What Happens To States When the Highway Trust Fund Runs Dry? Florida Weighs In
May 18th, 2014 | By: Infrastructure Report Card
Depletion of the Federal Highway Trust Fund- What Could it Mean for Florida? An Exclusive Interview with FDOT State Secretary Prasad by Steve Lubinski, PE, CWI, LEED-AP Miami-Dade ASCE conducted an exclusive interview on May 6, 2014 with Florida’s Secretary of Transportation and head of FDOT, Ananth Prasad. The Federal Highway Trust Fund (funded by the Federal Gas Tax) provides 30% of Florida Department of Transportation’s funding, but the fund is in danger of becoming insolvent in 3 months or less according to the Congressional Budget Office estimates. Capitol Hill gridlock could make insolvency a reality if they don’t act (as shown in the chart below from USDOT).
MD-ASCE: Miami-Dade ASCE thanks you for this opportunity. Can you discuss the magnitude of the problem with the Federal Highway Trust Fund?
AP: As you know it’s a problem. The Federal Highway Trust Fund will run out of money in July or August, so Congress will have to find a way to keep it solvent and come up with around $9 Billion. But then the bigger picture going forward is that the receipts coming into the Federal Highway Trust Fund are actually less than the outlays are for project commitments. With all of the projects from state Departments of Transportation the current shortfall would be around $15 Billion next year. First Congress will have to get $9 Billion for the Federal Highway Trust Fund to be solvent for the remainder of this federal fiscal year, and then going beyond, we need to either extend MAP 21 at the current funding level plus add an additional infusion of $15 Billion+ until a more permanent solution is arrived at by having higher revenues to support the program or reduce the program to the level of the revenue.
MD-ASCE: A big reason why the Highway Trust Fund revenues are not keeping pace with our needs is that cars have become much more efficient than 20 years ago. Are there other causes?
AP: Yes. The other issue is that the Federal Highway Gas Tax has not been raised since 1993 or indexed to inflation. When you look at the cars you drove in the mid 1990s, the car that you drive today is more fuel efficient. Also, what a dollar could buy in 1993 is not what a dollar can buy in 2014. So you have two things going against you, the first thing is the purchasing power of the gas tax which hasn’t changed since 1993 (inflation), and the second is your fuel efficiency. Hence we have this crisis that is getting more acute lately because of better fuel efficiency standards.
MD-ASCE: Has FDOT received any correspondence from USDOT about the possible insolvency?
AP: No. However, USDOT Secretary Foxx has made some comments in general briefings with us during federal highway and USDOT national meetings, but no formal correspondence sent out, nor any correspondence about the possibility of slowing down reimbursements to the states. With this federal program, we have to spend money, then seek reimbursement from them (USDOT).
MD-ASCE: Has FDOT begun working on any contingency plans on what to do if the Federal Highway Trust Fund does become insolvent in July or August?
AP: Our contingency plan is that we are only dependent on federal funds to the tune of about 30% of our programs. So, unlike other states as shown in a newspaper article, we are one of the few states that do not have to rely as heavily on federal funds. So what we’ve been doing is carrying a higher balance in our trust fund so that if we don’t get reimbursed (by the federal government) timely, then we can still continue to pay our bills to contractors. I would say that since Florida only relies on the federal government for 30%, and Florida revenues are a little robust, so we carry a higher balance in our Florida trust fund. I think we could survive an insolvent Federal Highway Trust Fund for 3-6 months without any negative impact, but beyond that you’re going to have a tangible impact that you can’t avoid.
MD-ASCE: What do you think will happen in Washington D.C. after July or August?
AP: Beyond July or August there is a big election coming up nationally so I’m cautiously optimistic that they will put more money in to make the fund solvent until next year, then after the fall elections are done the Congress would likely begin debating a much more robust highway bill and how to fund it. Policy frameworks are easy, but the bigger issue is how do you get funding?
MD-ASCE: Has FDOT made any plans for projects that would be protected if the Federal Highway Fund does become insolvent?
