Colorado’s ‘Quiet Crisis’

Governor’s transportation panel declares highway situation ‘dire’

The Transportation Finance and Implementation Panel describes Colorado’s roadways as ‘deteriorating’ and a situation that will only become worse as traditional funding sources for transportation decline because of constitutional limits on state taxes and the expiration of SAFETEA-LU.

Colorado, like many states, is running out of money to build and maintain its highways.

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Governor Bill Ritter established the Transportation Finance and Implementation Panel in April 2007 to identify long-term, sustainable programs and funding sources for transportation in Colorado. In November, the 32-member board recommended broadening the revenue base for transportation by raising an additional $1.5 billion annually through taxes and user fees.

“The next 50 years will bring monumental changes to transportation demands in the United States and here in Colorado,” said Doug Aden, panel co-chair and resident of Grand Junction, as part the panel’s recommendations. “We recognize it will take some time to make an investment of this magnitude. But action can and must begin now to move this conversation in the right direction and realize incremental improvements.”

Aging Infrastructure In eight months, the members of the panel met with over 400 citizens around the state and considered more than 40 revenue options, finally proposing the need to add $500 million to $2 billion in transportation funding per year.

“Colorado’s highway infrastructure is aging, with more than 115 bridges in the state system built before 1932, and lengthy sections of interstate entering their fourth or fifth decade of service,” says Carla Perez, Ritter’s senior transportation adviser. She cited a report released by the Colorado Department of Transportation that declared nearly 40% of Colorado’s highways in disrepair and over 100 bridges structurally deficient.

Capping additional funding at $500 million could safely maintain Colorado’s current infrastructure, but an additional $1.5 billion per year is the panel’s preferred investment for transportation in Colorado. “The state must continue to ensure that these roads and bridges are safe and functional,” adds Perez. “Without increased resources, it will not be possible to maintain the current surface condition of state roads.”

Gas Tax Increase? Colorado’s gasoline tax, currently the primary source of transportation funding, has not increased since 1991. And, since 1997, the legislature has allocated additional revenue from the general fund to supplement the gas tax in good economic years, the panel reported. However, supplemental funding has become sporadic, unpredictable and often is utilized for other legislative priorities, it said.

“The gas tax is no longer enough to fix our transportation shortfalls,” Gov. Ritter told the Colorado Contractors Association at its annual convention in January. “This is something that must be fixed, and it is something that must be done now.”

Photo courtesy of CDOT

In recent years, Colorado has experienced growth in vehicle travel and population that are among the highest in the nation. The state’s population reached 4.8 million in 2006, a 44% increase from 1990-more than double the national rate of population growth. In addition, vehicle travel in Colorado increased by 76% from 1990 to 2005, the third-fastest increase in the nation, according to TRIP, a national transportation research group.

“Colorado has been able to make recent improvements to its transportation system, most notably the completion of several key transportation projects in the state, due in part to a voter-approved bonding program in 1999 and Referendum C in 2005, which allowed additional funding for needed transportation projects and improvements,” said a report called the “Future Mobility Report in Colorado: Meeting the State’s Need for Safe and Efficient Mobility,” released by TRIP in January.

Taking It to the Voters “A sound infrastructure, including a multimodal transportation network, is essential to serving Colorado’s growing population and sustaining a vibrant economy,” Ritter says.

Despite some recent transportation improvements, such as the completion of T-REX, Colorado faces a significant challenge in meeting future travel demands, according to CDOT. The state anticipates a total funding shortfall of $149 billion from 2008 to 2035 for highway, bridge and transit improvements, CDOT says. And, from 2008 to 2035, $166 billion in funding will be needed to make all improvements to the transportation system. However, the state estimates that only $47 billion will be available during that time, leaving an estimated shortfall of $119 billion.

Photo courtesy of CDOT

“Under the current revenue forecast, today’s approximately 60% good/fair rating for roadway surfaces on the state highway system will fall to 32%. Local roads will deteriorate,” says Perez of CDOT’s 2030 Statewide Transportation Plan.

Additionally, in October 2009, the federal highway authorization bill, called the Safe, Accountable, Flexible, Efficient, Transportation Equity Act: A Legacy for Users, will expire. The 2008 funding cycle of SAFETEA-LU will distribute between $1 million and $1.4 million for infrastructure projects statewide. Minimum funding per project is set at $50,000, with maximum project funding of $250,000, according to CDOT.

As Colorado begins to search for new revenues to improve its transportation infrastructure, solutions will likely require a statewide vote. Whatever the proposed revenue source, voters will confront a failing highway system statewide.

“Maintenance and repair of Colorado’s road system must be the No.1 priority when presenting any new revenue package to the voters,” says Tom Peterson, executive director of the Colorado Asphalt Pavement Association, which recently resolved to support recommendations of the governor’s blue ribbon transportation panel.

“To maximize the opportunity for success will require carefully crafting a package that is statewide in scope, provides revenues for our state highways as well as local roads and is perceived as cost effective and a wise use of tax dollars,” Peterson says.

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