Legislation would allow states to sell toll credits

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The recently introduced Toll Credit Marketplace Act would allow states to sell toll credits for revenue that would be used toward match requirements on federally funded highway and transit projects.

States accrue credits from the federal government when they use toll revenue to fund projects that benefit the interstate commerce or interstate system. Credits only can be used as state matching funds.

Many states have more credits than they can use, while states that do not have tolling systems lack credits. New Jersey has the most toll credits at $5.3 billion.

The bill directs the Secretary of Transportation to establish a marketplace for the sale and purchase of credits and report annually to Congress on the progress of the marketplace. The secretary also would be required to follow up upon the completion of a pilot program by reporting on the viability of continuing the marketplace.

The Government Accountability Office would be required to conduct a study on the results after one year to evaluate its effectiveness.

States would be required to report the intended use of credits and all transactions.

The bill was introduced by U.S. Sens. Cory Booker (D-NJ), a member of the Senate Environment and Public Works Committee, and Jeanne Shaheen (D-NH).