Ways to Pay for America’s Infrastructure Needs: How will we pay for the future infrastructure bill that is heating up on Capitol Hill? More importantly, bill or no bill, how will we pay for the infrastructure needs of the United States? In its 2017 Report Card, the American Association of Civil Engineers (ASCE) estimated that the U.S. needed to invest $4.59 trillion in its infrastructure between right now and 2027. ASCE estimated that Public Private Partnership (P3) programs will only fund 10-15% of America’s infrastructure needs. This blogger believes that the 10-15% must and will be increased to 40-50% for using P3 delivery methods, otherwise our infrastructure will continue to crumble.
Currently, the major funding sources on the table are: direct appropriation by the Federal Government; P3 programs; National Infrastructure Bank; Move America Bonds, Tax Credits; Tax Repatriation; Carbon Tax; and Sale of Government Loans. On a more micro-level, there has been talk of a gas-tax hike, but will that generate enough revenue to fund the ever-growing need to build and replace America’s infrastructure needs. I dare to say, the gas-tax won’t provide enough fire to fuel this engine. Continue reading Pay to Play: America’s Infrastructure Program 2018 and Beyond
Today, July 11, 2013, the New Jersey Transit Board of Directors will be presented for approval a capital plan for Fiscal Year 2014 in the amount of $1.228 billion. Foremost among the plan’s elements are funds for rolling stock modernization including the procurement of over 1,400 new buses, over 400 multilevel railcars and more than 50 electric and dual power locomotives. The program will also invest in hard assets including railroad bridge rehabilitation, track replacement, signal upgrades to overhead power lines and electric substations, improvements to rail stations and bus shelter upgrades. Included is a $60 million installment of a $600 million 5-year planned investment in improvements to the Northeast Corridor.
Approximately 60%, $741 million, is dedicated to fixed expenses including capital maintenance and prior debt service ($691 million), mandated uses including the federal rural transit program ($46 million), and ongoing support for job programs ($4 million). Approximately 40%, $487 million, is dedicated to fund basic capital program improvements including rail improvements ($132 million), rail rolling stock ($53 million), rail station improvements ($37 million), bus and light rail infrastructure improvements ($195 million) , and system-wide improvements such as technology upgrades ($69 million).
In November 2012, Governor Andrew Cuomo formed the NYS 2100 Commission in response to the recent, and extraordinary, weather events experienced in New York State (Super Storm Sandy, Hurricane Irene and Tropical Storm Lee). The Commission, consisting of 25 members, is co-chaired by Judith Rodin, President of Rockefeller Foundation, and Felix Rohatyn, former Chairman of the Municipal Assistance Corporation.
Continue reading NYS 2100 Commission Releases Report on Improving New York State’s Infrastructure