AP: Safety and preservation is first. The second thing would be public-private partnership projects. Those have to be protected. So we’ll walk through the list. We have a game plan for doing this. Obviously safety and preservation, then public-private partnerships, then we’ll start looking at projects that could be deferred and projects that are based on other things that are happening in a region that we don’t want to negatively affect.
MD-ASCE: In South Florida we have many big projects planned during this timeframe like the 826-836 interchange, managed lanes for Palmetto and I-75, I-95 Express phase 2.
AP: 826-836 would be one of the last things affected since it is a project already under construction.
MD-ASCE: And the other examples?
AP: The reality is that is that for projects like the express lanes on the Palmetto and I-75 where construction has not begun, we may have to delay the project a few months. But we would not delay an ongoing project of that magnitude like 826-836. We would look at projects that are about to start and maybe push out the start date a little bit, and not take on new projects until the situation stabilizes. Ongoing construction projects…. I don’t foresee that they would be impacted.
MD-ASCE: The USDOT site has a sub-account listed for mass transit, which projected it to remain solvent only until late 2014. How might mass transit be affected?
AP: We would have to look at prioritizing critical services, not taking on new things, and maybe scale back on some things. It’s like if tomorrow someone said you now need to live off only 70% of your income, then you’d have to make some choices. For the next 3 months you need to live off 70% of your income, you’d prioritize, you defer some things.
MD-ASCE: What are some things the public might notice if the federal transit account becomes insolvent?
AP: I’m sure the service levels would be affected. If you don’t have the money, you can’t run the same services….frequency of buses or trains, so you’d see diminished or less frequent service that you’d have to work around. Hopefully they will fix the shortfall. I think right now there is more of a focus (in Washington) on a short-term fix. I don’t believe there is enough support for increasing the gas tax, so the folks in D.C. they may have to look at other options of maybe cutting things that aren’t as relevant in the 21st century.
MD-ASCE: What are some other things you think Floridians should know?
AP: We need to continue investing in infrastructure. At the state level we are doing it. At the federal level their role should be proportionate with the amount of funding they provide. We need to deliver projects in a more cost-efficient way, while making sure we balance it within model impacts, historical impacts, social impacts, and economic considerations. All those things need to be balanced. If we do that, we can deliver projects in the most cost-efficient way.
MD-ASCE: What is your take on the last legislative session in Tallahassee?
AP: Our budget is robust. The legislative session just ended and the legislature just passed the budget to fund the transportation at record levels, which obviously the Governor has been very supportive of….our investment in ports, aviation, and transportation. Investments in transportation are the foundation for economic development and activity. If we are looking to attract businesses to come to the state and wanting businesses in the state to grow, they are going to ask: what’s our quality of life, quality of education, and quality of infrastructure.
Read the full interview here in their May newsletter.
Tags: #fixthetrustfund, congress, economic impact, Florida, highway trust fund, transportation
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This Week in Infrastructure: Infrastructure Week Delivers on its Name
May 16th, 2014 | By: Becky Moylan
Infrastructure Week lived up to its name! In addition to the events marking the occasion and furthering the conversation on emerging solutions, innovative approaches and best practices, President Obama, Vice President Biden, Secretary of Transportation Foxx and Congress all spoke over the past few days on the need for investment. On Wednesday, President Obama took his message to the Tappan Zee Bridge, a major thruway for New Yorkers, highlighting his plan to get projects moving faster while remaining on budget. Meanwhile, in Cleveland against the backdrop of a rail car repair shop, Vice President Biden shared a similar plea, citing the Infrastructure Report Card’s estimate that the U.S. needs to invest $3.6 trillion by 2020 to get our nation’s infrastructure GPA up to a B. Secretary Foxx also warned of the perils of inaction regarding the Highway