An interesting observation from Daniel Weintraub:
It turns out that 90 percent of the federal gas tax we pay to support highway and transit construction must, by law, be returned to the state. The rule was adopted to ensure that every state was getting its fair share, that no one became an obvious example of a donor state. So first we send the money to Washington, then they decide how we ought to spend it, and they send it back, minus postage and handling. The other 10 percent, I guess, is spent on interstate highways and projects in other states. Does that seem odd to anyone besides me? If the feds are required by law to return 90 cents on every dollar, what's the point of sending it to them at all?
Read the whole thing.
Posted by Justene Adamec at May 21, 2003 08:55 PM