Reading Railroad Co. v. Pennsylvania , 82 U.S. (15 Wall.) 232 (1872), often known as the State Freight Tax Case , was a U.S. Supreme Court decision that ruled that the state of Pennsylvania violated the U.S. Constitution by imposing unjust taxes on interstate commerce .
107-720: The case was brought by Reading Railroad Co., which challenged Pennsylvania's Act of August 25, 1864 , also referred to as 'An act to provide additional revenue for the use of the Commonwealth'. The act was established to provide additional revenue for the Commonwealth of Pennsylvania after the American Civil War . It imposed systematic taxes on transportation companies, based on freight weight, for municipal purposes. All freight transported within Pennsylvania
214-551: A Commonwealth realm , has used the official style Commonwealth of The Bahamas since its independence in 1973. The small Caribbean republic of Dominica has used the official style Commonwealth of Dominica since 1978. Four states of the United States of America officially designate themselves as "commonwealths". All four were part of Great Britain's possessions along the Atlantic coast of North America prior to
321-507: A transportation demand management tool to try to reduce traffic congestion and air pollution . Toll roads have existed for at least the last 2,700 years, as tolls had to be paid by travellers using the Susa – Babylon highway under the regime of Ashurbanipal , who reigned in the seventh century BC. Aristotle and Pliny refer to tolls in Arabia and other parts of Asia. In India, before
428-491: A turnpike or tollway , is a public or private road for which a fee (or toll ) is assessed for passage. It is a form of road pricing typically implemented to help recoup the costs of road construction and maintenance . Toll roads have existed in some form since antiquity , with tolls levied on passing travelers on foot, wagon, or horseback; a practice that continued with the automobile, and many modern tollways charge fees for motor vehicles exclusively. The amount of
535-417: A 2-cent tax. For freight with hewn timber, animal food, agricultural products, and forest products, companies would pay a 3-cent tax. For all other products and freight not listed, companies would pay a 5-cent tax. The act also specifies that toll companies that charge other businesses for the use of their transportation lines could add the freight tax to their tolls if the freight had not already been taxed by
642-547: A Commonwealth, the republic, united with the former Kingdom of Scotland , operated under different institutions (at times as a de facto monarchy) and is known by historians as the Protectorate . In a British context, it is sometimes referred to as the "Old Commonwealth". In the later 20th century a socialist political party known as the Common Wealth Party was active. Previously a similarly named party,
749-555: A civilised divorce" between the Soviet Republics . The CIS has developed as a forum by which the member-states can co-operate in economics , defence , and foreign policy . Labour MP Tony Benn sponsored a Commonwealth of Britain Bill several times between 1991 and 2001, intended to abolish the monarchy and establish a British republic . It never reached second reading . Toll road A toll road , also known as
856-477: A financial burden on the state. The costs of rebuilding devastated battlefields and the economic losses from decreased wartime manufacturing created lasting challenges for Pennsylvania’s economy. On August 25, 1864, the Legislature of Pennsylvania passed 'An act to provide additional revenue for the use of the Commonwealth'. The act imposed a tax on all freight transported within the state of Pennsylvania and
963-602: A flat fee either when they enter or when they exit the toll road. In a variant of the closed toll system, mainline barriers are present at the two endpoints of the toll road, and each interchange has a ramp toll that is paid upon exit or entry. In this case, a motorist pays a flat fee at the ramp toll and another flat fee at the end of the toll road; no ticket is necessary. In addition, with most systems, motorists may pay tolls only with cash or change; debit and credit cards are not accepted. However, some toll roads may have travel plazas with ATMs so motorists can stop and withdraw cash for
1070-614: A freight transportation company. They carried coal from the mountains of Pennsylvania to Port Richmond outside of Philadelphia , Pennsylvania. They also carried coal to the Schuylkill Canal . Both destinations primarily exported the coal to other states. On October 25th, 1866, the accounting officers of Pennsylvania delivered a financial account to Reading Railroad Co. for a tax on their freight tonnage. This account accumulated charges over three consecutive quarters. The charges were as follows: Reading Railroad Co. refused to pay
1177-442: A specific infrastructure (e.g. roads, bridges). These concepts were widely used until the last century. However, the evolution in technology made it possible to implement road tolling policies based on different concepts. The different charging concepts are designed to suit different requirements regarding purpose of the charge, charging policy, the network to the charge, tariff class differentiation, et cetera: Some toll roads charge
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#17327733302661284-495: A strong federal government to regulate commerce and establish a Navy to ensure the economic prosperity of the nation. As European nations grew concerned about America's increased involvement in maritime trade, Hamilton warned that these nations may exploit individual states to monopolize the profits of their trade and limit their access to goods. Subsequently, Hamilton advocated for a unified approach to commerce that would implement consistent trade regulations across all states. This
1391-519: A tax of two cents per ton upon coal carried out of the State, may impose one of five dollars. Such an imposition, whether large or small, is a restraint of the privilege or right to have the subjects of commerce pass freely from one State to another without being obstructed by the intervention of State lines. The Court argued that permitting Pennsylvania to impose such a tax could result in an excessive amount of regulations that would hinder trade, undermining
