In This Issue

	Maine Governor Unveils $397M Bond Initiative
	Safe Transportation Priority in Ohio Budget
	Missouri Kicks Off Largest Interstate Project in State History
	Poll: NJ Drivers Opposed to Privatization
	Government Leaders Back Permanent Fast Lane Discount
	Measure Proposed to Study Viaduct Surface Option
	Wash. Tries New Transportation Budget Model
	France Joins US in Rejecting London Congestion Tax
	Transit Ridership Rises with Gas Prices

Maine Governor Unveils $397M Bond Initiative

AUGUSTA, Maine – Maine Governor John Baldacci recently unveiled a statewide $397 million bond package for the next three years, including $131 million to fund transportation. The governor said the initiative will make up for last year, when no bond measures were approved because of partisan politics. New money to pay for the bonds will come from government spending cutbacks, and will largely be replacing recently retired debt.

Before Baldacci’s bond package can take effect, it must first pass the Legislature with a two-thirds bipartisan vote, and then get voter approval. The governor’s plan would have voters approve one part of the package in a special election in June, and a second part in November. Republicans have already made it clear that transportation is their top priority – as they recommended a $180 million transportation bond, with part of it being voted on as early as June.

Maine Transportation Department Commissioner David Cole expressed appreciation to Baldacci for the proposal. “It’s unprecedented support,” he said. “It doesn’t solve our long-term problem, but it wasn’t meant to.” The department, as in many other states, has faced severe transportation funding shortfalls due to skyrocketing construction costs at a time when many of the state’s bridges and roads are reaching their maximum lifespan.

In the transportation portion of the initiative, $100 million would go to roads and bridges, and $31 million would be for other transportation modes, including almost $17 million for railroads. The bond package also assigns $131 million for research, development and business growth, $97 million for conservation and environmental protection, and $33 million for infrastructure improvements at higher education campuses.

Safe Transportation Priority in Ohio Budget

Ohio - Lawmakers in Ohio are working on a transportation budget bill which appropriates $7.8 billion for fiscal years 2008 and 2009 for the state departments of transportation and public safety, the Public Works Commission and the Roadwork Development Grant Program through the Ohio Department of Development.

House Bill 67, written by the members of the state House of Representatives, represents solutions to the state’s need for economic development and growth. Ohio has the tenth-largest highway system, the fifth highest traffic volume, fourth-largest interstate network, and second-largest number of bridges in the nation.

The bill is planned to increase safety for students who use school district transportation, by tightening regulations for drivers with any six-point driving felony, such as a DUI, in the past seven years. It also provides over $500 million to the highway patrol, addressing the agency’s funding shortfall and providing the patrol with needed resources over the two-year-period.

Missouri Kicks Off Largest Interstate Project in State History

RICHMOND HEIGHTS, Missouri – Highway officials in Missouri broke ground this week on the biggest highway project in the state’s history. The $535 million Interstate 64 project will reconstruct 10 miles of the crowded roadway and 12 interchanges in the St. Louis area. Even supporters of the project acknowledge it won’t be an easy experience for commuters in the St. Louis region, as transportation officials plan to close entire stretches of the interstate at times, which they say will accelerate the work and enhance worker safety.

“It’s going to be tough for a couple of years, but when it’s done, it’ll be worth it,” Missouri Highways and Transportation Commissioner Bill McKenna said. The project, contracted to be built by Gateway Constructors and MoDOT, will rebuild I-64 from west of Spoede Road to east of Kingshighway. It also includes a new I-170 interchange and the construction of an additional lane in each direction from I-170 to west of Spoede. The project is MoDOT’s first design-build project, in which a team works under the same contract for the construction and design.

St. Louis County Executive Charlie Dooley (D), said the rebuild would result in a great highway. “If you talk about economic development, you have to talk about infrastructure,” he said. Construction on the project begins this spring, and is expected to be completed July 31, 2010. I-64 will not be affected during peak travel times until 2008.

