planet4ever said:
JimSouCal said:
Are you saying a rebate is a more efficient use of the funds, and a better way than a limited tax waiver? How is that a debt? I really don't get your assertion, but will try to if you elaborate.
My plan is to lobby the Brown administration to do exactly what I am proposing, so as to continue to encourage the consumer to make a rational decision and to consider an EV. Perhaps the revenue could be offset by equal offset of raising the state tax on gasoline?
I am in no position to compare efficiencies of the two approaches, though it certainly seems that the CVRP is operating efficiently, and I often wonder about the efficiency of the FTB and DMV. Rebates come out of the current budget, which must be balanced. The same would be true for a sales tax waiver, though that is harder to budget for. My concern was that you also said 'a few years of "no fee" vehicle registration.' That would reduce income for future budgets (though, in large part, county and city budgets), so is in effect borrowing against the future. The final sentence I quoted above does provide a rather indirect way around this, and I do favor higher gas taxes, but I don't think they are a political possibility in today's climate, not even in California.
Ray
The funds for the CVRP come from an increase in smog abatement fees. The authorizing legislation is AB 118 (2007). I think it's perfectly appropriate for these incentives to be paid for out of DMV registration fees. The legislation delegated implementation of the incentive programs to the Air Resources Board, which held hearings and solicited input before adopting the $5,000 level for the first year. This was done well before the first LEAF was sold and was based on an educated guess concerning the amount of money the fee increase would generate and the number of EVs that would be sold. Because of the recession, car sales were down, and the actual revenue didn't quite meet the projection. The $2 million contribution from the California Energy Commission helped to make up the difference. The rebates were cut in half for the second year as expected sales of EVs are increasing. You can read the staff report from those "stupid" and/or "lazy" bureaucrats at the ARB at:
http://www.arb.ca.gov/msprog/aqip/fundplan/proposed_aqip_fy2011_funding_plan.pdf
The hard-working and rather bright ARB employees used to be called public servants, before it became fashionable to bash anyone who helps our government to function. After a while, though, if we keep the bashing up and salaries and benefits down, we will get the government we deserve.