Printer-Friendly
Email this Story
Post a Comment (0)
Region gears up for transportation session
On Monday, legislators will return to the General Assembly to take another stab at transportation funding. So far however, there is no sign of an impending solution.
On Tuesday, Prince William legislative liason Dana Fenton explained some of the problems and proposals that the legislators will be considering.
“It was just a very bad year for transportation,” he said.
First came the Virginia Supreme Court’s decision to overturn the taxing powers of the Northern Virginia Transportation Authority. While the decision was hailed by many as a blow for taxpayers, it did mean that the region will not get $300 million per year in transportation funds.
Not long after that, transportation funding took another hit when the General Assembly voted to repeal the controversial abusive driver fees that had been intended to fund road projects. In addition, a slowdown in growth meant that revenues have dropped off. The loss of the abusive driver fees, combined with the revenue slowdown resulted in a $1.1 billion transportation shortfall. An estimated $230 million of that will come from Northern Virginia.
And since maintenance is the state’s first priority, VDOT will take money from new construction projects to cover the maintenance of existing roads. Over the next five years, Fenton said, $2.8 billion will be shifted from construction to maintenance. About $527 million of that will come from Northern Virginia.
So the problem is pretty significant, Fenton said.
The Kaine solution
The major proposal that will be addressed on Monday is Gov. Tim Kaine’s (D) funding solution. Though the governor has not yet named legislators who will champion his bill in the General Assembly, he has been criss-crossing the state, trying to drum up support for his tax increases.
Kaine’s plan is a three-pronged approach based on safety improvements, regional fixes and alternatives to roads. Each piece of the transportation puzzle is accompanied by a tax increase to fund it.
Kaine calls the first part of his proposal the “safety first” program. If approved, it would create a stable maintenance fund to keep bridges and roads in good repair.
A maintenance fund would be used to repair or replace aging bridges and roads and would also free up existing funds for new roads and transit projects. To pay for the maintenance fund, Kaine would increase the annual vehicle registration fee by $10. He’d also up the statewide automobile sales tax from 3 to 4 percent.
Those two tax hikes would raise $400 million in the first year, and all of that would be dedicated to the maintenance fund, according to Kaine.
The second piece of the Kaine plan is called “regional relief,” and is a targeted approach for Northern Virginia and Hampton Roads.
The governor’s plan would increase the sales tax by 1 percent in both regions on everything except food and medicine. The funds would be used only for regional projects.
The final part of the transportation puzzle is Kaine’s “transportation change fund.” The governor has called for the creation of a special fund to pay for alternative solutions, such as transit, rail, telework and ridesharing.
Under his plan, 75 percent of the fund would be used for transit and rail projects while the rest could be used for new solutions to gridlock, as well as for airports and harbor projects that support economic development.
To fund the transportation change fund, Kaine has proposed increasing the grantor’s tax by 25 cents statewide. That’s less than the 40-cent tax hike that was approved only for Northern Virginia last year before being struck down by the Virginia Supreme Court.
Other solutions
As of Tuesday, two delegates had introduced transportation funding bills of their own. None of the four bills would raise taxes but would change the way current funds are allocated.
Fredericksburg Delegate Mark Cole (R) introduced three bills. One would reallocate construction funds based on the number of registered vehicles in each jurisdiction. Another would distribute the funds based on population instead.
Cole’s third bill would increase the amount of sales tax dedicated for transportation, though it would not raise taxes. Currently, one-half of one percent of the state’s sales tax goes to transportation funding. Cole’s bill would increase that number to 1 percent, though in 1/10th-percent increments over the next five years. And if the state’s General Fund starts declining, the transportation transfers would stop.
Fairfax Delegate Dave Albo (R) has also introduced a proposal. Albo’s bill would allocate transportation money based on population among the state’s nine transportation districts.
In addition, Newport News Delegate Glenn Oder (R) has proposed a constitutional amendment that would protect transportation funds so money meant for roads cannot be used for other purposes. Similar amendments have failed repeatedly in the past.
Other proposals are expected by Monday, including proposals to increase the gasoline tax. Kaine has said previously that he doesn’t think that will fly and last Thursday, former Gov. Mark Warner (D) weighed in, saying he doesn’t expect the gas tax bills to go anywhere either.
“With record gas prices, I just don’t think you’re going to see a gas tax increase,” he said.
And while Kaine has expressed optimism that a compromise will be reached, many legislators have gone on the record saying they think a solution is unlikely.
Some members of the Prince William Board of County Supervisors shared that view on Tuesday.
“I just don’t have any faith whatsoever that they’re going to come up with anything,” Chairman Corey Stewart (R) said Tuesday, saying both parties have been negligent for decades. “They’ve shown a lack of leadership down there for 20 years.”
The session will begin at noon on Monday, June 23. How long it will last is anyone’s guess.
You must be logged in to post a comment.