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Published byEdwin Hawkins Modified over 9 years ago
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California’sInfrastructureCrisis February 5, 2012
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Statewide Transportation System Needs Assessment 2011 “California’s transportation system is in jeopardy. Underfunding – decade after decade - has led to the decay of one of the State’s greatest assets.” - California Transportation Commission 2011 - California Transportation Commission 2011 2
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Neglected Improvements are Staggering California’s unfunded needs are - California Transportation Commission - California Transportation Commission Statewide Transportation Needs Assessment 2011 3
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Caltrans Maintenance Needs are Growing 4 - Legislative Analyst’s Office, 2011 - Legislative Analyst’s Office, 2011
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Infrastructure Report Card 5 - Statewide Transportation Needs Assessment 2011 CALIFORNIA Pavement: 58% of California Roadways Require Rehabilitation or Pavement Maintenance Bridges: 20% Require Major Maintenance or Preventative Work 6% Require Complete Replacement
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Infrastructure Report Card 6 - Texas Transportation Institute CALIFORNIA 6 of the Nation’s 10 Worst Urban Area Pavement Conditions 14 of the Nation’s 20 Most Congested Transportation Corridors 66% of California’s Major Urban Highways are Congested
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Poor Road Conditions Cost Californian’s $13.9B Annually $586 Per Motorist Contribute to More Than One-Half of US Highway Fatalities: More than Drunk Driving, Speeding or Failing to use Seat Belts 7 - TRIP
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Population will Grow from 38MM to 44MM by 2020 VMT is growing 10 times faster than lane miles. - Governor’s 2006 Strategic Growth Plan Truck freight is expected to increase 75% by 2035. - Statewide Transportation Needs Assessment 2011 8
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Funding Will Collapse in 2013 9
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Jobs 10 Each $1B Invested in Transportation Creates approximately 30,000 Jobs (15,000 Direct and Indirect Transportation Jobs & 15,000 Induced Jobs) The Construction Industry is Reporting 20-40% Unemployment - Federal Highway Administration - Federal Highway Administration
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Commerce at Risk 84% of U.S. Economy Dependent on Transportation Infrastructure Fully Funding Transportation Needs Would Increase California’s Gross State Product 5% – 7% 11 - Statewide Transportation Needs Assessment 2011 - US Chamber Foundation Study
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Funding Solutions Encourage Public-Private Transportation Investment Reinstate Vehicle License Fee Annual Increase of Fuel User Fee Harvest Cap & Trade Fees Institute a Tire User Fee Institute VMT Fee 12
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Public-Private Transportation Investment
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Public-Private Investment 14 P UBLIC -P RIVATE T RANSPORTATION I NVESTMENT Encourage Privatization of Transportation Systems, when applicable Support Appropriate Revenue Generation (Tolls or Other Mechanisms) to Attract Private Transportation Investment
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Transportation California Recommends: Adopting Legislation Necessary to Attract Private Transportation Investment California’s Goal Should be to Attract $1B of Private Investment into Transportation Infrastructure Annually Recommendation 15 P UBLIC -P RIVATE T RANSPORTATION I NVESTMENT
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Vehicle License Fee (VLF) 16
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Transportation California recommends Transportation California recommends: Increase Vehicle License Fee to Pre-2006 Rate Schedule 2% of Vehicle Value (currently.64%) 1.36% of the Taxable Value of California’s Vehicles Raises approx. $3.7B Annually Recommendation 17 V EHICLE L ICENSE F EE (VLF)
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Fuel User Fee S OLUTIONS
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Fuel User Fee Increase Will… Promote Innovation Decrease Dependency on Foreign Oil Improve Air Quality Fund a Modern Transportation System Create Jobs 19 F UEL U SER F EE
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Fuel User Fee Most Practical Funding Solution Simple & Fair Easily Administrated In Concert with Sound Energy Policy Surprisingly Inexpensive 20 F UEL U SER F EE
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Fuel User Fees Too Low 21 F UEL U SER F EE California - 55 ¢ Per Gallon - Building America’s Future Fees Cover Only 50% of Road Maintenance & Operations - Building America’s Future Transportation Infrastructure Report 2011 Transportation Infrastructure Report 2011 Canada & Europe – $4.43 Per Gallon (Average) Fuel User Fees are Green!
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Each 1 ¢ Fuel User Fee Costs the Average Driver $5.54 Per Year Raises $200MM Annually 22 F UEL U SER F EE
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Recommendation Transportation California recommends Transportation California recommends: A Regular Annual Fuel User Fee Increase of 8¢ Per Gallon 8¢ per Gallon Raises approx. $1.6B Annually 23 F UEL U SER F EE
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Harvest Cap & Trade Fees
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Cap & Trade Fees 25 C AP & T RADE F EES California will Begin Collecting Fees Associated with Fossil Fuel-Related Air Pollution in 2012 Re-investing Cap & Trade Fees into California’s Transportation System will: Improve Air Quality Reduce Emissions Serve the Goals of Cap and Trade Policy
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Transportation California recommends: Cap & Trade Fees Collected from Transportation-Related Pollution be Directed to the Maintenance of California’s Transportation System Cap & Trade Fees Could Raise $2B Annually Recommendation 26 C AP & T RADE F EES
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Tire User Fee
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Recommendation 28 T IRE U SER F EE California Consumes approx. 35MM Tires Annually Transportation California Recommends: A $10 Per Tire User Fee be Assessed A $10 Per Tire Fee Raises approx. $350MM Annually
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Vehicle Miles Traveled (VMT) Fee
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Recommendation 30 V EHICLE M ILES T RAVELED (VMT) F EE Californian’s Travel approx. 350B Miles Each Year Transportation California Recommends: A 1¢ Per Mile VMT Fee 1¢ Per Mile VMT Fee Raises $3.5B Annually
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Funding Solutions Raise Annually Encourage Public-Private $1.0B Transportation Investment Reinstate Vehicle License Fee$3.7B Annual Increase of Fuel User Fee$1.6B Harvest Cap & Trade Fees$2.0B Institute a Tire User Fee$.35B Institute VMT Fee$3.5B 31 $1B equals 30,000 Jobs
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Infrastructure investment will energize economic performance! 32
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