Alternative Funding Sources

New Jersey policymakers face a July 1 deadline to come up with a way to avert the impending insolvency of the state’s Transportation Trust Fund. Meanwhile, Connecticut Gov. Dannel Malloy agreed last month to divert $50 million in sales tax revenues intended for his state’s Special Transportation Fund to help close a $1 billion budget deficit for the 2017 fiscal year. Such diversions have become commonplace in Connecticut and other states. Last December, Malloy called for a constitutional “lockbox” to prevent future diversions as a number of states have employed, but lawmakers could not agree this spring to put the measure on the November ballot. These stories return the spotlight to trust funds and lockboxes, which were the subject of a CSG Capitol Research brief last year.

The transportation policy roundtable during the 2016 CSG Transportation Leaders Policy Academy in Washington, D.C. wrapped up with a panel discussion on the future of the federal-state-local partnership on transportation. The panelists included Emil Frankel and Jeff Davis of the Eno Center for Transportation, Joe McAndrew of Transportation for America and Brigham McCown of the Alliance for Innovation & Infrastructure. They discussed what the Fixing America’s Surface Transportation (FAST) Act means for states, what happens after it expires in 2020, how states might be encouraged to innovate more on transportation funding, and why it’s important for federal and state governments to invest in better transportation projects in the future.

Ed Mortimer is executive director of transportation infrastructure at the U.S. Chamber of Commerce and leads the Americans for Transportation Mobility, or ATM, Coalition as its executive director. He was among the presenters at a policy roundtable CSG hosted on May 19 as part of the 6^th Annual CSG Transportation Leaders Policy Academy in Washington. He spoke about the importance of infrastructure to the business community, the importance of Congress seeing progress on transportation projects under the FAST Act, the importance of maintaining existing infrastructure and efforts to consolidate federal transportation programs.

Ten state legislators from around the country, chosen in consultation with the CSG regions, attended the 6^th Annual CSG Transportation Leaders Policy Academy May 18-20, 2016 in Washington, D.C. The academy took place against the backdrop of Infrastructure Week, a week of infrastructure-themed events in the National’s Capital and elsewhere. Attendees had the opportunity to participate in Infrastructure Advocacy Day on Capitol Hill and to meet with officials at the U.S. Department of Transportation. They took part in a policy roundtable with stakeholders and experts from such organizations as the American Society of Civil Engineers, the American Road and Transportation Builders Association, the American Association of State Highway and Transportation Officials, the U.S. Chamber of Commerce, Transportation for America, the Eno Center for Transportation and the Alliance for Innovation and Infrastructure. In addition, they attended briefings on state regulation of rideshare companies, autonomous and connected vehicle technologies and transit-oriented development. The group also toured the area around Navy Yard, a rapidly developing, transit-centric D.C. neighborhood that is home to Nationals Baseball Park and the U.S. DOT headquarters. And they heard remarks from Virginia Secretary of Transportation Aubrey Layne about the commonwealth’s efforts to reform its processes for transportation project selection and public-private partnership deployment. This page includes photos from the three-day academy, the complete agenda for the event and links to web pages where you can read extended excerpts of remarks from many of the speakers, view their PowerPoint presentations and find additional materials.

Next week (May 18-20), The Council of State Governments will host a group of 10 state legislators from around the country at the 6^th Annual CSG Transportation Leaders Policy Academy in Washington, D.C. As part of the academy, attendees will take part in activities around Infrastructure Week, a national week of events, media coverage, and education and advocacy efforts to elevate infrastructure as a critical issue. I have more about the academy and Infrastructure Week below as well as details about another key event CSG is involved with happening next month.

Rhode Island Gov. Gina Raimondo last week signed legislation to fund a multi-year bridge repair program with a new toll on large commercial trucks and a combination of borrowing and refinancing. Rhode Island, which ranks 50^th out of 50 states in overall bridge conditions, has been one of the only northeast states that does not charge  commercial trucks a user fee. There is also a variety of other tolling-related news from around the country as well as updates on the states to watch on transportation funding this year. Plus details on how you can join us for next week’s CSG eCademy webinar on the subject.

With the passage of the FAST Act by Congress in late 2015, states have some of the long-term certainty they have long sought in the federal transportation program. But can a mostly status quo, five-year transportation bill help states make up for years of inadequate investment in the nation's infrastructure. More than likely, more than a few will still feel compelled to follow in the footsteps of eight states that raised gas taxes in 2015. Some may also turn to tolling and public-private partnerships to help fund projects, although those tools in the toolbox have seen increasing scrutiny and criticism in some parts of the country. State officials face a variety of other challenges as well including how to plan for the technological and demographic changes that could radically alter the transportation landscape in the years ahead and how to deploy and enhance the kinds of transportation options that will make communities into livable, sustainable, economically vital places. Here are my top five transportation issues for 2016 along with more than 500 links to resources from CSG and a variety of other sources where you can read more.