Possible Changes in the Indiana Highway Tax Structure

There are three basic questions in the area of highway fiscal policy which have not, at least in recent years, been considered, faced directly, and answered by the State. These are: (1 ) How much should we be spending on our highway, road, and street systems? (2 ) Are we dis­ tributing available funds among the various types and classes of roads in the most equitable and efficient manner? (3 ) W ho should be paying how much for support of the Indiana highway complex? These questions are, of course, all quite difficult and probably can never be answered with complete confidence. This fact at least partially explains our hesitancy in approaching them. However, it must be realized that by failing to make conscious policy decisions in these areas, we are in fact making the “ unconscious” decision that the current fiscal structure is the best that we can devise. While this may be true, it seems that given the magnitude of our highway expenditures (almost 160 million per year in State user taxes alone), we owe the taxpayers of the State the assurance that every effort has been made to guarantee them maximum benefits for their highway tax dollars.