A user fee is a fee, tax, or impost payment paid to a facility owner or operator by a facility user as a
necessary condition for using the facility.
People pay user fees for the use of many
public services and facilities. At the
federal level in the
United States
The United States of America (USA), also known as the United States (U.S.) or America, is a country primarily located in North America. It is a federal republic of 50 U.S. state, states and a federal capital district, Washington, D.C. The 48 ...
, there is a charge for walking to the top of the
Statue of Liberty
The Statue of Liberty (''Liberty Enlightening the World''; ) is a colossal neoclassical sculpture on Liberty Island in New York Harbor, within New York City. The copper-clad statue, a gift to the United States from the people of French Thir ...
, to drive into many
national parks
A national park is a nature park designated for conservation (ethic), conservation purposes because of unparalleled national natural, historic, or cultural significance. It is an area of natural, semi-natural, or developed land that is protecte ...
, and to use particular services of the
Library of Congress
The Library of Congress (LOC) is a research library in Washington, D.C., serving as the library and research service for the United States Congress and the ''de facto'' national library of the United States. It also administers Copyright law o ...
.
States may charge
tolls for driving on
highway
A highway is any public or private road or other public way on land. It includes not just major roads, but also other public roads and rights of way. In the United States, it is also used as an equivalent term to controlled-access highway, or ...
s or impose a fee on those who camp in
state park
State parks are parks or other protected areas managed at the sub-national level within those nations which use "Federated state, state" as a political subdivision. State parks are typically established by a state to preserve a location on accou ...
s. Communities usually have entrance fees for public
swimming pools and meters for parking on local streets as well as perhaps even parking spaces at public beaches, dump stickers and
postage stamps. In the United States, the
Highway Trust Fund is supported by per-gallon taxes on fuel, acting as a user fee where those who drive more (and thus use more fuel) pay proportionally more for transportation infrastructure. State fuel taxes have a similar user-fee model, including pilot programs that shift from a per-gallon fee to one based upon distance.
In
international development
International development or global development is a broad concept denoting the idea that societies and countries have differing levels of economic development, economic or human development (economics), human development on an international sca ...
, user fees refer to a system fee for basic health care, education, or other services implemented by a
developing country
A developing country is a sovereign state with a less-developed industrial base and a lower Human Development Index (HDI) relative to developed countries. However, this definition is not universally agreed upon. There is also no clear agreeme ...
to make up for the costs of these services.
The
International Monetary Fund
The International Monetary Fund (IMF) is a major financial agency of the United Nations, and an international financial institution funded by 191 member countries, with headquarters in Washington, D.C. It is regarded as the global lender of las ...
often recommends that nations start charging fees for these services in order to reduce their
budget deficits. This position is more and more challenged by many people who claim that user fees hurt the poorest the most. Some even argue that they should be free at the point of use.
[Gordon Brown: The next global cause: free education for all]
The Independent
/ref>
The alternative to funding facilities and services with user fees is to fund them with broad-based taxes on income
Income is the consumption and saving opportunity gained by an entity within a specified timeframe, which is generally expressed in monetary terms. Income is difficult to define conceptually and the definition may be different across fields. F ...
, sales
Sales are activities related to selling or the number of goods sold in a given targeted time period. The delivery of a service for a cost is also considered a sale. A period during which goods are sold for a reduced price may also be referred ...
, or property
Property is a system of rights that gives people legal control of valuable things, and also refers to the valuable things themselves. Depending on the nature of the property, an owner of property may have the right to consume, alter, share, re ...
. Unlike user fees, taxes are paid by a much larger percentage of the population, including those who don't necessarily use or benefit from a specific facility or service.
References
{{DEFAULTSORT:User Fees
Taxation in the United States
International development
Payments
Fees