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State lawmakers recently, at the last minute, managed to cobble together $84 million in matching funds so the state could secure about $475 million in federal road dollars. While we are pleased that Michigan roads will again benefit from the additional funds for the current fiscal year, we are less than thrilled with the lack of progress on determining a long-term, sustainable funding source for road construction in the state.

The Michigan Department of Transportation (MDOT) budget agreement for 2011 pieces together $84 million in matching funds from a myriad of sources, such as $12 million deferred from the State Transportation Economic Development Fund; another $12.9 million from capital outlay building projects; $11 million in "toll credits" that is a return on investment the state has made on its toll roads for the International Bridge in Sault Ste. Marie and the Blue Water Bridge in Port Huron; $5 million from administration cuts; and $1 million from a cut in state welcome center operations. The state will also issue up to $40 million in short-term, low-interest bonds that are required to be repaid in one year.

One project in the lakes area — a bridge rehabilitation and replacement project off of I-96 at Kent Lake, Milford Road and over the Huron River pathway — is slated to be completed in 2011 as a result of the federal funds.

Various options for additional road funding have been bandied about — including increases to the state gasoline and diesel fuel tax, as well as hiked vehicle registration fees — in recent years to help repair Michigan's crumbling roads and bridges. All those proposals have floundered.

We are neither endorsing nor deriding any of those particular options at the moment. However, what we are calling for is an immediate, renewed, bipartisan focus on getting the funding situation squared away once and for all. The day after the Nov. 2 election, re-elected incumbents and newly-elected freshman lawmakers need to work together to find an amicable solution to the funding shortfall and make sure that Michigan gets its fair share of federal dollars in the future.

The scenario state lawmakers found themselves in this year will be even more exacerbated during the next round of budget negotiations when, in addition to the usual problems, legislators will also have to find a way to pay back the $40 million in bonds.

The 11th-hour finagling and quick fixes are nothing new when it comes to the state's budgetary process, particularly regarding road funding. We've seen it for the last several years. But we hope lawmakers from both sides of the aisle come to the table immediately after the Nov. 2 election to help make sure there are no more 11th hours — or at least less frequent ones — in the future when it comes to road funding.

http://www.spinalcolumnonline.com/Articles-i-2010-10-13-74772.113117_State_road_funding_dilemma.html

 

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