Principles of Federal Appropriations Law - US Government ...

Chapter 4
Availability of Appropriations: Purpose
(3) Tolls
State and local authorities frequently charge tolls for the use of stateowned
highways, bridges, or tunnels. “A tax is a demand of sovereignty; a
toll, a demand of proprietorship.” In re State Freight Tax, 82 U.S. (15 Wall.)
232, 278 (1872). Thus, it has long been established that a toll is not a tax,
but is a charge for the use of the road, bridge, or tunnel. Sands v. Manistee
River Improvement Co., 123 U.S. 288, 294 (1887). Because tolls do not raise
questions of federal tax immunity, they are properly payable where
necessarily incurred in the performance of official business. 9 Comp.
Gen. 41, 42 (1929); 4 Comp. Gen. 366 (1924); 24 Comp. Dec. 45 (1917).
Statutory authority now exists for the reimbursement of tolls incurred by
government employees on official travel. 5 U.S.C. § 5704(d); 35 Comp.
Gen. 92 (1955).
GAO has also held that appropriated funds may be used to purchase annual
toll road permits where justified by anticipated usage. 191 Similarly, if an
employee who frequently uses a toll road on official business purchases an
annual permit for his or her own automobile, the agency may reimburse the
toll charges that would otherwise have been incurred, on a per trip basis,
not to exceed the cost of the annual permit. 34 Comp. Gen. 556 (1955).
Some of the early decisions held that a toll could not be paid if the
particular highway, bridge, or tunnel was constructed with the aid of
federal funds. 9 Comp. Gen. at 42; 24 Comp. Dec. at 48. The statement in
24 Comp. Dec. was based on legislation that authorized federal financial
assistance but also prohibited the charging of “tolls of all kinds.” Id. at 47.
The Federal-Aid Highway Act includes an almost identical prohibition
(23 U.S.C. § 301), but also authorizes tolls in certain circumstances
(23 U.S.C. § 129). The editors have found no discussion of this issue under
the modern legislation, nor have we found any guidance as to how, apart
from the interstate highway system, a federal employee would know which
roads were constructed with aid. Regardless, it would seem prudent to
apply the concept of 52 Comp. Gen. 83 (1972), discussed above under
parking taxes, in conjunction with the reimbursement authority of 5 U.S.C.
§ 5704.
191 These purchases do not violate the statutory prohibition on advance payments because,
GAO reasoned, the government did not make an advance payment but rather purchased a
present right to use the thoroughfare in the future. 36 Comp. Gen. 829 (1957).
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