increase.
A MassINC poll released Wednesday found that a majority of registered
voters in Massachusetts, Connecticut, Maryland, New York, New Jersey,
Pennsylvania and Virginia -- the largest states in the coalition -
strongly or somewhat support their home state's participation in the
Transportation and Climate Initiative.
In Massachusetts, 68 percent of the 629 respondents said they support
the program, compared to 21 percent who oppose it and 11 percent who are
unsure, according to the poll, which was sponsored by the Barr
Foundation and conducted before the latest estimated impacts on gas
prices were known.
Theoharides said that unlike a gas tax the price per gallon is not fixed
and would depend on how the market responds to the caps that get adopted
on pollution and how much of the expense suppliers pass on to consumers.
The program would set a limit on emissions from fuel, and hold auctions
at which fuel suppliers that transport gasoline into Massachusetts and
other states could purchase allowances for every ton of carbon dioxide
that the fuel they are carrying would emit when burned.
The states estimate that the program could generate $7 billion a year
across the region in proceeds from these auctions, sending $500 million
or more back to Massachusetts to be reinvested in clean transit options.
"One of the big pieces for us is getting as many states on board as we
can," Theoharides said. The secretary said that while there does need to
be a "critical mass" of participation for the program to work, she did
not think all 13 jurisdictions would need to sign on for the program to
be successful.
Theoharides said the coalition has also estimated $10 billion in public
health benefits through the program from reduced cases of conditions
like asthma and $892 in avoided costs due to climate change.
Twelve states and the District of Columbia have been working with the
Georgetown Climate Center to put together the Transportation Climate
Initiative since late 2018.
The cap-and-invest program is modeled off the Regional Greenhouse Gas
Initiative, which focused on driving down emissions from power plants,
but Theoharides said it has the potential to reduce carbon emissions by
three times the levels achieved through RGGI.
The TCI coalition states represent 72 million people and 52 million
registered vehicles, with a gross domestic product larger than the
economy of California at $5.3 trillion.
The Boston Herald
Tuesday, December 17, 2019
Regional gas fee agreement could raise fuel costs by 17 cents in first
year
Critics have warned TCI climate initiative could do economic harm
By Mary Markos
The regional gas fee agreement
being pursued by the Baker administration as an anti-climate change
measure could raise prices at the pump by 17 cents in just the first
year, according to estimates by state officials — who didn’t immediately
say how high prices might go in subsequent years.
The initial projections of the economic impact of the Transportation
Climate Initiative, a multi-state compact that would implement a gas cap
to reduce carbon emissions, were presented to press during a conference
call with Massachusetts Energy and Environmental Affairs Secretary
Kathleen Theoharides and officials from Maryland and Georgetown Climate
Center.
Their modeling evaluated the results of carbon caps that would reduce
anywhere from six percent 19 percent Co2 emissions by 20 to 25 percent
between 2022 and 2032.
A draft version of a memorandum of understanding for the Transportation
Climate Initiative was also released Tuesday, with a final version
expected in the spring of 2020, at which point each state will determine
whether or not to sign on. Massachusetts is one of 12 Atlantic seaboard
states and the District of Columbia involved in TCI negotiations.
A similar measure already in effect in California has driven gas prices
to between $4 and $5 a gallon there. Critics have said the measure could
be economically damaging to Massachusetts — especially in neighboring
states such as Vermont and New Hampshire opt not to join the compact.
The average price of gasoline in Massachusetts this week is $2.557 a
gallon, according to AAA. The proposed 17-cent increase, if applied
today, would jack up gas prices to $2.727.
A letter of opposition to TCI was released today by Massachusetts Fiscal
Alliance, the National Federation for Independent Business, and
Citizens for Limited Taxation, who have voiced concern that TCI will
be adopted by Gov. Charlie Baker by executive order, without a vote of
the Legislature.
“The more people learn about the extremes of this tax and the
undemocratic way it’s being forced upon residents, the less popular it
becomes,” Paul D. Craney, spokesman for the Massachusetts Fiscal
Alliance, said in a statement.
The anti-TCI coalition’s letter states: “Unlike motor fuel taxes levied
to pay for roads, bridges, and transportation infrastructure (a
reasonable fee for use), the TCI would be the equivalent of a “sin tax”
– a penalty for engaging in bad behavior. We do not believe that driving
to and for work, transporting children to school, transporting goods,
going to the grocery store, and all the other necessary activities that
generally require a vehicle should be treated by governments as a sin.
