The authorities of the state of Illinois are considering replacing the traditional fuel tax with a new system of payment for actual vehicle mileage. This is driven by declining revenues to the road fund due to the growing popularity of electric vehicles and improved fuel efficiency of conventional cars.
Essence of the bill and its goals
Senate Bill No. 1938, introduced by Senator Ram Villivalam, proposes creating the Illinois Road Use Charge Act. The document envisions launching a pilot program to determine whether drivers should be charged based on miles traveled rather than the amount of fuel purchased in the future.
How mileage is planned to be tracked
The bill requires the state to test several methods of measuring mileage. At least one method must not rely on electronic location data of the vehicle. This means GPS tracking will not be mandatory for all participants. Instead, options such as odometer reporting or mileage verification systems may be used.
Privacy concerns
The pilot program is to collect the minimum necessary amount of personal data, including location information. Mechanisms are to be created to protect this data during collection, storage, transmission, and destruction. The state must also examine whether different systems can protect driver privacy while preventing fraud and ensuring reporting accuracy.
However, the bill lacks clear prohibitions on the use of GPS tracking. There are no strict limits on data retention periods. The document does not restrict access by law enforcement, third-party service providers, or the ability of future administrations to expand the program once the infrastructure is established. This raises concerns that a simple mileage tax could evolve into a broader system for monitoring citizens’ movements.
Situation with electric vehicle owners
It is worth noting that another bill (SB 3566) already exists, offering electric vehicle owners a choice: pay $320 annually or 1.5 cents per mile driven, with a cap of $320. Since mileage reporting methods have not yet been finalized, lawmakers still have time to adjust privacy controls before the system becomes permanent.
The introduction of a mileage tax is a logical step in response to technological changes in the automotive industry, as the traditional fuel tax is losing its effectiveness. However, the key challenge remains balancing the need to fund road infrastructure with protecting citizen privacy. The lack of clear guarantees in the bill could lead to public resistance, especially if the system evolves over time toward more detailed movement tracking. Illinois’ experience could set a precedent for other states also seeking new sources of road funding in the era of transportation electrification.

