Public Policy 2010

December 10, 2010

"Much more must be done to have
the world-class infrastructure we need."
 
Governor Bob McDonnell
December 9, 2010
 
Declaring "It's time to make prudent investments in transportation" and "We've got to do better and do better now," Virginia Governor Bob McDonnell announced some initial pieces of the transportation funding program he intends to pursue in the 2011 Virginia General Assembly. The Governor said additional components will be announced between now and January and that funding transportation will be a "multi-year effort."
 
Specific elements announced include:

• Lock box - Introduce a constitutional amendment to lock up the Transportation Trust Fund from raids from future Governors and General Assemblies.

• State Transportation Infrastructure Bank - Make direct investments, loans and loan guarantees for projects such as I-95 HOT lanes, the Coalfields Expressway and local, smaller projects. Initial funding would include $250 million in one-time "audit funds" and $150 million in anticipated state surplus.

• GARVEE Bonds - Authorize use of this mechanism to leverage future federal dollars.

• HB 3202 Bonds - Raise the level of annual sales from $300 million to $600 million. Details on how the increased bond payments would be financed were not provided.

• Revenue Sharing - Lifting the current $1 million per project cap and the $50 million program maximum.

Essentially, the Governor proposes to accelerate and leverage the investment of existing funds and use future revenues to build projects today. The Governor estimates total investment over the next three years at $3 - $4 billion.
 
While accelerating funding into projects to take advantage of favorable construction pricing is good news for the short-term, absent from yesterday's announcement was new, sustainable, longer-term maintenance and construction funding that the Governor in the past has acknowledged as essential to an overall solution.

The Northern Virginia Transportation Alliance is the only organization focused exclusively on working to make better transportation a reality for Northern Virginia citizens and businesses.

Contact Info: The Alliance Alert is a free online update on regional transportation issues and public involvement opportunities provided by the Northern Virginia Transportation Alliance.

Northern Virginia Transportation Alliance
P.O. Box 6149
McLean, Virginia  22106-6149
tel  703-883-1830
fax  703-883-1850

The Dulles Regional Chamber of Commerce is committed to serving as the advocate and “voice of business” on behalf of its 1,000 members on issues that impact businesses in the Dulles Region. The Chamber’s positions are based on the following principles that we believe are critical to continue the Dulles Region’s economic success and the quality of life our residents enjoy and businesses demand:

• It is imperative that federal, state and local laws, regulations and tax policy be considered in a way that recognizes the importance of maintaining a strong, pro-business environment that enhances the economic competitiveness for all businesses, cultivates growth in all segments of our economy, and protects the ability of businesses to create jobs and economic opportunity.
• Critical infrastructure investment must be maintained and expanded to meet our growing needs, particularly in the areas of workforce development, transportation, technology and energy.
• Through the power of partnerships and collaboration with other business organizations and like-minded groups, the Dulles Regional Chamber will advocate for the issues and policies that will protect the interests of America’s businesses against unnecessary government-imposed costs, regulations and interference.
• While the Chamber recognizes the importance of large- and mid-sized businesses, the Chamber believes that small businesses and sole proprietors are essential to the Dulles Region’s continued prosperity and must have access to the resources that are necessary for their success, including affordable healthcare and insurance, and technology infrastructure.
• The Dulles Region’s businesses contribute significantly to the tax base and to the quality of life of our community, while possessing renowned organizational and business acumen. For these reasons, the Dulles Regional Chamber of Commerce believes strongly that local business leaders should have the opportunity to work with government officials at the federal, state and local levels to help develop and implement legislative and regulatory policies that will impact the economic environment of our community.

 The following outlines the Chamber’s specific public policy positions on the priority issues of its members.

September 23, 2010

VDOT Audit

"Our problems are far greater than a one-time $1.5 billion investment. Our needs today total tens of billions of dollars."

Governor Bob McDonnell
September 23, 2010

Governor Bob McDonnell yesterday announced the results of an independent audit of the Virginia Department of Transportation that identifies $1 billion in unallocated federal and state contingency funds. VDOT will advertise/award $800-$900 million of maintenance and construction projects by December 31, 2010. A list of projects will be released within 45 days.

The Governor said he intends to infuse more money in to transportation in the 2011 legislative session and that the audit can help "restore more confidence in legislators to invest in transportation."

The audit's more than 50 recommendations to accelerate project planning and delivery include:

• Tailoring approval practices to match the complexity of a project.
• Designating certain projects for state funding only to speed completion by avoiding federal red tape.
• Improving internal communications and monitoring practices.
• Increasing preliminary engineering funding to develop more "ready-to-go" projects.

It's important to note that much of the unspent balances developed during a time when state revenue levels were dropping and the federal highway fund was running short of cash. With state revenues stabilizing and construction/maintenance bids low, investing reserve dollars to address severely deteriorated pavement conditions and delayed projects is prudent.

The appropriate level of transportation reserves is debatable. However, the need for a significant infusion of new, reliable transportation dollars is as real as ever. 

Applying reforms to existing inadequate levels will not provide the level of traffic relief or economic development the Governor seeks.
 
Improved management of inadequate existing transportation funds is not enough.

The long-Term value of these reforms hinges on the political will of the 2011 General Assembly to approve new, reliable, long-term transportation funding.