Poll: NJ Drivers Opposed to Privatization

TRENTON – Commuters in New Jersey are generally opposed to privatizing the New Jersey Turnpike and Garden State Parkway – which could raise up to $15 billion – to pay state debt, according to a poll released Monday. 56% of motorists in the AAA Clubs of New Jersey poll said they do not support selling or leasing the state’s roadways to a private consortium to balance the state’s budget. Gov. Jon S. Corzine’s administration has been considering these and other alternatives to pay for debt relief and fund other state needs such as state college and public school construction, open space preservation and tax relief.

The AAA Clubs found 68 percent of 1,000 drivers surveyed knew toll road privatization was a possibility. And 65 percent of all respondents said that if the roads were leased, the funds generated should go completely to transportation needs. Just 15 percent said the revenue should go to other needs, such as state debt relief.

“Even though there is clear initial opposition, it’s worth noting that about a quarter of those surveyed (24 percent) remain undecided,” Joel L. Vittori, CEO of AAA South Jersey and chairman of the state’s Council of AAA Clubs. He said drivers need to be provided with more information about the topic. “We urge New Jersey legislators to get their constituents involved, sooner rather than later, in any decision to sell or lease our state assets.”

Government Leaders Back Permanent Fast Lane Discount

BOSTON – The head of the Massachusetts transportation department has announced that he supports the Massachusetts Turnpike Authority’s proposal to make their Fast Lane discounts program permanent if they are able to find a secure funding source. Transportation Secretary Bernard Cohen is a member of the turnpike board, which voted on Tuesday to an additional two months, through June. Turnpike Authority staff recommended ending the discount at the end of last year as the agency faces a grim financial outlook, including $2.1 billion in debt.

The discount saves drivers who use electronic transponders 25 cents off the $1 toll at the Allston-Brighton plaza, and takes 50 cents off the $3 at the Ted Williams and Sumner tunnels. The $12-million-a-year program has previously been funded by the $75 million sale of turnpike land.

Massachusetts Governor Deval Patrick has also pledged his support, and committed to working with Secretary Cohen to find a funding solution to make the discount permanent. Patrick recently rejected a proposal to eliminate tolls west of Route 128. West Boston lawmakers have long supported that plan as well, because they say their constituents have paid well beyond their fair share of the $14.6 billion Big Dig project through tolls.

Measure Proposed to Study Viaduct Surface Option

SEATTLE – A Seattle City Councilman has submitted a proposal to spend up to $8 million on a “surface transit” study as an option for replacing the earthquake-damaged Alaskan Way Viaduct. Councilman Peter Steinbrueck’s study would look into the option of removing the viaduct and improving the surface streets and transit in the area to handle the additional traffic.

Under the proposal, the Seattle Transportation Department would be directed to look into upgrading surface streets and teaming up with the state to expand bus service to expedite traffic flow, such as widening the Spokane Street Viaduct and constructing a Lander Street rail overpass. Seattle Mayor Greg Nickels remains opposed to the surface-transit option for replacing the Viaduct.

Steinbrueck said $500,000 in viaduct-project funding would be initially allocated to the surface-transit study, but would allow the department to spend up to $8 million as needed to conclude the study. The bill is currently awaiting approval by the city council.

Wash. Tries New Transportation Budget Model

OLYMPIA – Washington lawmakers recently unveiled a two-year, $7.4 billion transportation budget which follows a new model for the state to finance large construction projects. In the old model, major projects could not be launched until financing was ensured, and cost estimates were finalized. Now officials are avoiding inflation by starting projects, and putting off designing and paying for them until later.

“We don’t have to do it the way we’ve done things before,” said Gov. Christine Gregoire Monday. “We need to think differently. We are asking ourselves, ‘Do we have to have identified exactly where the source of the money is?’” She listed the State Route 520 and Evergreen Point Bridges, the Columbia River crossing, and the North-South Freeway in Eastern Washington as examples of projects on which work could begin before all the details are final. Transportation officials agree with Gregoire that, since some projects take as long as a decade to complete, it makes sense to begin building before the final project has been approved and total cost estimates are completed.

