In addition to a general discussion of the revenue-raising potential of each mechanism, for comparative purposes the revenue potential of individual mechanisms is addressed in the context of the rate that would be required to raise $1 billion in revenue.
Customs Duties and Fees: Imposition of a 3.5 percent transportation surcharge would provide approximately $1 billion annually.15 An increase in the Customs Merchandise Processing Fee by 70 percent also would yield $1 billion annually.
Freight Waybill Tax: A small percentage tax rate could raise significant revenues with strong sustainability. A 0.1 percent tax on all truck freight waybills would raise about $620 million annually; thus a 0.16% rate would raise $1 billion per year.16
Weight Only or Weight-Distance Tax: Based on the experiences of four states that currently implement weight-distance charges, revenues should grow at a stable pace with minor fluctuations due to gross domestic product and VMT changes. A 0.1¢ per ton-mile assessed on freight moved by trucks would raise $1.2 billion annually; thus a tax of 0.08¢ per ton-mile would be required to raise $1 billion per year. For a weight-based tax, a 1¢ per ton assessment on freight moved by trucks would raise $107 million annually; thus a tax of 9.45¢ per ton would be required to raise $1 billion per year.
Container Tax: The fee level and scope (for example, whether applied to all containers- imported and exported, loaded and unloaded-or not) and overall container volume will affect the revenue potential of this mechanism. Stability of the source will depend on import and export volumes and tends to be tied to economic growth. If imposed today, a $10 fee on every container moving through a U.S. port would raise approximately $500 million annually; thus a $20 fee per container would be required to raise $1 billion annually. If imposed only on imports, it can be expected to raise approximately one-third less total revenue.
Harbor Maintenance Tax: Imposition of an additional 0.089 percent to the current ad valorem tax rate would provide approximately $1 billion annually17 Such an increase would represent a 75 percent rise in the current tax rate of 0.125 percent. The harbor maintenance tax is highly sustainable since the tax basis increases with both inflation and freight/passenger traffic volume.