These are not activities people can, or should be forced to, avoid.
“The TCI tax is a poorly conceived, fundamentally regressive, and
economically damaging proposal. It would — on purpose — make the
day-to-day transactions of life painfully expensive, especially for
those of us who are going through bad times and are struggling every day
to get by. Government should not do this to its citizens. Government
exists to serve the people, not to bend them to the will of elite
opinion. For these philosophical and financial reasons, states should
reject the TCI at the first available opportunity,” states the letter,
which was delivered to Gov. Charlie Baker and legislators.
The Boston Globe
Tuesday, December 17, 2019
States disclose details of new emissions controls that would drive up
gas prices
By Jon Chesto and Adam Vaccaro
Officials in a dozen Northeast
and mid-Atlantic states rolled out details on Tuesday for an ambitious
plan to control carbon emissions from vehicles by imposing new fuel
controls at the wholesale level, potentially driving up the cost of gas
for motorists.
The scenarios spelled out in the Transportation & Climate Initiative
proposal could translate to an extra 5 cents per gallon to 17 cents per
gallon at the pump, depending on whether suppliers fully pass on the
costs to drivers and how aggressively the states choose to curb
emissions. The models are based on cutting 20 percent to 25 percent of
carbon emissions from the region’s transportation sector over a 10-year
period.
Under the plan, wholesalers that deliver carbon-emitting fuels would
need to buy allowances through periodic auctions, with the proceeds from
those auctions going back to the states. Suppliers could then buy and
sell these credits.
In Massachusetts, this system could mean an influx of around $500
million a year for transportation purposes, starting as soon as January
2022.
The states still need to approve the initiative, and some might not
agree to participate in this new market. Katie Theoharides, the state’s
energy and environmental affairs secretary, said all but three states
need legislative approval to participate. Massachusetts does not,
although Theoharides said the Governor Charlie Baker administration
would make its decision in consultation with legislative leaders on
Beacon Hill.
“The important thing here is getting the mechanism in place and having
as much of the region participate as possible,” Theoharides said. “It’s
pretty stark how much of an impact this could have on meeting [our]
climate goals.”
The amount of allowances made available would decline over time,
presumably making them more expensive. The system would be modeled after
a similar regional cap-and-trade program that’s already in place for
power plants.
“The goal is that as the allowances become more scarce, their cost goes
up, sending the signal that the market still needs to work on cleaner
options,” Theoharides said. “Fuel suppliers may look at things [like]
low-carbon fuels.”
The Baker administration has said that half of the new revenue would be
dedicated to public transit, specifically toward initiatives meant to
reduce carbon emissions: electrifying buses and commuter trains, for
example, or adding more vehicles to increase system capacity.
Other money could go toward biking and pedestrian infrastructure,
electric vehicle rebates or charging infrastructure, or even improving
broadband in rural towns to make telecommuting easier.
Baker last week gave a full-throated endorsement of TCI before business
leaders and environmental advocates in downtown Boston. Flanked by
Theoharides and state transportation secretary Stephanie Pollack, Baker
said the program was crucial to reducing greenhouse gases from tailpipes
and encouraged the region’s business community to support the policy.
“This program obviously is designed both to support public transit
initiatives as well as other carbon reduction initiatives that you can
pursue,” Baker said last week. “These are all initiatives that we
support and we believe in, and they’re worth significant resources.”
But the advent of the program has also presented tricky politics for
Baker, who has said he opposes an increase to the gas tax. Baker has
said TCI is not technically a tax, but it would function similarly to
one by raising the cost of gasoline to fund transportation-related
projects.
Critics of the program such as the conservative Massachusetts Fiscal
Alliance have argued TCI is effectively a tax hike. Another
small-governance organization, Citizens for Limited Taxation,
noted in a statement Tuesday that gas tax increases were rejected the
last time voters had a direct say on the matter, in a 2014 ballot
measure.
What’s more, with state lawmakers likely to debate a gas tax increase
next year, implementing TCI could lead to two separate hikes at the
pump.
The governor has argued the cap-and-trade system is better than the gas
tax because it would be implemented in several states rather than just
one, and because the cap may encourage fuel companies to develop
lower-carbon energy sources for vehicles.
State of New Hampshire
Office of the Governor
Chris Sununu
News Release —
December 17, 2019
New Hampshire Declines to Participate In the Transportation Climate
Initiative
Concord, NH – Today, Governor
Chris Sununu announced that New Hampshire will not be participating in
the Transportation and Climate Initiative (TCI). Under this scheme, New
Hampshire drivers would be forced to pay a significant new gas tax with
little environmental benefit to the state.