Senate transportation leaders support the House plan, although they will present their own spending plan to reconcile with the House. House Transportation Chairwoman Judy Clibborn, D-Mercer Island, said their budget does not include any new revenue or projects. But by modifying the bonding plan and starting ready-to-go projects more quickly, the state can fund projects that had been previously promised in combination with the tax increases.

“In 2003 and 2005, that was the first time that we had revenue that was (directly) connected with projects,” Clibborn said. “Consequently, in the past, people took the money and could move it around. It’s very difficult for us to move projects around. So no new projects means that at least we get the projects that were promised to the voters.”

We are working challenging times. When construction cost escalation ran 4% it just didn’t matter much that a project was delayed. Today, with some states reporting inflation in their construction costs of 15% and higher, project delays become costly beyond comprehension. A $1 billion project delayed a year costs you $100 million in additional expenses. A two, three or four year delay makes whatever is happening to hold up a project seem trivial from the pure expense standpoint. If the arguments are mitigation issues then you can buy a lot of mitigation for several hundred million dollars. TW

France Joins US in Rejecting London Congestion Tax

Canada - France has joined United States Ambassador to London, Robert Holmes Tuttle, in refusing to pay London Mayor Ken Livingstone’s congestion tax. The $16 fee is imposed on drivers who travel into key areas of the city during peak travel times. Tuttle has refused to pay the fee since 2005, on the grounds that foreign governments are not permitted to tax diplomats.

Nearly a dozen European Union member countries have joined the US in rejecting the tax over the past several weeks, after Livingstone nearly doubled the charging zone to include multiple embassies.

Nearly two-million motorists gathered in protest of the congestion charge and the pay-per-mile levy, demanding that Prime Minister Tony Blair reject proposals to expand the models nationwide. Transport Minister Stephen Ladyman told the London Times that the plan has been postponed till after the local elections in May.

“Clearly the government knows that their road pricing policy is deeply unpopular, but they are determined to press ahead with it regardless, whilst trying to minimize any electoral damage,” said the Association of British Drivers spokesman Nigel Humphries. “We urge people to treat the May elections as a referendum on road pricing, and refuse to vote for any candidates that refuses to condemn this ruinous scheme.”

This is in interesting contrast to the many presentations given about how wildly successful London’s congestion pricing program has been. It certainly has reduced traffic in the core area of the city. But the undercurrent of unhappiness continues to grow. The outcomes in May will be worth noting. TW

Transit Ridership Rises with Gas Prices

OAKLAND, Calif. - Public transportation ridership has risen to levels not seen since 1957, according to a report from the American Public Transportation Association. U.S. citizens took 10.1 billion train, bus and ferry trips in 2006. “Over the last decade, public transportation’s growth rate outpaced the growth rate of the population and the growth rate of vehicle miles traveled on our nation’s highways,” explained the APTA. Transportation officials attribute the new numbers to high prices at the gas pumps.

“As gas prices have spiked, we have seen people all across the country turning to public transportation in record numbers,” said APTA spokeswoman Virginia Miller. “What that’s saying is if you’re going to have a world-class transportation system, you’re going to need more than one mode of transportation.”

The Association also reports that public transit use has increased by 30 percent since 1995, and transit trips outnumber trips on domestic airlines 15 to 1. Bay Area Rapid Transit (BART) ridership has followed the national trend, along with commuter rail, seeing some of the largest increases in six years.

“With jobs coming back to the Bay Area, as long as tolls and gas are high and when BART still remains at 22 cents a mile and driving costs 69 cents a mile, then BART is going to be an attractive option for folks who want to save money getting to their job,” said BART spokesman Linton Johnson.

The improving economy emphasizes how much public transportation depends on public funding. Fewer jobs lowers the total number of commuters, decreasing sales tax revenues and also cuts back the amount of transit service local governments can afford to pay for, said Chuck Purvis, a Metropolitan Transportation Commission statistician. Resurgent sales tax revenues are pumping more money into the region’s transit system and increasing service, he added.