HomeMy WebLinkAbout121012_cabs01JEFFERSOI\ COUVTY
BOARD OF CUUI\TY CUMMISSIOl~ERS
COtiI~TY ADMINISTRATOR'S BRIEFING ACENllA REQUEST
TO: Board of Counh~ Commissioners
N'KOA7: Philip Morley, County Administrato r i-
~ ~
DATE: December l0, 2012
RF.: Counh Administrator's Briefing: Counh'/Cih• Discussion of State
Transportation Funding Options
S'I'ATEA4E1\'~I' OF ISSUE: :1s the 201 ± state Lc<,islativc Szssion approaches. cite and county
organizations arc considering proposals lix funding transportation needs. \4a~or King and
Deputy It4ayor Nelson will ,join dte Commissioners to discuss potzntial areas of alignment
between JclTcrson County and the Ciu of Port Townsend.
;~\:1L1'SIS: P':ease see the attached backereund materials provided by ~4ayor King regarding
transponation funding options being considerzd by ~~'ashington Mayors. In addition.
background materials from the Transportation ~~'orh Group oY the Washington State .Association
of Counties' Lzgislative Steering Contmittec are also attached.
FISCAL IAII'ACT: None. Discussion of state legislative options.
RF.C03I1\IEl\D;1Ti0~': hold a discussion of the respective city and county legislative
approaches and explore ccunmon ground.
RE~7E~ED BY:_)
,_' -~,.L%',,~~ //1 ~- ~~ /LSE ~/z
iilip i`1orl~ County Adn ~ 'strator llatc
WASHINGTON MAYORS
TRANSPORTATION POLICY PRINCIPLES
bVashington's cities arc essential componen*s of the economic engine on which our state and region
depends. Ow• weakening transportation funding picture puts at risk an already fragile economy.
State and local leaders must act now to provide robust transportation funding focused on job
creation and support of the state and local economies. Additionally, with 85°/v of all trips being five
miles or less, local streets are the backbone of ~1•'ashington's connectivity and mobility. City streets
and bridges are critical to making the state U-ansportatio^ system wholes N'e need transportation
funding that addresses the whole system and is fair for small, large, old and new cities with balance
behveen maintenance and presen-anon and modes and projects that allow us to meet emerging
needs.
Mayors from Washington cities are calling on the legislature to act now to pass a
transportation package that reflects the following principles.
PRINCIPLES THE NEED
Provide stable funding for the The network of local streets and bridges is an essential part of the
state's whole transportation statewide transportation system that moves people and
system commerce. As our transportation demands continue to grow, we
are losing the battle to maintain and improve infrastructure. Gas
tax revenue, which accounts for the largest share of state
transportatiou fwtding, is declining and projected to decline by
more than SS billion behveen 2007 and 2023. The elimination of
the MVET cut revenue by 5750 million annually.
Provide sufficient authority to Cities need options for more flexible taxing authority to fund their
meet local transportation unique transportation priorities. The options need to provide the
needs. Support new local opportunity to raise significant amounts of revenue to meet local
councilmanic options for needs. The state should also clarify responsibilities for preserving
more robust and flexible and maintaining state routes through local communities.
transportation funding
Allocate funds to cities in the Competition for funding of critical preservation and maintenance
most cost-effective vvay is an inefficient method of allocating fwtds, particularly for larger
possible cities that have a sizable backlog of unmet needs. Further, a
balanced state package should address capital needs, personal and
fi-cight mobility, a•ansit, and other alternatives. One option is to
increase direct grants through the Transportation Improvement
board.
PRINCIPLES THE NEED
Revise allocation of local The existing gas tax formula has diminishing returns for rities; a
share of gas tax to better new formula should be devised and implemented.
reflect incorporations
Provide and sustain increased Transit systems depend heavily on local sales tax revenues, which
support for transit as an dropped 1"Z.7% from 2008 to 2009. Meamvhile, the demand for
integral component of our public transportation is rising and demand in the future is
regional economies expected to rise even more. Dur state's population is projected to
groca~ by more than 28~% during the next decade and employment
is projected to grow by 25~%. The need to provide tlexible and
diverse transportation options is crucial to the health and
competitiveness ofour regional econom i .
Provide long-term funding to There are federal and state mandates of v.~hich pare may be
help keel? pace with federal or supportive but do not have the resources to implement. Examples
state-initiated mandates and of these mandates include ADA, gro~~rth management, storm water
^cw standards and dunking water requirements.
RG
I mns trending RGS
Uctoher I. 2t)12
Version??
RF.SOLCTIOV
A RESOLUTION slating The City of support for the 'First Step' transportation
fwtding plan.
