Hawaii is the fourth U.S. state to enact a RUC program as of this July. The program will eliminate the annual state registration surcharge for electric vehicles and replace it with a road usage charge of $8 per 1,000 miles driven or a $50 annual fee.

Drivers of electric vehicles can opt into the program starting on July 1, 2025. By 2028, all electric cars will be required to enroll in the RUC program. The legislation also directs Hawaii DOT to deliver a plan to the state legislature to transition all vehicles to RUC by 2033.

This new law marks a significant step forward for the state’s alternative transportation funding strategy and Hawaii’s commitment to a clean transportation future. Hawaii joins Oregon, Utah, and Virginia in enacting RUC, demonstrating growing momentum in public policy and awareness of the need for a gas tax replacement nationwide.

Project manager Ging Ging Fernandez has overseen policy analysis, pilot testing and public communication for Hawaii DOT over the past 5 years and says the state’s transition to a per-mile fee will help support the DOT’s socio-economic concerns and environmental sustainability goals.

“By leading with intentional outreach to the community and impacted stakeholders and conducting rigorous research on a range of issues, Hawaii DOT was able to craft acceptable policy recommendations. This new law is a small but critical step in the gradual process of changing how Hawaii pays for roads to align better with the state’s ambitions for clean energy and a more equitable future,” she says.

CDM Smith is proud to have supported Hawaii DOT in their RUC research, analysis, and policymaking journey thus far and is excited to continue to support the state in transitioning to long-term, sustainable and fair transportation funding.

Maui needs our continued support.

CDM Smith and staff who support Hawaii DOT on the HiRUC project have provided donations for recovery efforts on Maui following the devasting wildfires in early August. As a company, we are committed to continued support of local organizations as they recover, heal and build back stronger. We encourage others to donate and continue to support Maui. Mahalo!

• Donate to the Maui Strong fund from the Community Foundation of Maui
• Donate to the Maui Food Bank
• Donate to the Maui Humane Society