Trust Fund, saying “We cannot meet the needs of a growing country and a growing economy by simply maintaining our current level of effort.” The remarks from the administration did not fall on deaf ears, as Chairman Boxer and Sen. Vitter released a bipartisan bill to authorize six years of highway and transit programs on Monday that passed out of the Environment & Public Works Committee on Thursday. Could infrastructure be the new political buzzword? Or will congressional gridlock derail it? Hopefully the trend continues into action, as failure to act comes at a high cost of its own, including a loss of as many as 700,000 jobs. As The Baltimore Sun points out, a short-term bailout “defeats the purpose of the trust fund.” It is time for a reliable funding mechanism that will pave the way to a Highway Trust Fund equipped with 2014 dollars, rather than 1993 ones. The Highway Trust Fund and transportation-based infrastructure, however, were not the only sectors getting attention during Infrastructure Week. The details of WRRDA were agreed upon and the bill will be sent to the President for his signature next week. Secretary Foxx also honored the Champions of Change in Transportation, reminding us that improving infrastructure, fixing the Highway Trust Fund and passing legislation like WRRDA is ultimately about helping people. These 11 individuals each offer innovative solutions to improve transportation in their communities and exemplify the great work that can help improve citizens’ lives through transportation projects. Hope you all had a great Infrastructure Week, too!Tags: congress, highway trust fund, Infrastructure Week, transportation, wrrda
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April 29th, 2014 | By: America's Infrastructure Report Card
Washington, D.C. —The following is a statement from Randall (Randy) S. Over, P.E., president of The American Society of Civil Engineers (ASCE) on the GROW AMERICA Act: “We need bold leadership at all levels of government if we are going to solve America’s infrastructure deficit, and today’s four-year draft bill from the U.S. Department of Transportation appears to be a positive step. We welcome efforts to create more robust infrastructure investments that move our country away from simply maintaining the funding and investments of the past. We also applaud the continued streamlining of project approval processes so we can deliver projects on time and on budget, and improved project financing. “The title of the draft bill could not be more appropriate – maintaining and modernizing our nation’s infrastructure enables thriving interstate commerce, job creation, and will quite literally ‘GROW’ America. “Inaction or continued short-term solutions will continue to cost American families and businesses. When our roads prevent trucks from getting from Point A to Point B to deliver goods, our nation suffers. When our ports can’t keep pace with the realities of international commerce, our nation falls behind. Deficient roads, bridges, and ports hurt our GDP, our ability to create jobs, our disposable income, and our competitiveness with other nations. ASCE estimates that deficient and unreliable surface transportation will cost each American family $1,090 a year in personal disposable income by the year 2020.“Any reauthorization of MAP-21 must be focused on modernizing our transportation infrastructure network in order to build a 21st century economy. The American Society of Civil Engineers, representing more than 145,000 civil engineers, believes the authorization should focus on three goals for surface transportation: expanding infrastructure investment and finding sustainable revenue solutions for the Highway Trust Fund; continuing the meaningful reforms started in MAP-21; and positioning our nation to build strategically for the future.
“ASCE is disappointed that long term sustainable revenue sources for the Fund were not identified, and we urge Congress to take immediate action to identify long-term revenue solutions for the Highway Trust Fund to avert this impending insolvency crisis.“We look forward to a more thorough review of the proposal, and it is our hope that the Administration and Congress will work together to advance the policy and the funding needed to keep our transportation system working for our economy.”
Founded in 1852, the American Society of Civil Engineers represents more than 145,000 civil engineers worldwide and is America’s oldest national engineering society. For more information, visit www.asce.org.#####
Tags: highway trust fund, MAP-21, President Obama, transportation
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This Week in Infrastructure: If not now, when?
