by Sarah Curry
Director of Fiscal Policy Studies
McCrory was a quoted governor on the transportation funding problem in Washington D.C. and how it will effect the states.
“Once you start reacting to growth as opposed to preparing for growth, you’ve waited too long,” said North Carolina Governor Pat McCrory, a Republican who is proposing a $2.8 billion bond package for the November ballot. “Plus, it’s going to cost more.”
Other states have decided to increase their state gas tax to fill the hole,
States including Republican-led Iowa and South Dakota have also increased gas taxes or borrowed to compensate for federal inaction.
And some states have decided not to go forward with much needed construction projects.
Amid the uncertainty, Arkansas, Delaware, Georgia, Montana, Tennessee, Utah and Wyoming have delayed construction projects totaling about $2 billion, according to the Transportation Department.
“It’s had a dramatic impact,” said Republican Governor Asa Hutchinson of Arkansas, which has delayed contracts slated to start this year for 75 projects totaling $335 million.
Virginia’s McAuliffe said if there’s no deal by Friday it will affect about 400 projects totaling $1.2 billion in his state.
The real story is, what happens if the Federal Government doesn’t give states the transportation money they have been promised. Here is what a few Governor’s said about that….
U.S. governors don’t really care whether it’s the Senate or House plan to pay for the nation’s roads and bridges that advances. They just want a long-term deal.
Frustrated by 33 short-term funding extensions during the past five years that left them unable to plan, attendees at the National Governors Association meeting this weekend in West Virginia said it’s past time for action.
“I’ll take whatever they’re willing to give me,” said Virginia Governor Terry McAuliffe, a Democrat and incoming vice-chairman of the association. “Make a decision. Give us long-term funding. America needs this.”
“Whatever mechanism they use, we’d like to see stability and something that’s sustainable for a long period of time,” said Iowa Governor Terry Branstad, a six-term Republican.
Congress must strike a deal, said Colorado Governor John Hickenlooper, a Democrat who is outgoing chairman of the association.