Federal legislation to cap carbon emissions in an attempt to arrest climate change would compel American governments to purchase carbon allowances for their own activities, CNS News reports. That would result in yet another cost to taxpayers:

John Stephenson, director of natural resources and environment for the GAO, in written testimony for an Aug. 4 Senate Finance Committee hearing, said that state, local, and federal governments would be financially liable if cap-and-trade is imposed.

Stephenson testified about the GAO’s assessment of how emission-allowances and revenues produced by a cap-and-trade measure should be allocated.

“According to one study, governments produce approximately 13 percent of U.S. carbon dioxide emissions, and the allowance consumption associated with these emissions could cost governments an additional $16.6 billion,” Stephenson said.

Brian Johnson, federal affairs manager for Americans for Tax Reform (ATR), a free market policy group, explained that state governments may have to raise their tax rates to buy carbon permits.