1498-593: A term referring to the Roman state as a whole. The Commonwealth of England was the official name of the political unit ( de facto military rule in the name of parliamentary supremacy) that replaced the Kingdom of England (after the English Civil War ) from 1649 to 1653 and 1659 to 1660, under the rule of Oliver Cromwell and his son and successor Richard . From 1653 to 1659, although still legally known as
1605-604: A toll in only one direction. Examples include the Sydney Harbour Bridge , Sydney Harbour Tunnel , and Eastern Distributor (these all charge tolls city-bound) in Australia, in the United States, crossings between Pennsylvania and New Jersey operated by Delaware River Port Authority and crossings between New Jersey and New York operated by Port Authority of New York and New Jersey . This technique
1712-555: A toll payer's transponder or uses automatic number-plate recognition to charge drivers by debiting their accounts. Criticisms of toll roads include the time taken to stop and pay the toll, and the cost of the toll booth operators—up to about one-third of revenue in some cases. Automated toll-paying systems help minimise both of these. Others object to paying "twice" for the same road, namely in fuel taxes and in tolls. In addition to toll roads, toll bridges and toll tunnels are also used by public authorities to generate funds to repay
1819-458: Is a Republic (or Commonwealth) under the presidency of the King". The Commonwealth introduced a doctrine of religious tolerance called Warsaw Confederation , had its own parliament Sejm (although elections were restricted to nobility and elected kings , who were bound to certain contracts Pacta conventa from the beginning of the reign). "A commonwealth of good counsaile" was the title of
1926-653: Is a loose alliance or confederation consisting of nine of the 15 former Soviet Republics , the exceptions being Turkmenistan (a CIS associate member), Lithuania , Latvia , Estonia , Ukraine , and Georgia . Georgia left the CIS in August 2008 following the 2008 invasion of the Russian military into South Ossetia and Abkhazia . Its creation signalled the dissolution of the Soviet Union , its purpose being to "allow
2033-399: Is a traditional English term for a political community founded for the common good . The noun "commonwealth", meaning "public welfare, general good or advantage", dates from the 15th century. Originally a phrase (the common-wealth or the common wealth – echoed in the modern synonym "public wealth"), it comes from the old meaning of " wealth ", which is "well-being", and was deemed analogous to
2140-403: Is only the mode of ascertaining the extent of the business. That no discrimination is made between freight carried wholly within the State, and that brought into or carried through or out of it, sets this, as I think, in a clear light, and is conclusive on the subject. Swayne argued that the tax was imposed on businesses instead of freight weight, as tonnage was used as a measurement in determining
2247-603: Is practical where the detour to avoid the toll is large or the toll differences are small. Traditionally, tolls were paid by hand at a toll gate. Although payments may still be made in cash, it is more common now to pay using an electronic toll collection system. In some places, payment is made using transponders which are affixed to the windscreen. Three systems of toll roads exist: open (with mainline barrier toll plazas ); closed (with entry/exit tolls); and open road (no toll booths, only electronic toll collection gantries at entrances and exits or at strategic locations on
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#17327733302662354-564: Is the largest ETC system in the U.S., and is used for both fully tolled highways and tolled express lanes. Maryland Route 200 and the Triangle Expressway in North Carolina were the first toll roads built without toll booths, with drivers charged via ETC or by optical license plate recognition and are billed by mail. In addition, many older toll roads are also being upgraded to an all-electronic tolling system, abandoning
2461-586: The American Revolution . As such, they share a strong influence of English common law in some of their laws and institutions. The four are: Two organized but unincorporated U.S. territories are called commonwealths. The two are: In 2016, the Washington, D.C. city council also selected "Douglass Commonwealth" as the potential name of State of Washington, D.C. , following the 2016 statehood referendum , at least partially in order to retain
2568-552: The Bahamas , and Dominica – have the official title "Commonwealth", as do four U.S. states and two U.S. territories . Since the early 20th century, the term has been used to name some fraternal associations of states, most notably the Commonwealth of Nations , an organisation primarily of former territories of the British Empire . It is also used in the translation for the organisation made up of formerly Soviet states,
2675-869: The Commonwealth Land Party , was in existence. The period of Icelandic history from the establishment of the Althing in 930 to the pledge of fealty to the Norwegian king in 1262 is usually called the Icelandic Nation ( Icelandic : Þjóðveldið ) in Icelandic and the Icelandic Commonwealth in English. In this period Iceland was colonized by a public consisting largely of recent immigrants from Norway who had fled
2782-536: The Commonwealth of Independent States . Informally, by analogy to the Commonwealth of Nations, the French-influenced post-colonial Organisation internationale de la Francophonie is sometimes referred to in the English language as the "French Commonwealth", although the organisation itself never uses the term. Translations of Ancient Roman writers' works to English have on occasion translated " Res publica ", and variants thereof, to "the commonwealth",
