April 1, UPDATE Texas Business Leadership Council John A. Barton, P.E. – Deputy Executive Director

April 1, 2015 System Size ― By the Numbers 2  80,268: number of centerline miles maintained by TxDOT  195,022: total number of lane miles  52,536: total number of bridges  305: number of airports eligible for TxDOT funding  8,006: number of transit vehicles used in Texas  1,600: number of parcels of real estate needed for transportation projects  11,722: number of TxDOT employees in service to you

April 1, 2015 TxDOT Districts 3

April 1, 2015 Scope of Control 4 Tourism  834,891 travel literature requests fulfilled by mail  DriveTexas.org had 491,768 inquiries.  Texas Highways Magazine average circulation, more than 196,000 readers  TxDOT’s Travel Information Centers served:  approximately 2 million visitors  generated estimated $82.9 million in incremental visitor spending  supported 829 jobs and brought in $4.56 million in state tax revenue.* *Office of the Governor, Economic Development & Tourism; FY 2013

April 1, 2015 Scope of Control 5 Traffic Operations  Maintains more than 5,000 traffic signals throughout Texas  Cost: approximately $33 million  Operates:  About 825 dynamic message signs  1,830 closed circuit cameras  14 traffic management centers and offices  Receives more than 500,000 motor vehicle crash reports annually  Maintains approximately 3 million crash reports  Manages public education campaigns, e.g. impaired driving, passenger safety, etc:  Click it or Ticket: Since 2002, statewide safety belt use has increased from 76.1% to 90% in 2013  Has saved more than 3,600 lives and prevented more than 50,000 serious injuries

April 1, 2015 Funding Shortfall 6 Congestion/Maintenance Need:  Additional $4 billion a year Energy Sector Need:  Additional $1 billion Proposition 1:  $1.74 billion for FY 15  $1.2 billion for FY 16

April 1, 2015 Average Annual Funding for Long-Term System Performance ( ) 7 *Some current conditions may be maintained by Proposition 1 ($1.74 B in FY15). Future Proposition 1 funding is uncertain and not held constant. Additional funds to maintain or achieve performance may increase due to inflation and changes in system condition.

April 1, 2015 Prop 1 Funding Constitutional amendment passed by nearly 80% of voters in Nov  Proposition created no new taxes or fees  Redirects portion of oil and gas tax revenues that would go into the Rainy Day Fund  $1.74 billion transferred to State Highway Fund in FY 2015  First Prop 1-funded projects let in March FY 2015FY 2016*FY 2017* $1.74 B $1.2 B *Estimates CategoryAmountPct. Congestion (MPOs)$696,000,00040% Connectivity$522,000,00030% Maintenance (TxDOT Districts)$261,000,00015% Energy Sector Needs$261,000,00015% Total$1,740,000,000100% 8 FY 2015 Prop 1 distribution  Areas affected by energy sector development will receive 33% of FY 2015 Prop 1 funding

April 1, 2015 Current Budget Bills $2.4 B Prop 1 Funds $1.2 B One-Time Motor Vehicle Sales Tax Allocation * Ending State Highway Fund Diversions $1.2 B Proposed Additional Funding Sources for FY State Budget $2.4 B Prop 1 Funds $1.5 B One-Time General Revenue Allocation * Ending State Highway Fund Diversions $1.2 B Texas Senate (SB 2) Texas House (HB 1) * Contingent upon legislation related to deposit of MVST to the SHF * Contingent upon legislation related to the operations and functions of TxDOT 9

April 1, 2015 Comparative Cities Population and GDP 10

April 1, 2015 Senate Bill (SB) 5 / Senate Joint Resolution (SJR) 5 Bill and constitutional amendment to allocate portion of motor vehicle sales and rental tax to the State Highway Fund  Estimated revenue gain for the State Highway Fund*: FY 2018 $2.7 billion FY 2019 $2.9 billion FY 2020 $3.1 billion  Proposed constitutional amendment would be submitted to voters at an election in Nov and take effect Sep. 1, * Estimated by the Legislative Budget Board 11

April 1, 2015 House Joint Resolution (HJR) 13 Constitutional amendment to allocate portion of general sales tax to the State Highway Fund  Estimated revenue gain for the State Highway Fund: FY 2018 $3.58 billion FY 2019 $3.60 billion FY 2020 $3.62 billion  Proposed constitutional amendment would be submitted to voters at an election in Nov and take effect Sep. 1,