WASHINGTON STATE

Washington State House Democrats

HOUSE DEMOCRATS

New transportation budget creates jobs and continues progress on transportation

OLYMPIA—The transportation budget signed today by Gov. Chris Gregoire is being hailed as a model of bipartisan cooperation that relies on balanced investments and cost-saving reforms to move forward on projects and goals through the next two years, despite declining revenues.

The $9 billion budget funds operations at several agencies and includes $5.9 billion for capital investments and projects that are expected to generate more than 43,000 private-sector jobs.

“We brought together good ideas from all directions to create a responsible bipartisan budget we can all be proud of,” said Rep. Judy Clibborn, D-Mercer Island, who chairs the House Transportation Committee. “The transportation reforms and choices made this year will move Washington forward with projects and strategies that create jobs and improve mobility, safety and customer service throughout the state.” 

The capital investments continue the momentum on completing projects funded by the 2003 “Nickel” and 2005 Transportation Partnership Program packages.  Nearly 300 of these projects are already complete, and $2.8 billion is provided for remaining projects in 2011-13.

When the budget was passed by the House, Rep. Mike Armstrong, the lead Republican on the House Transportation committee, called the transportation plan a “bare-bones, tighten-your-belt kind of budget” that will do a good job of getting Washington through the next two years.

Armstrong (R-Wenatchee) and other Republicans praised House and Senate Democratic leaders for making the transportation budget a truly bipartisan effort that works with limited resources to address needs in all parts of the state.

Though lean, the budget’s investments in a full range of transportation choices won support from groups ranging from the Washington Asphalt Pavers Association to the Cascade Bicycle Club, and advocates for rail, pedestrians and public transit.

The budget makes significant multi-modal investments, including $414 million for passenger rail to enable Amtrak to add service and improve tracks and on-time performance. Another $50 million will go to rail grants and freight mobility projects. Washington’s aggressive pursuit of federal higher-speed rail funding that other states gave back produced big dividends for the passenger-rail improvements.

Other major multi-modal investments include $88 million for urban and rural transit systems, $29 million for the Safe Routes to School and bicycle-pedestrian safety program, and $283 million for ferry terminals and vessels.

“Given the revenue situation, this budget makes a very strong commitment to a multi-modal transportation future,” said House Transportation Vice chair Marko Liias (D-Mukilteo).

“New investments will also improve public safety by getting new computers and tools for high-tech communications to the Washington State Patrol and implementing a crack-down on DUI offenders with mandatory ignition interlocks,” Liias said.

Representatives for ferry-dependent communities expressed relief that lawmakers held annual fare increases to 2.5 percent over the next two years, with no reductions in service. The budget also includes $32 million to finish a third 64-car boat and $128 million toward a new 144-car boat. A separate bill calls for a 25 cent per fare surcharge to complete funding for the 144-car vessel.

While the ferry system will not reduce service, it will reduce costs. A ferry-worker agreement is expected to save more than $20 million between now and 2013, with administrative reductions saving an additional $5.3 million.

In addition to moving new projects forward, the budget invests $753 million in preservation projects to protect taxpayer investments in existing infrastructure. Washington is considered a national leader in protecting infrastructure. A new report by Transportation for America, a broad coalition of organizations promoting national transportation reform, ranked Washington fifth highest in the nation for the overall condition of the state’s bridges.

Belt-tightening is a major theme throughout the budget signed today. In additions to the savings in ferry operations, transportation agencies will trim $26 million from overhead and administrative costs. A 3 percent across-the-board salary reduction and reduced pension benefits will cut another $32 million in costs.

As projects in the 2003 and 2005 transportation packages are completed, WSDOT is directed to continue its right-sizing efforts, with an eventual reduction of 800 FTE positions.

To improve future efficiency, the budget calls for new performance measures for county transportation activities and state efforts to promote transit, bicycle and pedestrian trips.

Earlier this month, Washington was named one of 13 national leaders in using performance measures to ensure strong returns for taxpayers.  The ranking by the PEW Center on the States and the Rockefeller Foundation noted that these measures helped Washington to cut the business and commuter costs of traffic congestion by more than 20 percent between 2007-09.

Even with these efforts to cut costs and squeeze more mileage out of transportation dollars, Washington will face difficult funding challenges caused in part by the sluggish economy and declining gas-tax receipts due to improved fuel efficiency and alternative-power vehicles.

With existing gas taxes committed to long-term bonds for the 2003 and 2005 transportation packages, leaders are searching for new ideas to improve performance and garner revenues to continue the progress Washington has made on transportation in recent years.

The transportation budget and related legislation pursue new opportunities to partner with the private sector to improve service and help close funding gaps, while protecting the public interest. 

Transportation leaders will explore whether public-private partnerships can offer cost-effective opportunities to move forward on needed projects such as I-405, the Columbia River Crossing, and SR 167 in Pierce County, which local officials say could generate 80,000 long-term jobs due to improved mobility.

WSDOT must also explore opportunities to improve efficiency and cut costs by contracting with the private sector for the design—and not just the construction—of high-cost projects.

Another innovation will reduce wait time at drivers’ license offices by allowing school districts and driver training schools to administer driving tests. Another change aims to boost revenues while improving services by allowing private businesses to offer services at park and ride lots.

“New efficiencies, revenues and partnerships will all have to be part of our strategy for continuing our progress on transportation,” Clibborn said. “This budget provides the kind of model we’ll need to bring people and ideas together to keep Washington moving forward.”

A separate Clibborn measure signed today (HB 1382) authorizes WSDOT to use variable-rate tolls for HOV lanes on I-405, which will not only speed traffic through the corridor but also raise needed revenues for improvements along the eastside corridor.

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