2889-632: The Holy Roman Empire in the 14th and 15th centuries. After significant road construction undertaken by the West African kingdom of Dahomey , toll booths were also established with the function of collecting yearly taxes based on the goods carried by the people of Dahomey and their occupation. In some cases, officials imposed fines for public nuisance before allowing people to pass. Industrialisation in Europe needed major improvements to
2996-659: The Mississippi River occurred within twenty miles of a railroad. One of the most significant Civil War battles was the Battle of Gettysburg , which took place in Gettysburg, Pennsylvania . This battle not only resulted in the highest number of war casualties, but is also regarded as the turning point of the war in favor of the Union. Pennsylvania's railroads played a crucial role in supplying this battle, which placed
3103-416: The "closed motorway system" (km travelled) or through the "open motorway system" (flat-rate toll). Given the multiplicity of operators, the toll is only requested when exiting the motorway and not when the motorway operator changes. This system was made possible following article 14 of law 531 of 12 August 1982. From a technical point of view, however, the mixed barrier/free-flow system is active where, at
3210-677: The $ 46,520 portion of the tax because they believed Pennsylvania's Act of August 25, 1864 only had the authority to tax freight transported and delivered within Pennsylvania. They argued that the latter tax imposed unconstitutional regulations on interstate commerce. The case was first brought to the Court of Common Pleas in Dauphin County, Pennsylvania . The jury found that the goods were originally intended for export beyond Pennsylvania state lines and were instructed by Judge Pearson to rule in favor of Reading Railroad Co.. Judge Pearson's ruling
3317-568: The 1607 English translation of the work of Wawrzyniec Grzymała Goślicki "De optimo senatore" that presented to English readers many of the ideas present in the political system of the Polish–Lithuanian Commonwealth. Between 1914 and 1925, Catalonia was an autonomous region of Spain. Its government during that time was given the title mancomunidad ( Catalan : mancomunitat ), which is translated into English as "commonwealth". The Commonwealth of Catalonia had limited powers and
Reading Railroad Co. v. Pennsylvania - Misplaced Pages Continue
3424-474: The 19th century. Roads radiating from Toronto required users to pay at toll gates along the street ( Yonge Street , Bloor Street , Davenport Road , Kingston Road ) but the toll gates disappeared after 1895. In the eastern United States of the 18th and 19th century, hundreds of private turnpikes were created to facilitate travel between towns and cities, typically outside built-up areas. 19th-century plank roads were usually operated as toll roads. One of
3531-577: The BOT methodology for future highway projects. The more traditional means of managing toll roads in the United States is through semi-autonomous public authorities . Kansas , Maryland , Massachusetts , New Hampshire , New Jersey , New York , North Carolina , Ohio , Oklahoma , Pennsylvania , and West Virginia manage their toll roads in this manner. While most of the toll roads in California, Delaware, Florida, Texas, and Virginia are operating under
3638-609: The Dormant Commerce Clause, the Court believed that allowing Pennsylvania to tax freight could lead to burdensome restrictions on interstate commerce. The Court expressed its concerns about the impact of such taxes: And as there is no limit to the rate of taxation [Pennsylvania] may impose, if she can tax at all, it is obvious the condition may be made so onerous that an interchange of commodities with other States would be rendered impossible. The same power that may impose
3745-463: The Latin res publica . The term literally meant "common well-being". In the 17th century, the definition of "commonwealth" expanded from its original sense of " public welfare " or " commonweal " to mean "a state in which the supreme power is vested in the people; a republic or democratic state ". The term evolved to become a title to a number of political entities. Three countries – Australia ,
3852-703: The North aimed to preserve the union of the country, ultimately leading to the outbreak of war. The war lasted for approximately four years until the Confederacy surrendered. Pennsylvania played a crucial role in American industrialization before the Civil War. The state's rich deposits of coal, iron, and other raw materials were essential for powering machinery. Pennsylvania's foundries alone produced nearly 270,000 tons of iron in 1860, showcasing its significance to
3959-441: The North. To support the extensive manufacturing industry, the North required a railroad system to facilitate the transportation of raw materials, finished goods, and large machinery. During the Civil War, the Union took full advantage of its extensive railroad system. Union General William Tecumseh Sherman skillfully used these rail lines to deliver fresh supplies and soldiers to the battlefields. Notably, ever battle fought east of
4066-741: The South to the North. The road connects the southwest of the city, including the Sea Port area, with the Ring Road, Vasilievsky Island, Kurortny district and the Scandinavia motorway. The WHSD is divided into three sections: Southern, Central and Northern. The entire stretch of the WHSD was opened for traffic in 2016. There are 16 toll plazas on the WHSD. Paying toll by transponder is mostly recommended for frequent drivers. The Flow+ toll collection system
4173-500: The Supreme Court concluded that the state was overstepping its authority, as the tax was imposed on freight rather than the transportation services themselves. Justice Noah H. Swayne dissented from the Court's decision. Swayne interpreted that the tax was levied on businesses instead of freight: I dissent from the opinion just read. In my judgment, the tax is imposed upon the business of those required to pay it. The tonnage
