7/17/2006
Forum on Transportation Investment to present funding recommendations in Coeur d'Alene on July 20
COEUR DALENE An independent group charged with recommending options for funding improvements to Idaho's transportation system over the next three decades will present its recommendations at a public meeting Thursday, July 20 in Coeur d'Alene.
The Forum on Transportation Investment, which began researching funding alternatives nearly two years ago, will present its recommendations to the public and the Idaho Transportation Board at 2 p.m. at the Coeur d'Alene Inn, 414 W. Appleway Ave. In addition to discussing 14 recommendations that emerged from the statewide process, the transportation board will accept public input about regional transportation needs and ideas about funding them.
The meeting will begin with a 30-minute summary of the forum's findings, followed by an opportunity for pubic input and then a question-and-answer session.
The forum was a grassroots effort that conducted eight meetings over a span of 17 months throughout the state to seek ideas on transportation funding. Its report, provided to the Idaho Transportation Board in January, includes 12 conclusions and 14 recommendations that will help shape future investments in Idaho's surface transportation system.
Among the immediate considerations are measures to increase stagnated revenues to the Highway Distribution Account (HDA). The HDA is divided among the Idaho Transportation Department (57 percent), local highway jurisdictions funding (38 percent) and Idaho State Police (5 percent). The HDA also funds railroad crossings, bridge inspections, fuel tax refunds and Parks and Recreation. Funds for these projects are taken from the HDA before being distributed to the transportation agencies and state police.
Chaired by former state representative Jim Kempton, the forum was composed of individuals representing diverse interests and backgrounds, including public agencies, transportation service providers, public transportation providers, stakeholders and elected officials. Virtually every stakeholder interest in Idaho surface transportation had a voice on the forum through one or more members.
The forum was charged with considering traditional funding and new, innovative financing mechanisms integrated into an efficient and responsive planning effort to meet transportation expectations through 2035.
Forum conclusions indicate a growing gap between demand and revenue, Kempton observed. Solutions are needed now. Ignoring transportation investment problems poorly situates the state for dealing with a growing population and unprecedented construction costs that are occurring now, and that will only increase over the next decade.
The recommendations are a menu of transportation investment alternatives that forum members believe reflect a variety of revenue and policy adjustments that Idaho could make to address its transportation-funding shortfall. Each should be carefully considered as to its role in providing critical funding for all modes of transportation in Idaho.
Forum members only examined the capital needs of the state and did not attempt to quantify the funding needed to operate and maintain the current and future transportation network. Historical evidence suggests that operating and maintenance costs must be factored into the budgets of nearly 300 jurisdictions that are responsible for transportation across the state.
Individuals who wish to respond to the report, discuss transportation needs specific to their region or make funding suggestions, are encouraged to testify. Written comments can be made to: Public Involvement Coordinator, Idaho Transportation Department, P.O. Box 7129, Boise, Idaho, 83707-1129 or via e-mail to: comments@itd.idaho.gov
Oral testimony also will be accepted at the July 20 meeting, either during the open session or privately after the meeting. Individuals who plan to speak will be asked to sign up at the meeting.
"It is important that the public and elected officials have an opportunity to learn about the forums work and add their thoughts to the recommendations," said Transportation Board John McHugh said. "We encourage forum members and their constituents to attend."
More information about the forum can be found at itd.idaho.gov
Forum on Transportation Investment Conclusions
1. Continued explosive growth Idaho's population will grow by 56 percent between 2000 and 2030 - twice the national average.
2. Transportation is essential to the economy Transportation is the common denominator that ties everything together.
3. All levels of government are involved Almost 300 jurisdictions have some role in the state's transportation network.
4. Funding shortfall needs immediate resolution In 1995, the Idaho Highway Needs Assessment Study Update noted a backlog for all jurisdictions from 1994 through 2000 of $8.65 billion. Available revenue for that same period measured less than half of that amount.
5. Federal funding is not sufficient Idaho must rely on its own solutions to transportation funding challenges and not have unrealistic expectations for a federal solution.
6. Thirty-year needs exceed $20 billion The Forum queried all levels of transportation jurisdictions. The report identified a total of more than $20 billion.
7. The expected shortfall is greater than $200 million per year While the recently established GARVEE bonding program will accelerate construction of some projects statewide, GARVEE does not address the substantial annual funding shortfall that is predicted for the next three decades.
8. Public transportation should be addressed Idaho remains one of six states without a dedicated state revenue stream to support transit projects.
9. Revenue structure will not meet needs The Forum found that no single revenue stream could be counted on to adequately address both state and local needs. In fact, the Forum's analysis found that multiple sources would be necessary to even come close to meeting funding requirements.
10. Freight movement is important Freight growth across the nation will double in the next 20 years, with 88 percent of all commerce in commodities involving truck transportation on our highways.
11. Funding challenges require innovative solutions The Forum concluded that Idaho's leaders should look beyond the obvious and determine if there are innovative solutions that could contribute to transportation funding.
12. Idaho must prepare for transition to alternative fuels The advent of hybrid-fueled vehicles, as well as other new technologies, will diminish the taxes collected on fossil fuels.
Forum on Transportation Investment Recommendations
Policy recommendations
Idaho should:
P-1 Integrate land use and transportation planning at all levels-state/regional/local.
P-2 Provide opportunities for user-fee based systems (toll roads/high occupancy toll (HOT) lanes, congestion pricing, etc.).
P-3 Promote partnership opportunities (private/public, public/public, etc.) and remove legal barriers whenever possible.
P-4 Pursue future revenue opportunities and sources by transitioning from traditional revenue generating sources (fuel tax/other) to other methodologies (BTU tax, VMT tax, etc.).
P-5 Update the analytic Idaho Highway Needs Assessment Study every 10 years.
Policy/revenue recommendations
Idaho should:
P/R-1 Acknowledge that Public Transportation is an integral part of Idaho's transportation system by dedicating revenue mechanisms to address public transportation issues.
P/R-2 Achieve improved freight mobility by encouraging truck/rail/port/air infrastructure investments and efficiencies.
P/R-3 Provide Local Option Taxing authority for transportation-related initiatives.
P/R-4 Establish Index strategies for fuel taxes, vehicle registrations, and other transportation-related taxes and/or fees.
P/R-5 Create a Rental Car Fee to generate revenue for transportation initiatives.
P/R-6 Assess new growth and development Impact Fees for transportation facilities and distribute to all transportation jurisdictions within the stated area of impact.
Revenue recommendations
Idaho should increase revenue to the Highway Distribution Account by:
R-1 Increasing ALL Fuel Tax and ALL Vehicle Registration Fees as soon as possible.
R-2 Increasing Motor Vehicle-Imposed Fees to cover the cost of providing the services.
R-3 Eliminating or replacing the revenue impact of alternative fuels tax exemptions (e.g., ethanol, bio-diesel, hydrogen, or electric fuels).