“I will not force Granite Staters to pay more for their gas just to
subsidize other state’s crumbling infrastructure,” said Governor Chris
Sununu. “New Hampshire is already taking substantial steps to curb our
carbon emissions, and this initiative, if enacted, would institute a new
gas tax by up to 17 cents per gallon while only achieving minimal
results. This program is a financial boondoggle and the people of New
Hampshire will never support it.”
Rural communities would be left at a severe disadvantage if New
Hampshire participated in the TCI, as drivers will bear the brunt of the
artificially higher gas prices.
“NHDES has been actively monitoring the TCI process for the past year in
order to fully understand the potential long and short term impacts of
this potential regional program on NH,” said DES Commissioner Bob Scott.
“NHDES intends to continue to observe these efforts and represent the
interests of NH."
“There are clearly better ways to achieve the purported goals of this
program,” said Office of Strategic Initiatives Director Jared Chicoine.
“This proposal is a huge hit to the wallets of rural drivers. The data
makes it clear that — even without the TCI proposal — the market is
already projected to reach many of the same environmental benchmarks.
Here in New Hampshire, we are already aggressively moving forward with
smarter environmental initiatives like more EV charging stations,
offshore wind, and low income solar incentives to ensure New Hampshire’s
long legacy of environmental stewardship continues to move forward."
###
The Boston Herald
Tuesday, December 17, 2019
New Hampshire backs out of regional climate initiative
By Mary Markos
New Hampshire is backing out
of the controversial regional TCI compact just hours after a draft
policy was released Tuesday, with Granite State Gov. Chris Sununu citing
increase costs in gas prices as his reason for their retreat.
“I will not force Granite Staters to pay more for their gas just to
subsidize other state’s crumbling infrastructure,” Sununu said. “New
Hampshire is already taking substantial steps to curb our carbon
emissions, and this initiative, if enacted, would institute a new gas
tax by up to 17 cents per gallon while only achieving minimal results.
This program is a financial boondoggle and the people of New Hampshire
will never support it.”
The Transportation Climate Initiative, a multi-state compact that would
implement a gas fee to reduce carbon emissions, could raise prices at
the pump by 17 cents in just the first year, according to estimates by
state officials. Massachusetts Energy and Environmental Affairs
Secretary Kathleen Theoharides and officials from Maryland and
Georgetown Climate Center presented estimates of the measure’s economic
impact after a draft version of a memorandum of understanding was
released Tuesday.
Officials told reporters that they did not examine how those economic
impacts would change if any of the 12 states or the District of Columbia
decided to back out. They also didn’t immediately say how high gas
prices might go in subsequent years.
Opponents of the TCI compact have said that if neighboring states such
as New Hampshire back out, the Massachusetts economy could take a hit
due to higher gas prices.
Sununu announced that New Hampshire will not be participating in the
Transportation and Climate Initiative because drivers would be forced to
pay more for gas with “little environmental benefit to the state.” Rural
communities would be left at a severe disadvantage if New Hampshire
participated in the TCI, according to Sununu’s office, as drivers will
bear the brunt of the artificially higher gas prices.
“NHDES has been actively monitoring the TCI process for the past year in
order to fully understand the potential long and short term impacts of
this potential regional program on NH,” said DES Commissioner Bob Scott.
“NHDES intends to continue to observe these efforts and represent the
interests of NH.”
“There are clearly better ways to achieve the purported goals of this
program,” said Office of Strategic Initiatives Director Jared Chicoine.
“This proposal is a huge hit to the wallets of rural drivers. The data
makes it clear that — even without the TCI proposal — the market is
already projected to reach many of the same environmental benchmarks.
Here in New Hampshire, we are already aggressively moving forward with
smarter environmental initiatives like more EV charging stations,
offshore wind, and low income solar incentives to ensure New Hampshire’s
long legacy of environmental stewardship continues to move forward.”
The Boston Herald
Tuesday, December 17, 2019
‘Tank the Gas Tax’ targets Gov. Charlie Baker’s fuel fee proposal
By Hillary Chabot
Outraged anti-tax warriors
Tuesday vowed to fight a “tone deaf” regional initiative — already
rejected by New Hampshire officials — that could hike the cost of gas by
as much as 17 cents a gallon in just the first year, saying the proposal
is an insult to Bay State voters’ who rejected a gas tax five years ago.