4280-493: The Supreme Court issued a decision in favor of Reading Railroad Co., declaring Pennsylvania's Act of August 25, 1864 unconstitutional for imposing a tax on freight. Justice William Strong authored the majority opinion of the Court. In reaching the decision, the Court applied the Dormant Commerce Clause, interpreted by the Commerce Clause of the U.S. Constitution. Strong stated: [The decision] calls upon us to trace
4387-514: The U.S Constitution’s intent to create a unified economic system. It expressed concerns that this tax could disrupt market competition by disadvantaging out-of-state businesses. In line with the established principle in Cooley v. Board of Wardens , that states cannot directly tax interstate commerce, the Court ultimately declared the tax unconstitutional to protect the integrity of commercial activities crossing state lines. The Court also accounted for
Reading Railroad Co. v. Pennsylvania - Misplaced Pages Continue
4494-464: The U.S. saw large road building projects in major urban areas. Electronic toll collection, first introduced in the 1980s, reduces operating costs by removing toll collectors from roads. Tolled express lanes, by which certain lanes of a freeway are designated "toll only", increases revenue by allowing a free-to-use highway to collect revenue by allowing drivers to bypass traffic jams by paying a toll. The E-ZPass system, compatible with many state systems,
4601-601: The aid of concessions, allowing rapid development of this infrastructure without massive state debts. Since then, road tolls have been introduced in the majority of the EU member states. In the United States, prior to the introduction of the Interstate Highway System and the large federal grants supplied to states to build it, many states constructed their first freeways by floating bonds backed by toll revenues. The first major fully grade separated toll road
4708-519: The amount of business being done. He further argued that the tax was enforced uniformly as the price per ton did not differentiate between freight transported locally and freight transported across state lines. The concept of U.S. commerce was first discussed in The Federalist Papers , a collection of documents written to promote the ratification of the U.S. Constitution. Alexander Hamilton authored Federalist No. 11 , which argued for
4815-497: The beltways around some larger cities ( tangenziali ) which are not part of a thoroughfare motorway, and the Autostrada A2 between Salerno and Reggio di Calabria which is operated by the government-owned ANAS . Both are toll free. On Italian motorways, the toll applies to almost all motorways not managed by Anas . The collection of motorway tolls, from a tariff point of view, is managed mainly in two ways: either through
4922-708: The brand I-Pass in Illinois ) is accepted on almost all toll roads. Similar systems include SunPass in Florida , FasTrak in California , Good to Go in Washington state , and ExpressToll in Colorado . The systems use a small radio transponder mounted in or on a customer's vehicle to deduct toll fares from a pre-paid account as the vehicle passes through the toll barrier. This reduces manpower at toll booths and increases traffic flow and fuel efficiency by reducing
5029-461: The centre of the city tolled. In the United States, as states looked for ways to construct new freeways without federal funding again, to raise revenue for continued road maintenance, and to control congestion, new toll road construction saw significant increases during the first two decades of the 21st century. Spurred on by two innovations, the electronic toll collection system, and the advent of high-occupancy and express lane tolls , many areas of
5136-403: The cost of building the structures. Some tolls are set aside to pay for future maintenance or enhancement of infrastructure, or are applied as a general fund by local governments, not being earmarked for transport facilities. This is sometimes limited or prohibited by central government legislation. Also, road congestion pricing schemes have been implemented in a limited number of urban areas as
5243-416: The dissent argues the facial neutrality of the tax, claiming that the tax was not discriminatory nor marginally unequal. Text of Reading Railroad Co. v. Pennsylvania 82 U.S. (15 Wall. ) 232 (1872) is available from: Cornell Findlaw Google Scholar Justia Library of Congress Commonwealth A commonwealth
5350-410: The distance travelled. Motorway barriers are arranged along the route (however not at every junction), at which the user pays a fixed sum, depending only on the class of the vehicle. The user can therefore travel along sections of the motorway without paying any toll as the barriers may not be present on the section travelled. Road tolls were levied traditionally for a specific access (e.g. city) or for
5457-482: The economic and social divide between the regions, particularly around the debate over free-market labor versus slave labor. Following the presidential election of unionist, Abraham Lincoln , southern leaders feared the abolition of slavery and tensions heightened. The South then formed the Confederate States of America , in attempt to secede from the other states. While the South sought independence,
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#17327733302665564-406: The entrance and exit from the motorways, there are lanes dedicated to the collection of a ticket (on entry) and the delivery of the ticket with simultaneous payment (on exit) and other lanes where, during transit without the need to stop, an electronic toll system present in the vehicles records the data and debits the toll, generally into the bank account previously communicated by the customer, to
5671-600: The establishment of the Interstate Highway System in the late 1950s, toll road construction in the U.S. slowed down considerably, as the federal government now provided the bulk of funding to construct new freeways, and regulations required that such Interstate highways be free from tolls. Many older toll roads were added to the Interstate System under a grandfather clause that allowed tolls to continue to be collected on toll roads that predated
