Atlanta tri-weekly journal. [volume] (Atlanta, Ga.) 1920-19??, 1924-11-18
4 Magic" Road Builder

RECENT article in the Manufacturers
a Record describing North Cardinals
progress in highway construc ton re-
fers to the so-calIed magic tax by means
constructed without cost" to the people.
The North Carolina plan, involving a bond
issue, is urged as preferable to the so-called
"pas-as-you-go" method.
There is no denying that it appeals to the
Imagination to talk of getting something for
nothing as the suggestion of building high
ways without cost would seem to imply.
Then, too, the human mind is intrigued
usually by those things it doesn't readily
understand and certainly magic tax
would come within that category
AS matter of fact, however, there is
nothing mysterious in the North Carolina
plan of road construction. Her system
of highways has cost money. The gasoline
and license tag taxes underlie the
plan that is in vogue in that state for high
way construction The money raised by
these is applied to the retirement of the
highway bonds and to the payment of the
interest thereon.
1t is the contention of advocates of the
North Carolina plan that while the in
creased taxation apparently is saddled
upon the owners and operators of automo-
biles the fact is that the good roads in real
ity cost them nothing, because as the Char
lotte Observer points out: "The gasoline tax
is paid only by the automobile and
truck users, and these find that the con-
sumption of gasoline with good roads as
compared with bad roads, is so much lessen
ed that they are saving money by paying
the tax which brings this result They are
likewise saving on tires and repairs and on
the length Of the life of their cars. SO it is
argued that the automobile users are getting
splendid highways absolutely without cost to
themselves, and thus securing longer life for
their cars and tires, greater comfort for
themselves in travelling, and greater ability
to do business throughout the state The
conclusion is that they actually making
a profit by paying the gasoline tax"
Discussing the advantage of the North
Carolina plan over the so-called "pay-as-you-
so" system, this same newspaper says:
Talk about paying as you co. we have
an impressive example in the case of Virginia
and it's snail-like pace in building state high
ways. That state is building a section here
and a section there at the rate of SIS, O0O, 900
year-all the road fund that is available
1t has undertaken completion of an $SO,OOO,-
600 road system in seven years on the pay
as-you-go plan. Matters will have to drag
along in this manner until 1925, when the
Virginia Legislature will have a large sized
nut to crack. The state may by that time
feel more in the notion of adopting the
North Carolina system, system, by the way,
that is making constant ascent on the adver-
Using ladder
In connection with the diversion of the
gasoline and license tag taxes exclusively to
highway construction, it is pertinent to OBJ
serve that in Georgia this year the combined
revenue from these sources will approximate
$500 900, of which $3,4OO,O0O will be de-
rived from the gasoline tax and $2,600,0O0
from the sale of motor license tags. 1t is
p4eulCteu' moreover lhdI the revenue from
these sources probably will continue to
increase, from year to year, so that at no
remote date the total receipts from gasoline
and tags should amount to S10,O00,O00 an
nually.
As was the experience in North Carolina
it is undoubtedly true that improved high
ways do more to stimulate the use of auto
mobiles and motor trucks than any one
other agency. and if Georgia had as COM
plete a system of hard-surfaced roads as
North Carolina is it not to be doubted that
the tax returns from gasoline and license
tags would increase by leaps and bounds?