“The people spoke very clearly that they didn’t want a gas tax. This
flies in the face of that vote and it just shows you how tone deaf
Beacon Hill is,” said Holly Robichaud, who was behind a victorious 2014
ballot initiative that repealed a gas tax hike of 24 cents a gallon and
built-in automatic increases for years to come.
The current proposal, called the Transportation Climate Initiative,
could increase gas prices an estimated 17 cents a gallon in the first
year by levying fees on fuel companies that would be passed on to
drivers. The price could balloon from there — all without a vote from
the state Legislature. Gov. Charlie Baker has signaled he could use his
executive authority to approve the plan.
“Every time we turn around they’re looking to hit drivers with some new
fee,” said Robichaud. “They should get the message and get off the backs
of drivers.”
Neighboring states are already opting out of the 12-state TCI, a
regional compact seeking to reduce carbon emissions by capping gas use.
New Hampshire Gov. Chris Sununu cited increased gas costs yesterday when
announcing he wouldn’t join the multi-state compact. Sununu’s
announcement came as officials released a draft proposal yesterday.
Baker administration officials have insisted the regional agreement
isn’t a gas tax, but early estimates released yesterday show that the
average Bay State driver would pay more at the pump. A portion of the
cash collected would go to the state to fix roads and the ailing MBTA.
“This all boils down to the same thing as before — it’s a way to
subsidize the MBTA,” said Geoff Diehl, a former state representative who
was also a part of the 2014 “Tank the Gas Tax,” campaign. “Voters didn’t
like it the first time they tried it.”
If Vermont follows New Hampshire’s lead and opts out of the TCI, that
would leave more border gas stations high and dry as drivers go across
state lines for their gas. Businesses that see their costs rise, and
shoppers who see prices rise won’t be far behind.
“This will just send people out of state again,” said Robichaud.
Robichaud and Diehl are part of a growing opposition to TCI that
includes the Massachusetts Fiscal Alliance, the National Federation for
Independent Businesses and Citizens for Limited Taxation. The
coalition denounced the proposal yesterday and are pushing for
legislators to review and vote on the plan after its release in the
spring of 2020.
“We’re going to fight this thing one way or another,” said Robichaud.
“This isn’t about saving the world, its about grabbing more money.”
The Boston Herald
Tuesday, December 17, 2019
Gas levy plan hits bump as N.H. opts out
By Mary Markos
Gov. Charlie Baker’s push to
join a regional anti-climate change compact — predicted to jack up gas
prices by up to 17 cents in just the first year — took a potentially
critical blow even as it was being rolled out Tuesday, when New
Hampshire quickly rejected it as a “financial boondoggle” and a burden
on drivers.
“I will not force Granite Staters to pay more for their gas just to
subsidize other states’ crumbling infrastructure,” Granite State Gov.
Chris Sununu said of the the controversial Transportation Climate
Initiative. “This program is a financial boondoggle and the people of
New Hampshire will never support it.”
New Hampshire’s rejection came just hours after a draft memorandum of
understanding was released Tuesday for the consideration of the 12
Atlantic Seaboard states and the District of Columbia that have been
involved in TCI negotiations. The multi-state compact is intended to
reduce carbon emissions and raise money for transportation projects by
driving up gas prices. But critics say that driving up gas prices in
Massachusetts if neighboring states don’t go along is a recipe for
economic disaster — sending drivers, businesses and shoppers across the
border to avoid higher costs.
Sununu argued that drivers would be forced to pay more for gas with
“minimal results,” putting rural communities at a severe disadvantage.
TCI proponents claim the gas fees would result in a reduction of Co2
emissions anywhere from 6% to 19% by 2032, according to Tuesday’s
presentation by Massachusetts Energy and Environmental Affairs Secretary
Kathleen Theoharides and officials from Maryland and the Georgetown
Climate Center.
While they pegged the first year’s increase at 17 cents a gallon,
officials didn’t immediately say how high prices might go in subsequent
years and told reporters that they did not examine how the economic
impacts would change if neighboring states opted out, as New Hampshire
now has done.
TCI opponents say if neighboring states such as New Hampshire or Vermont
opt not to join, the Massachusetts economy could take a hit due to
higher gas prices.
“We have been talking about this for a while and today was the first day
the TCI coalition came out with a proposal,” MassFiscal Alliance
spokesman Paul Craney said. “Within the first day already they have
suffered a major setback as one of the crucial states in the region
decided it is not going to join.”