5778-642: The event includes the first quarter collected at its toll booths. The first major deployment of an RFID electronic toll collection system in the United States was on the Dallas North Tollway in 1989 by Amtech (see TollTag ). The Amtech RFID technology used on the Dallas North Tollway was originally developed at Sandia Labs for use in tagging and tracking livestock. In the same year, the Telepass active transponder RFID system
5885-419: The fact that the state did not own its transportation infrastructure, as misinterpreted by the Supreme Court of Pennsylvania. It noted that the tax did not serve as compensation for using state-owned infrastructure, as Pennsylvania did not own its railroads or canals. The Court distinguished between a tax and a toll, as a tax is a sovereign demand and a toll is a fee for services or infrastructure. Ultimately,
5992-418: The federation. Australia operates under a federal system, in which power is divided between the federal (national) government and the state governments (the successors of the six colonies). So, in an Australian context, the term "Commonwealth" (capitalised), which is often abbreviated to Cth, refers to the federal government , and "Commonwealth of Australia" is the official name of the country. The Bahamas ,
6099-549: The first US motor roads, the Long Island Motor Parkway (which opened on October 10, 1908) was built by William Kissam Vanderbilt II, the great-grandson of Cornelius Vanderbilt . The road was closed in 1938 when it was taken over by the state of New York in lieu of back taxes. The first toll road in St. Petersburg appeared in the 2000s. The Western High-Speed Diameter (WHSD) is a multilane motorway running from
6206-437: The first authorization to build a public-utility fast road in 1921, and completed the construction (one lane in each direction) between 1924 and 1926. Piero Puricelli decided to cover the expenses by introducing a toll. It was followed by Greece, which made users pay for the network of motorways around and between its cities in 1927. Later in the 1950s and 1960s, France, Spain, and Portugal started to build motorways largely with
6313-473: The first time the original Latin term res publica in the context of Poland in his "Chronicles of the Kings and Princes of Poland". The name was used officially for the confederal union formed by Poland and Lithuania (1569–1795). It is also often referred as " Nobles' Commonwealth " (1505–1795, i.e., before the union). In the contemporary political doctrine of the Polish–Lithuanian Commonwealth, "our state
6420-615: The fourth century BC, the Arthashastra notes the use of tolls. Germanic tribes charged tolls to travellers across mountain passes . Most roads were not freely open to travel on in Europe during the Middle Ages, and the toll was one of many feudal fees paid for rights of usage in everyday life. Some major European "highways", such as the Via Regia and Via Imperii , offered protection to travelers in exchange for paying
6527-467: The highway the first all-automated toll highway in the world. A bill is mailed monthly for usage of the 407. Lower charges are levied on frequent 407 users who carry electronic transponders in their vehicles. The approach has not been without controversy: In 2003 the 407 ETR settled a class action with a refund to users. Throughout most of the East Coast of the United States, E-ZPass (operated under
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#17327733302666634-405: The highway. In some cases, the ticket displays the toll to be paid on exit. Upon exit, the driver must pay the amount listed for the given exit. Should the ticket be lost, a driver must typically pay the maximum amount possible for travel on that highway. Short toll roads with no intermediate entries or exits may have only one toll plaza at one end, with motorists travelling in either direction paying
6741-806: The hybrid systems they adopted during the late 20th century. These include the Massachusetts Turnpike , one of the oldest American toll roads, which went all-electronic in 2016, and the Pennsylvania Turnpike , America's oldest toll freeway, which went all-electronic in 2020, along with the Illinois Tollway , which both accelerated their transitions to such due to the COVID-19 pandemic . Turnpike trusts were established in England and Wales from about 1706 in response to
6848-591: The initials "D.C." as the state's abbreviation. The Commonwealth of Nations —formerly the British Commonwealth—is a voluntary association of 56 independent sovereign states, most of which were once part of the British Empire . The Commonwealth's membership includes both republics and monarchies. The Head of the Commonwealth is King Charles III , who also reigns as monarch directly in the 15 member states known as Commonwealth realms since his accession in 2022. The Commonwealth of Independent States (CIS)
6955-414: The laws thereof, shall make returns of freight and pay for the freight carried over, through, and upon that portion of their lines within this State, as if the whole of their respective lines were in this State. The act indicates that the tax is not intended to be a burden on the franchise of transportation companies or their property. Instead, it is specifically imposed on the freight itself. This means that
7062-517: The line, always difficult to be traced, between the limits of State sovereignty in imposing taxation, and the power and duty of the Federal government to protect and regulate interstate commerce. While, upon the one hand, it is of the utmost importance that the States should possess the power to raise revenue for all the purposes of a State government, by any means, and in any manner not inconsistent with
7169-400: The mainline toll plazas (toll barriers). It is also possible for motorists to enter an 'open toll road' after one toll barrier and exit before the next one, thus travelling on the toll road toll-free. Most open toll roads have ramp tolls or partial access junctions to prevent this practice, known in the U.S. as " shunpiking ". With a closed toll system, vehicles collect a ticket when entering
