Alternative Fuel, Fuel-Efficient, and Electric Vehicles - Highway Use Fees

HB 1374 replaces the existing annual surcharge for zero-emission and plug-in electric vehicles with a new annual highway use fee for owners of alternative fuel vehicles, fuel-efficient vehicles (25+ MPG), and plug-in electric drive vehicles. It requires these owners to pay the annual fee instead of the previous $100-$125 surcharge, with fees deposited into a dedicated Highway Use Fee Account. The bill also establishes a voluntary mileage-based user fee program administered by the Department of Transportation, allowing vehicle owners to opt into this program instead of paying the annual fee. All funds in the Highway Use Fee Account must be used solely for Maryland’s regional commuter rail service, with strict rules prohibiting diversion to the general fund or other departmental purposes.