“I’m not surprised to hear New Hampshire is not joining TCI, as they’ve
shown reluctance up to this point,” state Rep. Marc Lombardo said. “Once
again a Massachusetts tax increase will be an economic win for New
Hampshire. I hope the governor will reconsider joining TCI.”
The measure could generate between $1.4 billion and $7 billion per year
regionally, according to estimates in the draft agreement, with about
$500 million per year for Massachusetts. Up to half of the revenue from
the TCI would be directed to the Commonwealth Transportation Fund and
remaining funds would be invested in local transportation programs,
according to the Baker administration.
Baker was not available for comment late Tuesday on New Hampshire opting
out. Baker spokeswoman Anisha Chakrabarti did not directly address
Sununu’s decision, saying in a statement the administration “is pleased
by the robust participation by Northeast and Mid-Atlantic states
throughout the program’s ongoing development process and by the broad
coalition of support from members of both the business and environmental
communities.”
The average price of gasoline in Massachusetts this week is $2.557 a
gallon, according to AAA. A 17-cent increase, if applied today, would
jack up gas prices to $2.727. A similar climate measure already in
effect in California has driven gas prices to between $4 and $5 a gallon
there at times.
A final version of the TCI memorandum of understanding is expected to be
released in the spring, at which point each state will determine whether
to sign on.
State House News Service
Tuesday, December 17, 2019
TCI Framework Details Gas Price Impacts, Emissions Cuts
By Matt Murphy
The pact being developed by
Massachusetts and other East Coast states to cap carbon emissions from
vehicles could add up to 17 cents to the price of a gallon of gas,
according to the newest estimates, but could also generate more than
$500 million in revenue for state government in Massachusetts.
Leaders from a coalition of eastern states, including Massachusetts,
have been working for over a year to develop a regional "cap-and-invest"
program to reduce carbon pollution from cars and trucks and generate the
resources needed to expand clean transit options and improve public
health.
The effort, known as the Transportation Climate Initiative, has also
become a central part of Gov. Charlie Baker's transportation and climate
agenda, with the administration proposing to earmark half of all
proceeds generated toward improving public transit.
But the coalition already began to splinter Tuesday in light of the
newly forecast economic impacts, with New Hampshire Gov. Chris Sununu
announcing that his state would not participate.
"We are already taking substantial steps to curb our carbon emissions, &
this initiative, if enacted, would institute a new gas tax by up to 17
cents per gallon while only achieving minimal results. This program is a
financial boondoggle and the people of NH will never support it," Sununu
wrote on Twitter.
The coalition, chaired by Massachusetts Energy and Environmental Affairs
Secretary Kathleen Theoharides, released a draft memorandum of
understanding on Tuesday that states would be asked to sign onto next
spring once it is finalized.
The officials involved in the effort are eyeing a reduction in emissions
of up to 25 percent by 2032, but it will come at a cost.
States in the coalition are exploring three scenarios for capping
emissions from motor gasoline and on-road diesel, with a final cap
proposed after a public comment period ends on Feb. 28.
The plan to reduce carbon emissions from vehicles by 25 percent would
add an estimated 17 cents to the price of a gallon of gas at the pump
starting in 2022. If states elected for a smaller reduction goal of 22
percent, the cost per gallon, based on the group's modeling, would drop
to 9 cents.
The third option presented is for a 20 percent emission reduction by
2032 at a cost to drivers of 5 cents per gallon.
Theoharides said TCI represents a "chance to really make a global impact
on emission reductions."
Chris Hoagland, and economist in the climate change division of
Maryland's Department of the Environment, said TCI's model showed that
emissions from vehicles – which cover 43 percent of all emissions in the
region – would decline by 6 percent to 19 percent without any additional
action.
That drop, according to Hoagland, would result from the ongoing shift to
more fuel efficient cars and trucks, but could fluctuate depending on
whether federal fuel efficiency standards are rolled back.
"The thing that is important is that while the reference case does show
19 percent due to clean vehicle standards and the adoption of electric
vehicles, those reductions are not guaranteed and they could be as low
as 6 percent. What this policy does is lock in those reductions,"
Theoharides said.
She also suggested that member states would also meet every few years to
review the program, and could accelerate the emission reduction targets
in the future.
The new economic forecasts also figure to play heavily into the upcoming
debate that House Speaker Robert DeLeo has planned for January to
generate new revenue for transportation.
Several of his top deputies have suggested a gas tax hike would be high
on the list of options.