7276-523: The maintenance and improvement of most of the main roads in England and Wales, which were used to distribute agricultural and industrial goods economically. The tolls were a source of revenue for road building and maintenance, paid for by road users and not from general taxation. The turnpike trusts were gradually abolished from the 1870s. Most trusts improved existing roads, but some new roads, usually only short stretches, were also built. Thomas Telford 's Holyhead road followed Watling Street from London but
7383-461: The manager of his device. In Italy, this occurs through the Autostrade per l'Italia interchange system. The Autostrada A36 , Autostrada A59 and Autostrada A60 are exclusively free-flow. On these motorways, those who do not have the electronic toll device on board must proceed with the payment by subsequently communicating the data to the motorway manager (by telephone, online or by going to
7490-409: The median of the road). Some toll roads use a combination of the three systems. On an open toll system, all vehicles stop at various locations along the highway to pay a toll. (This is different from "open road tolling", where no vehicles stop to pay a toll.) While this may save money from the lack of need to construct toll booths at every exit, it can cause traffic congestion while traffic queues at
7597-423: The motorways subject to toll payment must only proceed at a maximum speed of 30 kilometres per hour (20 mph) without the need to stop. The amount is directly proportional to the distance travelled by the vehicle, the coefficient of its class and a variable coefficient from motorway to motorway, called the kilometre rate. Unlike the closed motorway system, in the open system, the road user does not pay based on
7704-549: The need for better roads than the few and poorly-maintained tracks then available. Turnpike trusts were set up by individual Acts of Parliament , with powers to collect road tolls to repay loans for building, improving, and maintaining the principal roads in Britain . At their peak, in the 1830s, over 1,000 trusts administered around 30,000 miles (48,000 km) of turnpike road in England and Wales, taking tolls at almost 8,000 toll-gates. The trusts were ultimately responsible for
7811-409: The need for complete stops to pay tolls at these locations. By designing a toll gate specifically for electronic collection, it is possible to carry out open-road tolling, where the customer does not need to slow at all when passing through the toll gate. The U.S. state of Texas is using a system that has no toll booths. Drivers without a TollTag have their license plate photographed automatically and
7918-699: The northeastern United States, the InterCounty Connector ( Maryland Route 200 ) was partially opened to traffic in February 2011, and the final segment was completed in November 2014. The first section of another all-electronic toll road, the Triangle Expressway , opened at the beginning of 2012 in North Carolina. Some toll roads are managed under such systems as the Build-Operate-Transfer (BOT) system. Private companies build
8025-551: The northern Union states and the southern Confederate states. Following the onset of the Industrial Revolution, the North's economy became powered by industrialization, focusing on large-scale manufacturing. Meanwhile, the South's economy relied on agriculture, particularly the production of cotton and tobacco. Southern state governments established slavery to support large-scale farming, which discouraged any push toward industrial development. This system deepened
8132-399: The offices dedicated to payment). The closed motorway system is applied to most Italian motorways. It requires the driver of the vehicle to collect a special ticket at the entrance to the motorway and pay the amount due upon exit. If equipped with an electronic toll system the two procedures are completely automatic and the driver on the detection lanes located at the entrances and exits from
8239-507: The original interstate system funding. Houston's outer beltway of interconnected toll roads began in 1983, and many states followed over the last two decades of the 20th century adding new toll roads, including the tollway system around Orlando, Florida , Colorado's E-470 , and Georgia State Route 400 . London, in an effort to reduce traffic within the city, instituted the London congestion charge in 2003, effectively making all roads within
8346-486: The plaintiff argued that Pennsylvania's Act of August 25, 1864, placed them at a competitive disadvantage because local businesses were not subjected to the same tax burden. The Supreme Court found that the tax could create distortions in the market, leading to inefficient resource allocation if Reading Railroad Co. was no longer able to operate to the best of its ability. The decision aimed to promote an environment more conducive to Pareto efficiency across state lines. However,
8453-520: The point in a competitive market in which all markets are in equilibrium and resources are allocated so that it is impossible to make one party better off without making another party worse off. In the context of commerce, any interference can disrupt the perfectly competitive market by changing the optimal resource allocation. State taxes pose prominent challenges to the free market as taxes on goods between local and out-of-state businesses can be marginally unequal. In Reading Railroad Co. v. Pennsylvania,
8560-571: The powers which the people of the States have conferred upon the General Government, it is equally important that the domain of the latter should be preserved free from invasion, and that no State legislation should be sustained which defeats the avowed purposes of the Federal Constitution, or which assumes to regulate, or control subjects committed by that Constitution exclusively to the regulation of Congress. By applying
8667-576: The registered owner will receive a monthly bill, at a higher rate than those vehicles with TollTags. A similar variation of automatic collection is the Toll Roads in Orange County, CA, US, wherein all entry or collection points are equipped with high-speed cameras which read license plates and users will have 7 calendar days to pay online using their plate number or else set up an account for automatic debits. The first all-electronic toll road in
