U.S. House Republicans will drop a proposed $20 federal annual registration fee on all vehicles starting in 2031 to fund road repairs and will now propose a new $250 annual fee on electric cars as part of a tax reform bill under consideration.

House Republicans are proposing placing fees on electric vehicles to fund Transportation Department programs as part of the tax reform bill up for consideration. This week, Rep. Sam Graves (R-Mo.), who leads the House Transportation and Infrastructure Committee,

U.S. House Republicans have proposed new fees on electric vehicles as a mechanism to collect revenue to repair federal roads and bridges. Owners of gas and diesel cars already pay a similar fee of $0.