proposition 1 and selected transportation projects in tarrant county
DESCRIPTION
Proposition 1 and selected transportation projects in Tarrant county. Southeast Tarrant transportation partnership October 8, 2014. Where Does Funding Come From? The Highway Trust Fund. Established in 1956 Functions as an accounting mechanism - PowerPoint PPT PresentationTRANSCRIPT
PROPOSITION 1 AND SELECTED
TRANSPORTATION PROJECTS IN TARRANT COUNTY
SOUTHEAST TARRANT TRANSPORTATION PARTNERSHIPOCTOBER 8, 2014
WHERE DOES FUNDING COME FROM?THE HIGHWAY TRUST FUND
Established in 1956
Functions as an accounting mechanism • Cash in: excise tax on motor fuels, trucks, tires• Cash out: spending on highway and transit programs
Made of two accounts• Highways• Mass Transit
The future status of the HTF is uncertain• Changes in oil prices, the economy, and fuel efficiency
all have major impacts on the HTF• Since September 2008, Congress infused the HTF with
tens of billions to keep the account solvent
TRANSPORTATION SYSTEM FUNDING BASICS
TxDOT BudgetPlan, Maintain & Build
Transportation Projects
Point of Collection*
Federal Highway Trust Fund
Highway Account Mass Transit Account
1/10 cent per gallon to EPA L.U.S.T. Trust Fund
• 1% General Fund• Refunds for non-road use• $7.3 million to County & Road District Fund • 25% Education
Diversions: Round 1
Diversions: Round 2
Other State Agencies
Portion Returned to Texas
Portion Sent to Other States
REFUNDED Less Than Put In
Federal Motor Fuel Tax Rates (Cents per Gallon)Gas/gasohol: 18.4Diesel: 24.4
State Motor Fuel Tax Rates (Cents per Gallon)Gas/gasohol: 20.0
Diesel: 20.0
*The Federal Government also imposes taxes on large trucks/trailers, truck tires, and usage fees for large trucks.
Fund 006
DPS
FUNDING SHORTFALLS
• Transportation funding shortfalls exist across all levels of government (federal, state, regional, local)
• Innovation and collaboration have become very important
• Traditional funding sources are unreliable Shortfalls create project delays Priorities are forced to change
• Highlights need to pursue alternative, innovative funding options
Toll roads Public-private partnerships Managed (Express) Lanes
PROPOSITION 1
Prop 1 will appear on the November 4, 2014, ballot for voter approval
Proposed language:“The constitutional amendment providing for the use and dedication of certain money transferred to the state highway fund to assist in the completion of transportation construction, maintenance and rehabilitation projects, not to include toll roads.”
ELIGIBILITY FOR PROP 1 FUNDING
Eligible projects include: constructing, maintaining, and acquiring rights-of-way for public roadways other than toll roads
Not eligible:• Toll roads or managed toll lanes • Programs (e.g., ITS, safety, signals, bicycle/pedestrian)• Transit projects
GENERAL PRINCIPLES OF PROP 1
• Focus on large projects• Focus on projects on the interstate highway system,
then other on-system projects• Few, if any, off-system projects• Seeking very traditional, roadway projects• Projects should be ready for construction “soon,”
though not necessarily “shovel-ready”• Projects must be in the current mobility plan• While maintenance projects are eligible, they should
not be a focus (except for in energy-producing areas)
PROP 1 – ANTICIPATED FUNDING AMOUNTS
• Anticipate $1.4 - $1.7 billion available statewide in first year
• Dallas-Fort Worth region’s share would be approximately $200-300 million (in first year)
• Annual allocations in the future, subject to legislative committee review of Rainy Day fund
1 2 3 4 5 6 7 8$0.0
$0.5
$1.0
$1.5
$2.0
$2.5
$3.0
Annual Severance Tax Allocation(Prior to 1988)
Total Oil and Gas Severance Tax Collected Per Year
Billion
s
General Revenue School Fund
25 Percent75 Percent
Source: Senator Robert Nichols, Chairman, Senate Transportation Committee
1 2 3 4 5 6 7 8$0.0
$0.5
$1.0
$1.5
$2.0
$2.5
$3.0
Annual Severance Tax Allocation(Current Law)
Total Oil and Gas Severance Tax Collected Per Year
Billi
ons
Rainy Day Fund
General Revenue
School Fund
25 Percent75 Percent
Source: Senator Robert Nichols, Chairman, Senate Transportation Committee
1 2 3 4 5 6 7 8$0.0
$0.5
$1.0
$1.5
$2.0
$2.5
$3.0
Annual Severance Tax Allocation(Proposed Amendment)
Total Oil and Gas Severance Tax Collected Per Year
Billi
ons
Rainy Day Fund
General Revenue
School Fund
25 Percent
Transportation Fund
75 Percent
Source: Senator Robert Nichols, Chairman, Senate Transportation Committee
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MAJOR ROADWAY IMPROVEMENTSIN SE TARRANT COUNTY
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15
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