8774-647: The roads and are given a limited franchise. Ownership is transferred to the government when the franchise expires. This type of arrangement is prevalent in Australia, Canada, Hong Kong, Indonesia, India, South Korea, Japan, and the Philippines . The BOT system is a fairly new concept that is becoming more popular in the United States, with California , Delaware , Florida , Illinois , Indiana , Mississippi , Texas , and Virginia already building and operating toll roads under this scheme. Pennsylvania , Massachusetts , New Jersey , and Tennessee are also considering
8881-528: The royal toll. Many modern European roads were originally constructed as toll roads in order to recoup the costs of construction and maintenance, and to generate revenue from passing travelers. In 14th-century England, some of the most heavily used roads were repaired with money raised from tolls by pavage grants. Widespread toll roads sometimes restricted traffic so much, by their high tolls, that they interfered with trade and cheap transportation needed to alleviate local famines or shortages. Tolls were used in
8988-517: The six Australian crown colonies at the 1891 constitutional convention in Sydney . Its adoption was initially controversial, as it was associated by some with the republicanism of Oliver Cromwell ( see above ), but it was retained in all subsequent drafts of the constitution. The term was finally incorporated into law in the Commonwealth of Australia Constitution Act 1900 , which established
9095-589: The state law should prevail, leaving any correction of errors to the federal judiciary . The Chief Justice of the Supreme Court of Pennsylvania found that the state's tax did not infringe on interstate commerce and was not discriminatory. His arguments were as follows: The Chief Justice agreed that imposing unfair taxes on specific groups would be discriminatory and could harm trade. However, he emphasized that this did not apply to businesses and individuals using infrastructure like railways, canals, and roads without paying taxes, as they benefited from these resources. It
9202-399: The state. The regulations were as follows: Where the same freight shall be carried over and upon different but continuous lines, said freight shall be chargeable with tax as if it had been carried but upon one line, and the whole tax shall be paid by such one of said companies as the State treasurer may select and notify thereof . Corporations whose lines of improvements are used by others for
9309-426: The state. This increases the overall tax liabilities for these companies, particularly because they often handle larger freight volumes. They are also more likely to switch lines and use tolls if they don't have well-established property in the state. Pennsylvania's manufacturing industry relied on railroads for the transportation of coal. Notably, Reading Railroad Co. did not carry goods of its own because it served as
9416-569: The system. Some of these such as the Connecticut Turnpike and the Richmond–Petersburg Turnpike later removed their tolls when the initial bonds were paid off. Many states, however, have maintained the tolling of these roads as a consistent source of revenue. As the Interstate Highway System approached completion during the 1980s, states began constructing toll roads again to provide new freeways which were not part of
9523-412: The tax amount remains constant, regardless of the distance the freight travels. This structure implies that companies operating on connected lines can transport freight without incurring a great tax liability. The act further indicates that companies that operate across state lines and transport freight through Pennsylvania must report and pay taxes on the freight as if their entire operations are based in
9630-727: The tax violated the Commerce Clause , found in Article 1, Section 8, Clause 3 of U.S. Constitution, which grants Congress the power to regulate commerce between states and foreign nations to promote free trade. The decision specifically connects to the Dormant Commerce Clause , as Congress can prohibit states from enacting laws that discriminate against or unduly burden interstate commerce, regardless of prior federal legislation . The American Civil War, fought between 1861 and 1865, stemmed from growing tensions between
9737-545: The toll usually varies by vehicle type, weight, or number of axles , with freight trucks often charged higher rates than cars. Tolls are often collected at toll plazas, toll booths , toll houses , toll stations, toll bars, toll barriers, or toll gates. Some toll collection points are automatic, and the user deposits money in a machine which opens the gate once the correct toll has been paid. To cut costs and minimise time delay, many tolls are collected with electronic toll collection equipment which automatically communicates with
9844-668: The tolls. The toll is calculated by the distance travelled on the toll road or the specific exit chosen. In the United States, for instance, the Kansas Turnpike , Ohio Turnpike , New Jersey Turnpike , most of the Indiana Toll Road , New York State Thruway , and Florida's Turnpike currently implement closed systems. The Union Toll Plaza on the Garden State Parkway was the first ever to use an automated toll collection machine. A plaque commemorating
9951-482: The transport infrastructure which included many new or substantially improved roads, financed from tolls. The A5 road in Britain was built to provide a robust transport link between Britain and Ireland and had a toll house every few miles. In the 20th century, road tolls were introduced in Europe to finance the construction of motorway networks and specific transport infrastructure such as bridges and tunnels. Italy