April 25th, 2014 | By: Becky Moylan
“It is time to fix our roads and bridges,” House Public Works and Highways Committee Chairman Rep. David Campbell, D-Nashua, [New Hampshire,] said. “If not 4.2 cents, what amount? If not today, when?” With those words of encouragement and a vote, New Hampshire’s legislative branch sent a bill to Gov. Maggie Hassan raising the Gas Tax by 4.2 cents. The governor has said she would sign the bill. Rep. Campbell’s words are ones that apply not only in New Hampshire, but across the country. Finding funding, making the decision to invest, is a slow going process, but the Highway Trust Fund’s clock is ticking. Michigan Governor Rick Snyder also applauded “constructive” strides this week in road funding legislation for his state. States taking positive steps is promising, but without a sustainable funding mechanism for the Highway Trust Fund, will it be enough? The Tennessee DOT commissioner warned this week that the shrinking federal funds will significantly hurt the state’s transportation. In addition to concerns, there were also suggested solutions. One came from U.S. Sen. Carper of Delaware, who discussed his proposal to ensure the Highway Trust Fund keeps up with current and future needs, by raising the tax gas and eventually tying it to inflation. Rep. Bill Shuster, while not outlining a plan, also discussed the importance of fixing the Highway Trust Fund at an event in his home state of Pennsylvania. Interested in a few more reasons that it’s time to #FixtheTrustFund? Gaebler.com, The Atlantic Cities and Bloomberg all offer excellent viewpoints on the topic. As ASCE President Randy Over said “We’re at a critical crossroads.” So if not now, when?Tags: gas tax, highway trust fund, infrastructure, transportation
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Highway Trust Fund 101: What You Need to Know
April 24th, 2014 | By: America's Infrastructure Report Card
The Highway Trust Fund is set to become insolvent this summer, creating exponential negative consequences for our economy. What? When? Why? Find out how it can be fixed and what you can do to help. What is the Highway Trust Fund? The Highway Trust Fund is how Congress provides federal funding for transportation projects. It was created in 1956 to build the Interstate Highway System and now provides funding for roads, bridges, and transit projects across America. The Fund is paid for by the federal motor fuels taxes on gasoline and diesel fuel. Historically, federal highway funding has accounted for approximately 45 percent of what state DOTs spend on highway and bridge capital improvements. Why Does the Federal Government Pay for Roads, Bridges, and Transit? The U.S. Constitution’s Commerce Clause (Article 1, Section 8, Clause 3) grants Congress the power to establish “post roads” and to regulate commerce “among the several states,” allowing the federal government to invest and maintain roads, bridges, and transit. These constitutional responsibilities formed the basis for the U.S. government to play a significant role in our nation’s transportation and infrastructure system. Outside of U.S. law, Adam Smith–seminal economist and often cited as the ‘father of modern economics”–cited infrastructure investment as one to the “three duties” in his famous “The Wealth of Nations”:“…the duty of erecting and maintaining certain public works and certain public institutions, which it can never be for the interest of any individual, or small number of individuals, to erect and maintain; because the profit would never repay the expense to any individual or small number of individuals, though it may frequently do much more than repay it to a great society.”
What is the Gas Tax? The first federal gas tax was established in 1932 (1 cent/gallon). The gas tax was tied to the Highway Trust Fund in 1956 via The Highway Revue Act and the creation of the Interstate Highway System. The federal gas tax has been raised a number of times since, including by Presidents Reagan, George H.W. Bush, and Clinton. The last time the U.S. federal gas tax was raised was 1993 to 18.4 cents per gallon. It was not been raised in over twenty years. How is the Fund Doing? The U.S. Department of Transportation projects that the Highway Account of the Highway Trust Fund will run out of money for new projects as early as July. For the 10 year window, 2015-2024, the cumulative shortfall in the highway and mass transit accounts of the HTF will be over $170 billion. According to the Congressional Budget Office, to prevent insolvency of the Highway Trust Fund in 2015, federal surface transportation investment would have to be cut by 92 percent that year. Why is the Highway Trust Fund Quickly Becoming Insolvent? The Fund is paid for by the federal gas tax. The gas tax has not been raised in over twenty years. Many items have doubled or tripled their cost since 1993. For example, a new car cost $12,750 in 1993, yet in 2013 a new car cost $31,252. The easiest explanation is that we are trying to build a 2014 infrastructure system with 1993 dollars. This is obviously an untenable formula. How Does the Insolvency Affect Me? Almost half of capital investments made by states on our nation’s roads, bridges, and transit systems are supported by the federal