Keeping Texas in Business. Texas has a long legacy of good roads Symbol of our economic prosperity,...
-
Upload
alexina-sparks -
Category
Documents
-
view
214 -
download
0
Transcript of Keeping Texas in Business. Texas has a long legacy of good roads Symbol of our economic prosperity,...
Keeping Texas in Business
• Texas has a long legacy of good roads
• Symbol of our economic prosperity, attracting jobs and people to the State
• In part, our congestion is a byproduct of the state’s “wide open for business” successes
• Transportation in Texas is stretched to the limit, and the news gets worse
• Don’t let those orange barrels fool you
• In 2015, we will be out of money for new roads
At stake is the economic health of Texas
INCREASED NEW JOBS/ EFFICIENT TRADE BUSINESSES SHIPPING
With congestion
Without congestion
Business Cost of Congestion
Distance traveled to connect with customers in 30 minutes
Missed opportunity
Missed opportunity
With congestion
Without congestion
Business Cost of Congestion
Commuting distance for employees
in 1 hour
Missed opportunity
Missed opportunity
What do we
Know?Transportation funding has not kept pace with demand
How do we pay for our roads?
2014 Revenue
Debt financing has now surpassed revenue from the state gas tax
National Comparison
How Texas ranks
Fuel Taxes
Vehicle Registration Fees
Cost of Vehicle Ownership
29th
19th
44th
high
low
high
low
high
low
What’s the problem?
$2.1 billion in truck freight moving costs
Congestion in Texas each year
472 million extra hours of travel time
$10.1 billion in delay and wasted fuel costs
How did we get in this hole?
It’s all about supply and demand
125%172%
19%
238%
population vehicles highway use highway space
How did we get in this hole?
Financing for our roads is stuck back in the last century
$1.10
$3.08
Gallon of gasoline
Fuel Tax Portion $0.38
1991 2014
How did we get in this hole?
Financingfor our roads is stuck back in the last century
$1.12
$3.41
Gallon of Diesel
Fuel Tax Portion $0.44
1994 2014
Since 1991, the cost of everyday goods has
about doubled
How did we get in this hole?
So has the cost of building roads
Purchasing Power of the Motor Fuels TaxTax Rate Adjusted by Inflation in Roadway Construction Costs
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
0.0
5.0
10.0
15.0
20.0
25.0
30.0
35.0
40.0
14.1
13.3
18.4
16.2
15.7
15.3
14.8
13.6
12.8
12.8
12.1
12.5
12.4
11.0 8.8 7.7
7.9 7.0
8.9
9.1
8.5 7.2
20.0
18.9
18.1 17.6
17.1
16.6
16.1 14.8
13.9
13.9
13.1
13.6
13.5 12.0
9.6 8.4
8.5 7.6
9.6
9.9 9.2 7.8
Effective State Tax RateEffective Federal Tax Rate
Cent
s Per
Gal
lon
1991 1993 1995 1997 1999 2001 2003 2005 2007 2009 201114
16
18
20
22
24
500
550
600
650
700
750Fuel Efficiency (in MPG) Gallons of Gasoline Used
Fu
el
Eff
icie
nc
y (
Mil
es
per
Ga
llo
n)
Ga
llo
ns
of
Ga
so
lin
e
The Downside of Fuel Efficiency
What do we
Know?Mobility will get worse
–How much worse?
– Depends on how much effort to address the problem
What do we
Know?The Cost of Doing Nothing is High!
– Capital expansion doesn’t happen overnight
– Maintaining current assets is imperative
Just as in yourBusinessTexas
• $270 Billion investment to keep congestion in Texas from getting worse
• $1 Trillion economic cost if we spend at current levels
Over the Next 25 Years
Why it
Matters…
Comprehensive Development Agreements?
Vehicle Mile Traveled Fee?
Local TransportationTaxes?
Drive Less?
Move Somewhere Else?
What’sNext?Increase the Fuel Tax?
Index the Fuel Tax?
Increase the Registration Fee?
Toll Roads?
Public/Private Partnerships?
Is “doing nothing” really an option?
BE BETTER INFORMED | BE MORE INVOLVED | VOICE YOUR CONCERNS
If you want achange
http://mobility.tamu.edu/mip/rpm.php