Tag: infrastructure

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Up To Speed

Should a portion of gas tax revenues go towards transit?

Should a portion of gas tax revenues go towards transit?

According to a recent state-funded study, Ohio needs to double its investment in transit to keep up with the growing demand across the state. Even after an increase in funding for 2016, Ohio will only spend $8.3 million per year on transit–that’s less than 72 cents per resident, putting Ohio near the bottom of list compared to other states. One way to provide more funding would be to allocate a portion of the state’s gas tax revenue for transit projects.

In the state of Oregon, a proposal is being considered that would allow a portion of the state’s gas tax revenue to go towards bus, rail, bicycle, and pedestrian infrastructure that “reduces the traffic burden of, or pollution from, motor vehicles on public highways, roads and streets.” Currently, the state’s gas tax revenue can only be spent on highways and rest areas. The proposed resolution (SJR 16) would put the issue on the ballot for Oregon voters to decide in November 2016. More from Portland Transport:

SJR 16 would allow future legislation to assign a portion of motor vehicle taxes and fees for purposes such as rural bus service, safety and congestion relief projects that include transit, separated bicycle facilities such as the Sullivan’s Gulch trail, and local match for federal funds for non-highway transportation projects. Oregon received far less federal stimulus money to improve Amtrak service than did neighboring Washington because we did not have enough local match. Bridge and road tolls could be spent on transit, pedestrian, and bicycle facilities that provide alternatives to highway travel.

Non-highway alternatives may be cheaper, less polluting, or less damaging to the human or natural environment. These alternatives may also be desirable components of a new highway facility, allowing for a smaller, less-damaging structure that is more likely to win approval of nearby residents.

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Up To Speed

Could Closing the ‘Corporate Inversion’ Loophole Rebuild America’s Infrastructure?

Could Closing the ‘Corporate Inversion’ Loophole Rebuild America’s Infrastructure?.

With Burger King and Tim Hortons moving forward with a merger that would shift the American fast-food chain’s headquarters to Canada, a new wave of conversation has come up about a practice used by many corporations to avoid paying U.S. taxes. The tactic is called ‘corporate inversions’ and it is estimated that the practice costs America a lot of money. But what if some kind of program could be set up that would allow companies to bring that money back home while also allowing them to see a more direct return? More from Next City:

One could imagine Apple and Facebook would be very interested in helping speed up the creation of a high-speed rail system that connects San Francisco to Los Angeles. That Coca-Cola and Starbucks would see the value in improving the country’s water infrastructure. Or that Ford and GM would see the benefit in better roads and bridges.

Currently the stockpile of cash held abroad to avoid American taxes is estimated to be $1.95 trillion. What if instead those profits were brought back to the U.S. with a percentage invested in infrastructure? At just two percent, this deal could pay for all of the country’s currently deferred maintenance.

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Up To Speed

Until the region’s sewer problem is fixed, you might want to hold off on flushing your toilet

Until the region’s sewer problem is fixed, you might want to hold off on flushing your toilet.

By now just about everyone in the region knows we have a combined sewer overflow problem. If you think it sounds pretty technical and boring, you’re right. But the reality is that it’s pretty gross. To put it in simple terms, next time it rains you might want to avoid flushing the toilet. More from Next City:

Every time it rains, stormwater runoff from roofs, parking lots and driveways washes pollutants into the nation’s streams, rivers and lakes. At the same time, in many cities with antiquated infrastructure, combined sewer overflow systems send untreated sewage into waterways. The resulting contamination often entails violations of the federal Clean Water Act.

…

“Who ever thinks about the plumbing code? On the other hand, there is a simplicity to the concepts. When it’s raining, when you flush the toilet, what you flush goes straight to the river. If you can wait until it stops raining, you should do that.”

 

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Up To Speed

You can thank Congress for all those tolls that will soon hit the Cincinnati region

You can thank Congress for all those tolls that will soon hit the Cincinnati region.

This should be a wake-up call for not just the lawmakers who have failed to raise the gas tax since 1993 or peg it to inflation, but also every voter. Locally we hear constantly from the group opposed to the use of tolls to pay for the Brent Spence Bridge or I-75 reconstruction, but the Highway Trust Fund has been bankrupt for many years and surviving on bailouts from Congress year-after-year.

Yes, of course it’s far past time to raise the artificially low gas tax, but it is also time to change the way in which we collect funds to maintain our system and add to its capacity. Instead of a simple tax on gasoline consumption, we should move to a tax that charges people based on how much they use our roadways, not how much they consume gasoline. More from The Hill:

The Department of Transportation (DOT) on Tuesday moved up its projected bankruptcy date for the trust fund that is used to pay for road and transit projects, saying it will now run dry by the end of August. The DOT has warned that the transportation funding shortfall could force state and local governments to cancel infrastructure projects scheduled to begin this summer because federal money will not be able to assist with construction costs.

The Highway Trust Fund is normally filled by revenue collected by the 18.4 cents-per-gallon federal gas tax. The gas tax has not be increased since 1993 and infrastructure expenses have outpaced receipts by about $20 billion in recent years as Americans drive less frequently and cars become more fuel efficient. The Congressional Budget Office has projected that lawmakers will have to authorize $100 billion in new spending in addition to the $34 billion that is expected to brought in annually by the gas tax to approve a new six-year transportation bill, which is the length being sought by infrastructure advocates.

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Business News Transportation

Data Suggests Peak Vehicle Miles Traveled Was Reached in 2007

I-75 Construction Work at Mitchell Avenue (August 2013)

Whether it is widening Martin Luther King Drive, adding a new interchange, building a new bridge, or adding additional capacity to existing streets throughout our cities, we always hear of the robust traffic growth that is anticipated. If nothing is done, then our communities would be stuck in gridlock.

But how have these projections actually measured up?

According to data from the Federal Highway Administration (FHWA) and cross examined with data from the U.S. Census Bureau, the traffic growth projections made by departments of transportation all over the country have been wildly off-base for the past decade.

National VMT (Actual) National Per Capita VMT

Since the 1980s, traffic on our roadways, as measured by vehicle miles traveled (VMT), has increased by approximately 2.5% annually. That is until the early 2000s when that trend changed rather abruptly. Since 2007, actual VMT has decreased approximately .3% annually. Meanwhile, per capita VMT has fallen sharply.

Many analysts have noticed the trends, but have been cautious to make any judgments about them due to the fact that the change took place around the same time as the Great Recession. The common thought was that people without jobs drive less. Even though most economists, however, have noticed a rebounding economy over recent years, both actual and per capita VMT continues to decline.

The persistent trends may in fact be the new normal for America as Baby Boomers retire and Millennials and subsequent generations continue their pivot away from personal automobile use. If this is the case, it appears that the United States hit peak VMT in 2007.

The implications pose serious policy questions. Presently, most departments of transportation spend most of their money annually on new capacity projects, while letting existing infrastructure crumble. Some policy makers and organizations, like Smart Growth America and President Obama (D), who first proposed such a program during his 2013 State of the Union Address, have advocated for a shift in this position to a ‘Fix-It-First’ approach.

Time will only tell what future trends will show. But as of now we are experiencing, for the first time in our nation’s history, a constant period of decline in terms of the amount of driving we are doing.