highway and transit programs administered by the U.S. Department of Transportation. Already, infrastructure projects are being slowed or stopped because of the uncertainty surrounding the Highway Trust Fund. Any delay in reimbursement from FHWA will prevent states from being able to pay contractors in a timely manner. Contractors who rely on prompt payment from the state won’t be able to pay their employees and suppliers. Disruptions to this process have the potential to send unwelcome shockwaves throughout our economy, decreasing spending, hiring, and damaging any ability to plan for future projects. We Knew this Was Coming, Right? Oh yes. As far back as 1997, Congress was moving money from the General Fund into the Highway Trust Fund. Recently, in 2008, Congress moved $34.5 billion to the trust fund from the general fund to keep it solvent. So Why Haven’t We Fixed it Before Now? One word: Politics. In order to make the Trust Fund solvent, Congress would need to find a long-term, sustainable solution. Because of how the Fund is currently structured, according to commentators such as Matt Yglesias, the easiest way to do that would be to raise the gas tax to a modern rate and tie the rate to inflation. This would raise needed revenue and assure that future insolvencies would not occur. Obviously, given the climate of fiscal restraint as well as the escalating cost of gasoline over the last twenty years, raising the gas tax has been politically impalpable. And, since any solution outside of raising the gas tax would have to involve dramatically restricting the funding mechanism of the Trust Fund, such proposals have been unable to move forward. What Can I Do? We have to tell Congress to act now. We are using #FixTheTrustFund across all of our social media platforms to spread our message the letting the Trust Fund become insolvent is unacceptable. We have also set up a Legislative Action Center, where you can send you Congressman a message about how the Highway Trust Fund is going to affect you. Good luck and let’s #FixTheTrustFundTags: Constitution, gas tax, highway trust fund, infrastructure, transportation
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Half of States Have a Gas Tax Policy That's a Decade Old
April 3rd, 2014 | By: Infrastructure Report Card
The Institute on Taxation and Economic Policy (ITEP) released a new chart this week clearly showing how long it’s been since many states have changed their gas tax policy. In about half the states, it has been a decade or more since they’ve changed their gas tax policy in spite of the changing costs for materials, machines, or projects overall. While a minor policy like indexing or switching to a “variable-rate” tax may seem small, consider what we all learned from the hit movie Office Space – even a fraction of a penny can add up to a lot over time. If we’re going to keep up with America’s growth, we need to start counting our pennies a bit differently.
Here’s a few of the other key findings from this chart:
• Twenty-four states have gone a decade or more without an increase in their gas tax rate.
• Sixteen states have gone two decades or more without a gas tax increase.
• Seven states have not seen an increase in their gas tax rate since the 1980’s or earlier: Alaska, Virginia, Oklahoma, Iowa, Mississippi, South Carolina, and Tennessee.
• Among the thirty-two states levying a “fixed-rate” gas tax, the average length of time since the last gas tax increase is 17.2 years.
• Most states levying a more sustainable “variable-rate” gas tax, by contrast, have seen their gas tax rate rise some time in the last twelve months
Read the full ITEP report here.
Tags: infrastructure, policy, state, tax, transportation
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New Report Card for Illinois' Infrastructure Shows Progress
April 2nd, 2014 | By: Infrastructure Report Card
The 2014 Report Card for Illinois’ Infrastructure was released today by the Illinois Sections of the American Society of Civil Engineers (ASCE) at the Illinois Statehouse.
A panel of professional civil engineers throughout the state graded each infrastructure category according to the following eight criteria: capacity, condition, funding, future need, operation and maintenance, public safety, resilience, and innovation. In 2010, the infrastructure grade for Illinois was a D+, reflecting delayed maintenance and underinvestment across most categories. In the 2014 Report Card for Illinois’ Infrastructure, the state’s infrastructure G.P.A. jumped to a C- showing the progress made with leadership and solid infrastructure programs.
Over the past four years since the 2010 Report Card for Illinois’ Infrastructure, leaders at the state level and in Illinois’ cities—large and small—have started to make some steps to rebuild their aging infrastructure. Programs such as CREATE have started unclogging rail and traffic bottlenecks and the Illinois Jobs Now! effort by the state provided $31B to start fixing Illinois’ biggest infrastructure problems. These efforts have paid off and both the Rail and Drinking Water grades have gone up since the last Report Card. Plans like Chicago’s commitment to replace and repair aging water pipes shows how “thinking big” can create even bigger results.