WHF.RF..AS. \\'ashin_>ttm's transportation s} stem is the backbone of out' economy. prop iding th
vital connections that link our homes to our work places and carry product, to market
and
\\'HERLAS, A strafe state and local transportation system is necessary to crea[e and maintain
jobs in our region; attd
\\ HF.RF.AS. Otlr transportation system suffers fmm a structural deficiency in how we fund road
attd transit: and
1\'HLRIAS. llcmands on our transportation system are ~rowin at the same time that we are
losing the purchasing power receded to maintain and improve the system area
\\ I IEREAS. Fully 27 percent of all trips in the state occttr on city streets: and
WIIERLAS. Cities will need at least an estimated $3.4 billion in the next ten years to maintain
and repair city streets and bridges; and
WitERE.AS. Public transit will require an additional $2 billion over the next decade simply to
restore transit service to current levels of service: and
R'FiF.REAS, Investments are needed now to repair and maintain our statewide system of roads.
streets and bridges, and to operate and maintain ferries and transit services: and
~V'HF.REAS, The Great Recession and restrictive state law are making it dif'licult for cities to
fund the preservation and maintenance of local roads; and
WHEREAS. Without action. our uansportation system will decline rapidly, threatening public
safety and ow state's economic recovery: and
\\'1IEBLAS, bailing to address critical tr<•utsportation needs now will undermine our economic
competitiveness in regional and intcrna[ional markets:
NO\\'. 'fHL-'BEF'ORE,
BE I'f KESOLV'ED Bl` THF. CITY CO(TCII. OF TILE CI'T'Y OF ,THE
i\lAY'OK COrCL RR[NG. THAT:
revi.eJ: Demnihe: Ii. ?Ol l
2 Section 1. The City of supports the 'First Step' Transportation 1'undine
3 proposal to address immediate needs by generating approximately 58.E billion over ten years for
4 roads and transit projects with the following sources. I) Raise the gas tax by eight cents per
g gallon, that would he shared by the state, cities and counties. 2) Create a one per cent \~lutor
~ Vehicle Excise Tttx option that counties could enact either by public vote or councilmanic action,
7 the proceeds from twhich .would be split between i'ountics and cities in a 6~i35 proportion. +l
g lxpartd the license fee authority for local jurisdictions frintl S20 to 540. 4) Establish an annual
q electric vehicle iee of X200 in order to approximate an average cost of $216 per vehicle.
I O Section 2. 'fhc City of urges the Governor and the Legislature to
I 1 consider sustainable funding sources in order to sustain our transportation system well into the
12 fitturc. and to develop along-term funding strategy in the 2014 legislative session.
1; Section 3. The City of supports the passage of legislation containing local
14 options (br transportation hording in order to relieve the pressure that underfunded transit
15 agencies and road repair and maintenance needs oY;jurisdictians.
16 Section 4. 1'he City Clerk is hereby directed to transmit copies of this resolution to the
17 Governor of i~ ashingam, the State Lands Commissioner! Federal pubic oflicials, and to each
1 g Senator and Kepresentative tiom the City of _ _ in the State of ~t'ashington
) q Legislature.
20 adopted by the City Council the day of . X012. and
21 signed by me in open session in authentication of its adoption this day
~~ of . X012.
--
23
24 President of the City Council
25
26
~~
Form last ;cs'iscd- December R. 2011 _
?R
RG
l7aas Funding RPS
Oclo6cr L?012
Varsan ~_
i THF. Vt.4YOR COVCliRRNG:
3
4 ~Qayor
5
~ Filed by me this _ day oi'
7
8
9
} p (Seal)
11
12
l .i
14
IS
16
l7
18
19
2p
21
,~
'?
2q
25
26
27
Fcrm Isc[ revisal. Dacember !.201 I
~R
2012.
-. Cite C'lerh
~' DRAFT
LSC Transaor•tation Work Grouv Recommendations for 2013 transportation firndin
1. Counties need increased revenues of approximately $150 million annually for road
maintenance and preservation.
• The ~onnecUnc'sh'ash neto^ Tas~ Ferce identi`ied a ' u-rear ^eec o` X1.5 billion for county road
preservation and mai^:ena^pe.
• The purchasina pourer of state-shared tv1V~T has declined by half over the past 15 years.
2. Needs for increased public transportation {transit) funding are in addition to the
above.
3. Continue to advocate for a mix of revenue options including, but not limited to,
increases in state shared MVFT and transportation fees.
• _,_v nr.rv~sc n fh~ state P.":~~ ~',, ~~ c he ad~ed t~o tt~a_ base )~;1'v=T o` 23 cuts ..nder RC'a'J
-~ f _ ~ 4 J' ~ ~~,'fi s r.__= ~~ ~LQ ':4_c_.nc,asp 2?_~~°'s
~cu^aes need ? cent inaease it base PAVFT at a minimum.
