MORGANTOWN — Citing an estimated 39 percent drop over the next five years for West Virginia’s fund for new roads, bridges and other transportation improvements, Joseph T. Deneault, the chairman of a transportation coalition, said the state needs a long-term funding strategy.
The state Transportation Department estimates its improvement fund will shrink from $168 million this fiscal year to $102 million in 2012, a 39 percent drop, said Deneault.
“We used to say it took $1 million a mile to build a new stretch of highway. Today, it’s closer to $10 million-a-mile,” he said.
Balanced against the needs of various communities around the state — the state DOT has a long-term list amounting to $20 billion in projects — the funding shortfall is serious, Deneault said. A former State Highway Engineer, he is the chairman of “West Virginians for Better Transportation” (WVBT).
The group is trying to build support for a long-term funding plan. The state DOT estimates the current annual shortfall is about $350 million.
Deneault praised state lawmakers for taking steps to strengthen the state’s general road fund earlier this year by about $142 million.
The costs of the Highway Courtesy Patrol, State Police highway enforcement and vehicle weight regulators were moved out of the road fund by House Bill 2877 (HB 2877). The move added about $15.5 million to the road fund.
While contractors will continue to pay a six percent sales tax on materials used in highway construction and road maintenance, the taxes collected will be re-directed to the road fund. The measure (SB 690) adds about $13.5 million to the fund.
The Legislature continued a nickel-a-gallon tax on retail gasoline sales until August 2013. The measure generates about $55 million annually for the fund.
And Gov. Joe Manchin lifted a freeze on the 4.5 cent wholesale tax increase. The move will add about $63 million this year to the road fund.
Deneault noted that for the first time since 1933, the state Legislature has empowered counties to construct roads, water treatment plants, storm water and sewage facilities.
He and U.S. Rep. Alan B. Mollohan, the other featured speaker at a public meeting here Monday, said the County Infrastructure Improvement Bill (SB 673 passed in March 2006) is an option for growing communities such as Morgantown.
The bill allows counties to impose a countywide service fee. The fees are used to pay revenue bonds for specific infrastructure projects. The measure must be submitted to voters for their approval in a referendum.
Mon County is preparing such a bond proposal for voter approval in February.
In a summary of the “county option” bill while it was being considered by lawmakers, Michael Garrison, now West Virginia University president, wrote that traditional state sources of funds for new roads may not be enough to build new roads for economic development.
The state’s use of motor fuel taxes, the vehicle title privilege tax and registration fees, “and turnpike fees collectively fund more miles of state-maintained roads (determined on a per capita basis) than any of the other 49 states,” Garrison wrote.
Garrison’s summary was part of a package of materials handed out at Monday’s forum here. The meeting was sponsored by WVBT.
Deneault and U.S. Rep. Alan B. Mollohan were the featured speakers.
Mollohan stressed planning in his remarks. He said state residents need to understand both the process and priorities that drive how their highway tax dollars are spent.
Competition for federal and state highway funds means new roads and bridges must be carefully planned, he said.
“The best plans win,” he said. Supporters must take the time to ensure that their communities realize all of the challenges of paying for new roads and bridges, he stressed.
The projects that actually solve local transportation problems and push economic development and diversification stand the best chance of being funded and built, he said.
“We’re going to build roads in West Virginia. We’re just not going to build $20 billion worth,” he said Monday, citing the long-term list of new projects put out by the state Transportation Department.
Because of its growth centered in Morgantown, “North Central West Virginia is the best area for your buck” in terms of improving transportation, he said.