But while some of the grades have gone up, Illinois’ infrastructure isn’t a B student yet. Aging infrastructure and delayed maintenance have taken their toll. Illinois’s average bridge is 40 years old which is close to retirement age for a bridge, Chicago has been replacing water pipes put in when Ulysses Grant was President, and more and more people and goods spend time stuck in traffic on Illinois’ roads and rails.
Let’s Raise the Grades
Illinois’s infrastructure touches almost every aspect of citizens’ daily life—from your neighborhood roads, to your phone, to the community school, to the new south suburban airport. In 2014, we need to be visionary but realistic about our infrastructure. We need to continue replace our oldest infrastructure but also begin to think of our infrastructure as an entire system in need of sustainable funding. We have to make collaborative and smart decisions, while assuring that safety remains our top priority.
We can continue to tackle Illinois’ infrastructure needs by asking our leaders to take on these 3 Key Solutions that would help and raise Illinois’s grades:
1. State and local governments should work together to create smart, efficient transportation systems that meet the changing needs of Illinois’s communities. We cannot just repair the investments of the past, but we need to build systems for a 21st century Illinois.
2. Create sustainable funding to maintain all new and planned investments in Illinois’s water systems. Simply replacing old pipes with limited or no plans for operation and maintenance will only lead to similar problems for future generations.
3. Invest in networks that will lessen the costs of doing business in Illinois, including inland waterways, rail, and airports. As the economy continues to expand, Illinois needs world-class infrastructure to compete with other states for new businesses and manufacturing.
Read the full 2014 Report Card for Illinois’ Infrastructure here.
Tags: Illinois, infrastructure, report card, solutions, transit, transportation, vision, water
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This Week in Infrastructure: Winter Weather Gets People Thinking About the Cost of Underinvestment
February 21st, 2014 | By: Becky Moylan
Perhaps between Disney’s box office hit Frozen and the Sochi Olympics you feel as though you’re living in a winter wonderland. Or perhaps it’s because you actually are, given this year’s record snowfall in cities across the country. In addition to the snow days and need for shovels and boots, this winter has done a number on roads across the country. Cities are running out of salt, pothole-dodging could be an Olympic sport, and finding places to mound all that snow is proving a challenge. This all comes as state DOTs are already worried about funding as the Highway Trust Fund is on a path to insolvency. The weather’s impact doesn’t end with Americans’ commutes. The electric grid has also taken a hard hit, with tens of thousands still without power in Georgia and South Carolina. The cold weather has also ravaged pipes, including in Iowa, where there has been a record number of water main breaks in the past six weeks. As all of these problems become more than the sum of their parts—especially true as infrastructure works as a system—this piece in a California paper asks if “our nation can handle freaky weather?” Meanwhile, West Virginia’s chemical spill last month continues to draw concerns about the safety of drinking water across the country. The weather’s impact on infrastructure (and the media attention surrounding it) has certainly shown the need for funding and attention for our nation’s roads, electric grid, water pipes, and much more.Tags: Drinking Water, Electric Grid, highway trust fund, surface transportation, transportation
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Moving toward a safe, seamless transportation system
February 19th, 2014 | By: America's Infrastructure Report Card
The following post was written by guest contributor Pete Rahn, Leader National Transportation Practice at HNTB Corporation. It’s time for America to get moving with needed investments in our infrastructure system. A recent survey from HNTB Corporation shows Americans are looking for a new transportation vision and are ready to get behind leaders who have the courage to promote a workable plan paid by user fees. Yet many Americans also believe the issue is only pushed to the forefront after a structural failure (38 percent) or natural disaster (37 percent) has caused destruction. Unfortunately, it doesn’t stay in the news for long. We’ve often seen that played out in the media, whether it’s an emergency closure due to safety concerns, such as the original 80-year-old Lake Champlain Bridge connecting Crown Point, N.Y., and Chimney Point, Vt., in 2009; an accidental impact and resulting damage, such as the collapse of a portion of Interstate 5 over the Skagit River near Mount Vernon, Wash., last year; or the devastation wreaked by modern natural disasters, such as in the Northeast during Superstorm Sandy in 2012. Such acute damage and resulting closures threaten communities’ safety and economic healthy, vividly reminding us of the importance of maintaining the nation’s infrastructure.