While a straight gas tax hike may be less popular with business leaders,
TCI has significant backing from many of the major environmental and
employer groups in Massachusetts, including Associated Industries of
Massachusetts and the Greater Boston Chamber of Commerce.
Transit activists also see an opportunity in the program to generate
significant new resources to invest in improved public transit and build
new sidewalks and bicycle paths.
"We applaud Governor Baker's leadership in advancing this important
public policy initiative that will improve the lives of people in every
corner of the Commonwealth who use our transportation system, breath the
air, or care about climate change. TCI will stand as a model for the
rest of the nation," Transportation for Massachusetts Director Chris
Dempsey said.
The concept, however, has been coming under increasing fire from a small
group of Republican legislators and small business groups.
Rep. Timothy Whelan, a Brewster Republican, and Rep. Marc Lombardo, a
Billerica Republican, both submitted public comments to the coalition
arguing that the Legislature should get to vote before Massachusetts
joins any partnership.
The National Federation of Independent Business in Massachusetts, the
Massachusetts Fiscal Alliance and Citizens for Limited Taxation
were also among a cohort of business and anti-tax groups from Maine to
Virginia to sign on to a letter released Tuesday opposing TCI because of
the additional cost it will add for employers.
"Make no mistake, this is a tax," the groups wrote in their letter.
"More precisely, it is a carbon dioxide tax being implemented through a
gas tax."
The opponents argued that not only would the program add to municipal
costs for busing, plowing and other services, but low-income families
and small business owners would feel the pinch.
"Since motor fuels are economically 'inelastic,' the higher costs
imposed by the TCI's fuel tax will have to come out of other areas of
household budgets," the letter stated.
Sen. Marc Pacheco and the Baker administration have said the Legislature
would not need to vote on participation because the legislators
authorized the administration to pursue regional market-based approaches
to fight climate change in the 2008 Global Warming Solutions Act.
A MassINC poll released Wednesday found that a majority of registered
voters in Massachusetts, Connecticut, Maryland, New York, New Jersey,
Pennsylvania and Virginia -- the largest states in the coalition -
strongly or somewhat support their home state's participation in the
Transportation and Climate Initiative.
In Massachusetts, 68 percent of the 629 respondents said they support
the program, compared to 21 percent who oppose it and 11 percent who are
unsure, according to the poll, which was sponsored by the Barr
Foundation and conducted before the latest estimated impacts on gas
prices were known.
Theoharides said that unlike a gas tax the price per gallon is not fixed
under the compact and would depend on how the market responds to the
caps that get adopted on pollution and how much of the expense suppliers
pass on to consumers.
The program would set a limit on emissions from fuel, and hold auctions
at which fuel suppliers that transport gasoline into Massachusetts and
other states could purchase allowances for every ton of carbon dioxide
that the fuel they are carrying would emit when burned.
The states estimate that the program could generate $7 billion a year
across the region by 2032 in proceeds from these auctions, sending $500
million or more back to Massachusetts to be reinvested in clean transit
options.
Baker proposed in a transportation bond bill still pending before the
Legislature to set aside half of any new revenue to the state for public
transit.
Theoharides also said the state would look to invest in electrification
of public transit, charging corridors for electric vehicles, more
electric buses, ways to make it easier to walk and bike and
telecommuting infrastructure for more rural areas.
"We are going to double down on the investments that reduce emissions so
that we can get the most bang for our buck," Theoharides said.
Twelve states and the District of Columbia have been working with the
Georgetown Climate Center to put together the Transportation Climate
Initiative since late 2018.
The cap-and-invest program is modeled off the Regional Greenhouse Gas
Initiative, which focused on driving down emissions from power plants,
but Theoharides said it has the potential to reduce carbon emissions by
three times the levels achieved through RGGI.
"One of the big pieces for us is getting as many states on board as we
can," Theoharides said.
In addition to Sununu, Vermont's Republican Gov. Phil Scott has also
expressed reservations about joining the pact. Theoharides said that
while there does need to be a "critical mass" of participation for the
program to work, she did not think all 13 jurisdictions would need to
sign on for the program to be successful.
The coalition has estimated $10 billion in public health benefits
through the program from reduced cases of conditions like asthma,
between 1,900 and 8,900 new jobs and $892 in avoided costs due to
climate change.
The Harvard School of Public Health plans to do a more detailed health
analysis for early 2020.
The TCI coalition states represent 72 million people and 52 million
registered vehicles, with a gross domestic product larger than the
economy of California at $5.3 trillion.
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