10058-586: The transportation of freight, and whose only earnings arise from tolls charged for such use, are authorized to add the tax hereby imposed to said tolls and collect the same therewith , but in no case shall tax be twice charged on the same freight carried on or over the same line of improvements: Provided , That every company now or hereafter incorporated by this Commonwealth, whose line extends into any other State, and every corporation, company, or individual of any other State, holding and enjoying any franchises, property, or privileges whatever in this State, by virtue of
10165-696: The unification of that country under King Harald Fairhair . The Commonwealth of the Philippines was the administrative body that governed the Philippines from 1935 to 1946, aside from a period of exile in the Second World War from 1942 to 1945 when Japan occupied the country . It replaced the Insular Government , a United States territorial government, and was established by the Tydings–McDuffie Act . The Commonwealth
10272-535: Was argued that who share these infrastructures should share the costs of its usage and maintenance. Ultimately, the Supreme Court of Pennsylvania ruled that the Commonwealth of Pennsylvania had the legislative power to impose taxes to upkeep its infrastructure. Reading Railroad Co. appealed to the U.S. Supreme Court after losing in the Pennsylvania Supreme Court. During the December 1872 term,
10379-582: Was consistent with his rulings in previous cases and he believed that such rulings were not argued in higher courts. He also noted that then Attorney-General of Pennsylvania, W.M. Meredith, agreed with his decision. Despite Judge Pearson's ruling, a writ of error was filed to the Supreme Court of Pennsylvania by the Commonwealth of Pennsylvania. They argued that the jury had been misled into ruling in favor of Reading Railroad Co. The Court of Common Pleas acknowledged that in cases of doubt, they believed
10486-550: Was designed as a transitional administration in preparation for the country's full achievement of independence, which was achieved in 1946. The Commonwealth of the Philippines was a founding member of the United Nations . Republic is still an alternative translation of the traditional name Rzeczpospolita of the Polish–Lithuanian Commonwealth . Wincenty Kadłubek (Vincent Kadlubo, 1160–1223) used for
10593-809: Was exceptional in creating a largely new route beyond Shrewsbury , and especially beyond Llangollen . Built in the early 19th century, with many toll booths along its length, most of it is now the A5 . In the modern day, one major toll road is the M6 Toll , relieving traffic congestion on the M6 in Birmingham. A few notable bridges and tunnels continue as toll roads including the Dartford Crossing and Mersey Gateway bridge. Some cities in Canada had toll roads in
10700-414: Was formed as a federation of the four Catalan provinces. A number of Catalan-language institutions were created during its existence. Between 1838 and 1847, Liberia was officially known as the "Commonwealth of Liberia". It changed its name to the "Republic of Liberia" when it declared independence (and adopted a new constitution) in 1847. "Commonwealth" was first proposed as a term for a federation of
10807-451: Was implemented on the WHSD. The system was designed for automatic calculation of the driving distance of a vehicle equipped with a transponder. The system does not require constructing toll plazas at each entrance to or exit from the highway. Transponders mounted on vehicles are read by signal receivers installed at the entrance and exit ramps. In Italy the only toll roads are the autostrade (Italian for motorways ). Major exceptions are
10914-492: Was included in a plan to raise revenue for the Commonwealth after the Civil War. The companies affected by this tax included railroad, steamboat, canal, and slackwater navigation companies. These companies were specifically taxed because they were involved in the state's main industry. The companies would receive a tax that varied in price depending on the weight and product type of their freight. For every ton of freight carried by mines, quarries, and clay beds, companies would pay
11021-442: Was intended to create a situation where foreign nations would compete against each other to gain access to American markets, ultimately establishing a free market. Economic theories have emerged around the principles of the free market. The free market aims to enhance consumer opportunities by allowing unrestricted trade, offering consumers the widest possible range of goods and services. In this system, Pareto efficiency illustrates
11128-416: Was introduced across Italy. Several US states now use mobile tolling platforms to facilitate use of payment via smartphones. Highway 407 in the province of Ontario , Canada, has no toll booths, and instead reads a transponder mounted on the windshields of each vehicle using the road (the rear licence plates of vehicles lacking a transponder are photographed when they enter and exit the highway). This made
11235-425: Was subject to this tax. Reading Railroad Co. argued that the tax burdened its ability to operate within the state of Pennsylvania, and thus interfered with interstate commerce. They contended that railroad companies operating across state lines were discriminated against by being taxed heavier than local businesses for goods transported through Pennsylvania but delivered to other states. The Supreme Court ruled that
11342-788: Was the Pennsylvania Turnpike in 1940. This was followed up by other toll roads, such as the Maine Turnpike in 1947, the Blue Star Turnpike in 1950, the New Jersey Turnpike in 1951, the Garden State Parkway in 1952, the West Virginia Turnpike and New York State Thruway in 1954, the Massachusetts Turnpike in 1957, and the Chicago Skyway and Indiana Toll Road in 1958. Other toll roads were also established around this time. With
11449-490: Was the first country in the world to build motorways reserved for fast traffic and for motor vehicles only. The Autostrada dei Laghi ("Lakes Motorway"), the first built in the world, connecting Milan to Lake Como and Lake Maggiore , and now parts of the Autostrada A8 and Autostrada A9 , was devised by Piero Puricelli and was inaugurated in 1924. Piero Puricelli, a civil engineer and entrepreneur, received
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