In fact, nearly 2 in 3 (65 percent) Americans fear a local infrastructure failure will occur within a year, and 1 in 5 (20 percent) are “extremely concerned” about a potential failure. Perhaps more striking for those of us in the transportation industry, 9 in 10 think at least one mode of U.S. transportation needs a spark of innovation and nearly half (47 percent) believe physical infrastructure damage is more likely to be caused by lack of maintenance than age, faulty construction or even a natural disaster.portion of Interstate 5 over the Skagit River near Mount Vernon, Wash., last year; or the devastation wreaked by modern natural disasters, such as in the Northeast during Superstorm Sandy in 2012. Such acute damage and resulting closures threaten communities’ safety and economic healthy, vividly reminding us of the importance of maintaining the nation’s infrastructure.
Most Americans want the nation’s transportation network and key infrastructure facilities to be improved, yet we’ve struggled to identify a compelling vision that will drive future state and federal investments and spur future growth. Clearly identifying the risks associated with inaction and underinvestment does resonate with the majority of the country.
Perhaps another, more positive lynchpin for our vision of America’s transportation future is focusing on how we can make all of our transportation options work better as a system, or what we call multimodalism.
Many Americans are unhappy with local transportation options because they don’t work together as well as they should. More than half (53 percent) think it’s difficult to access different modes of transportation. Better scheduling and seamless transferability would push drivers to leave their cars behind and hop aboard transit more often. Nearly 2 in 3 (63 percent) Americans think the modes of transportation in their area need to be more efficient.
We need to get better at preparing for the future before our needs become acute. Envisioning a multimodal system where American’s transportation choices maintain safety and become seamless and sustainable can encourage the support we need to fund vital infrastructure priorities at the federal, state and local levels.
This Week in Infrastructure: The Need for Funding
February 14th, 2014 | By: America's Infrastructure Report Card
Several states are responding to the impending reality that this fall the Highway Trust Fund “will have insufficient revenues to meet obligations” unless a sustainable revenue source is found. Among those voicing concerns is Tennessee. As a precaution, TDOT prepared two 2015 budgets: one with federal funding, budgeting $1.8 billion and another without, budgeting $900 million. Minnesota also grappled with the transportation funding gap through a hearing that included testimony from ASCE’s own Brian Pallasch, who spoke on the consequences of underinvestment. Delaware Gov. Markell proposed an increase to the gas tax that would be tied to inflation. Though it was met with criticism from the state legislature, this editorial aptly points out highways don’t pay for themselves. Idaho’s Transportation Department’s Scott Stokes warned that the state relies heavily on federal funding for its department’s budget. Stokes predicted “At current funding levels [bridges] will have to last 120 years, two to three times their expected life,” given the current funding trajectory. Michigan is facing a more immediate funding crisis, due to the frequent snowfall. To put it into perspective, snowplows were needed on the southwest part of the state’s roads for 67 straight days, a doubly costly endeavor because money is needed to fund the plowing and to repair the roads afterward. The Daily Iowan called to raise the state’s gas tax in an editorial, explaining the “tax would generate $230 million annually, money that can be used to substantially upgrade Iowa’s roadways and would close the state’s $215 million annual shortfall in road funds.” On the federal level, Ohio Reps. Tim Ryan and Dave Joyce, called upon their colleagues to revitalize infrastructure and create jobs in the process. The U.S. Senate Environment and Public Works Committee held a hearing Wednesday to consider the best funding options for the Highway Trust Fund. Sen. Boxer said her goal is to have a “five- or six-year bill.” This week demonstrates the need for a sustainable funding source is gaining attention. Now the next step is finding a solution and taking action.Tags: highway trust fund, Idaho, infrastructure, Iowa, Minnesota, Ohio, surface transportation, Tennessee, transportation
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