• Increase the amount for county arterial prosenra:.on m RC+P! 46.68x0°0f2;(9 from 45 to .65 cents.
• Establish local bridce~culvert repair and replacement program with dedicated base to1VFT of .50 cent.
4. Continue to develop local option proposals that provide more flexibility for adoption
and implementation.
P.Ilew setting of ve hicle fee uo :o S40 at county level by county legisalive authority
• Allo~n settinC of u p to 0.7:10 PAVET at county level by county leeislative authority
• Allow settinc of u p l0 3 cents MVFT at county l evel by county leais'sative authority
Pure flexible options for distribution of funds a re needed i+vark with cities tc develap optlonsl Potential
ao6ens include.
o Distribute funds by count of wehic! es with unincorp orated count weiohted
n Others distribut ion methoes that r ecoar,ize the imp ortance of trave~ on the county road system
by a l caunty re sidents
Washington State
Association of Counties ~~ ~ ~~
~' DRAf T
LEGISLATIVE STEERING COMMITTEE ~~
ISSUE PAPER
Date November 13.2012
Category Decisien
Policy Area Transcortation
Subject Trar.sportatior: Funding
Staff Contact Gary Rowe: gro:ve~wacounties.org
Background
Washington's state and local transportation agencies rely on a combination of motor vehicle fuel tax
(MVFT) and transportation related fees to fund the maintenance, preservation and improvements of
both the state and local transportation system.
Prior to 2003 counties received 4.423 (18.4%) cents of the "base` 23-cent state M'JFT. In addition to
the MVFT distribution to counties, .45 cents is programmed for the County Arterial Preservation
Program (GAFF) and .58 cents prcgrammed for the Rura Arterial Program (RAP). The slate
legislature increased the overall MVFT by 5 cents (Nickel Package} in 2003 and by 9.5 cents
(Transportation Partnership Act) over a period of three years beginning in 2005 bringing the total
state fuel tax to 37.5 cen±s. The Transpo^,ation Partnership Act increased the county share of the
fJVFT by one half cent bringing it up to 4.923 cents ("3.1 %). Overall, state-shared "~AVFT to counties
is approximately 5 cents (approx. 5180 million).
Growth in motor vehicle fuel lax has been flat due to slovr economic conditions ar.d more fuel e`fc~ent
vehicles. Revenue forecasts continue to expect low to no growth for the foreseeable future. Costs to
maintain and preserve transportation systems. on the other hand, continue to grow with increased
costs for labor, materials and equipment. Over the past fifteen years. the purchasing pourer of the
stale-shared MVFT has fallen by over S80 million.
Counties rely on local property tax. state-shared A^VFT, and federal surface Lanspcrtation funds for
about 85% of local transportation revenues. The local road property tax was adequate in the early
half of the past decade, but growth in property tax over the last several years has been flat or
declining. Over the past five years alone the purchasing power of Icca! road property taxes has
declined by nearly 522 million. In addition to lower grovrth in property taxes. some counties are at the
$2.25 levy cap, ;vh ch combined with lower property values has reduced road tax revenues.
In 2011 Governor Gregoire convened the Connecting'Jdashington Task Force. Counties were
represented on the task force by Benton County Commissiener Bowman. Kitsap County
III ll
Commissioner Garrido. and King County Deputy Executive Jarrett. The task force identified
approximately 51.5 billion in ccunty maintenance and preservation needs over the next ten years.
In the 2012 legislative sesson, transportatlon related fees were increased. The state supplemental
transportation budget provided an allocation of 53.5 million in funds for the county arterial
preservation program (CAPP) with a promise of an additional S10 million over the 2013-15 biennium.
No commitment evas made beyond the next biennium.
Several efforts are underway to develop a transportation funding package for the 2013 legislative
session. Those efforts include aroposed increases to the state MVFT to address state mega-projects
like the SR 520 floating bridge along v+ith ether state highv+ay improvements. Several proposals to
expand local options for transportation. revenue have also been put forward.
Recommendation;
Counties have been asked to develop a position on transportation funding by Governor s office and
chairs of legislative transportation committees. Counties also need to be in a position to respond to
transportation revenue proposals as they may arise.
With the above in mind, staff shall continue to advocate the foilcwing:
• Counties need for increased revenues are in the range of S100 to S150 million annually for
road maintenance and preservation.
• Needs for increased public transportation (transit) funding are in addition to the above.
• Continue to advocate for a mix of revenue options including, but not limited to, increases in
state shared P,~VFT and transportation fees.
• Continue to develop local option preposals that provide more flexibility for adoption and
implementation.
WSAC staff shall work v+ith the LSC Transpcrtation Work Group. The Transportation 'J~rork Group
will assist staff throughout the legislative session in carrying out the above recommended
transportation revenue options.
~ DRAFT