The Committee of 100 | FYI Archives

The media is full of misinformation about funding for transportation in Delaware, and even more off base when discussing the Transportation Trust Fund. Either the reporters are very young and not from Delaware, or they've not bothered with history. Exacerbating the problem is the fact that few get the connection between a healthy economy and adequate transportation infrastructure.

When the Transportation Trust Fund (TTF) was established in 1987, it was meant to provide a reliable source of funding for maintenance and construction of Delaware's transportation system. It was understood that the tolls, fees, and taxes supporting the TTF would need to be increased on a regular, ongoing basis to keep up not only with inflation, but also, with the maintenance and construction needs of the State.

When Delaware hit difficult financial times, beginning in 1991 during the Castle Administration, resources were "borrowed" from the TTF by "temporarily" moving transportation operations costs from the General Fund into the TTF. The promise, at the time, was that, as the economy improved, these operations dollars would be moved back to the General Fund to ensure that the TTF had the necessary resources to continue to provide for Delaware's transportation maintenance and construction needs.

In addition to this "temporary" movement of operations into the TTF, the increase in income to the TTF, via tolls, fees and taxes, has not kept pace either with inflation or with the growth in the State's budget. As a consequence, there is now insufficient funding, via the TTF, for the many needed transportation projects across our State.

Every year during their tenures as Secretary of Transportation, both Anne Canby and Nathan Hayward told members of the General Assembly that the Transportation Trust Fund was insufficiently funded and that the revenue sources had to be increased if needed transportation projects were to move forward. In 1993, when the Carper Administration was seeking revenue increases for the TTF, The Committee of 100 warned members of the General Assembly of the consequences of not adequately funding the TTF. Year after year, as The Committee of 100 and other business organizations have supported increased finding for the TTF, we have repeated the same message. Last year, The Committee of 100 Executive Director Beverley Baxter watched, again, as Nathan Hayward, before the Joint Senate Bond Bill/House Capital Infrastructure Committee, in a dire PowerPoint presentation, presented a stark picture of increasing land, materials, and construction costs, the TTF's inadequate funding, and need to secure additional revenue.

This year, when the new Secretary of Transportation, Carolann Wicks, had to tell the Bond Bill/Capital Infrastructure Committee that there wasn't even enough projected revenue in FY 2007 to give each legislator his or her annual $275,000 in Community Transportation Funds (formerly Suburban Street Funds), the legislators got it, sort of. They understood there was a problem and some promptly blamed former Secretary of Transportation Nathan Hayward for poor communication. Bill Oberle went so far as to say that if Nathan "were a member of an elite military unit, he'd be shot for what he's done."

The Bond/Bill Capital Infrastructure Committee quickly found $32 million so each legislator will get his or her Community Transportation Funds. In addition, the Join Committee found nearly $60 million to ensure that projects already under construction can continue, signed contracts can be honored, and federal dollars not be lost. Most other projects will be delayed, as will the tough decisions.

The tough decision of how to ensure adequate funding for the Transportation Trust Fund has, apparently, been put off for yet another year. It is one-time surplus cash that will plug the hole in the dike for FY 2007. Also put off is the tough process of prioritizing projects with prior authorization from the General Assembly for which there is, now, inadequate funding. With little alternative, Secretary Wicks has recommended delay. Large projects, such as the I-95 improvements, will be divided into segments and stretched over more years; other projects, such as the I-95 toll plaza will be delayed.

While the media is full of who's at fault and who should have known, the real issue is what we are going to do now. While some are claiming that there is fluff in the list of projects waiting for funding, the reality is that most projects are the result of real need, and address safety, capacity, and/or economic-development issues. While it is clear that we cannot complete all the projects listed in the 6-year CIP within six years, and that it will be necessary to prioritize projects for a longer buildout timeframe, it is also clear that we must address the real need to adequately fund the Transportation Trust Fund.

There are projects waiting for funding which are essential to Delaware's economic health. Everyone understands the black eye Delaware gets from the congestion at the I-95 toll booths and the I-95/Route 1 intersection. But there are numerous other projects that need funding. one example is the I-95 Northbound exit ramp to Northbound US 202. In addition to its high accident rate, this segment is an essential part of the US 202/Route 141 improvements connected to the expansion of AstraZeneca at its Fairfax site, as is the Tyler McConnell Bridge. Delaware committed to these improvements when we asked AstraZeneca to locate its headquarters in Delaware. Across Delaware there are such examples of transportation projects which are necessary to maintaining the health of Delaware's economy and the quality of life of our communities.

It is clear that, in an election year, the General Assembly is not going to raise too, fee, or tax income lines in the TTF. The currently-proposed infusion is from surplus dollars from DEFAC's FY 2006 projections. However, that one-time infusions will not solve the long-term problem.

One way to begin addressing the TTF income shortfall would be to begin shifting operations back to the General Fund. While a modest amount was shifted last year, and another modest amount has been approved by the Joint Finance Committee for FY 2007, The COmmittee of 100 is supportive of those legislators who are proposing a four-year plan to shift current transportation operations to the General Fund. This would begin to provide a more permanent solution to a problem which members of the General Assembly will face each and every year until funding for the TTF is adequately addressed.

Central to maintaining a healthy economy in Delaware is adequate infrastructure, especially transportation. If we are to keep and attract jobs, we need to ensure that Delaware businesses which are ready to expand, or quality businesses we are trying to attract, can do so. Without adequate transportation infrastructure, they cannot.