Highway Improvement Program Funding Status With ARRA

Rhode Island Department of TransportationApril 8, 2010

Page 2

General Obligation(GO) Bonds

$ 40 MGas Tax$ 90 M

FY 2010 RIDOT Highway and Bridge Program Funding Sources and Uses

Federal Funds$207 M

Highway Program$199 M

Federal Funds

State Match

Debt Service$ 97 M

GO Bonds

GARVEE

Operations & Maintenance$41 M

ResidualGas Tax

Grant Anticipation Revenue Vehicle

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Federal Highway Funding

• Annual Funding Level Established by Congress • Rhode Island receives about $2.20 in federal highway funding

for every $1.00 paid by Rhode Islanders

HighwayProgram

Funding $207

GARVEE Debt Service, $48

Federal Funding Provided to Rhode IslandIn Millions

Federal Funds$207 M

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Federal Funds

Gas Tax

State Appropriations

Motor Vehicle

Fees

Federal Funds

Gas Tax

Tolls

Bonds

Fees

Federal Funds

Tolls

State Appropriations

Bonds

Fees

Federal Funds

Gas Tax

Tolls

Appropriations and Other

State Funds

Bonds

Fees

Federal Funds

Gas Tax

Tolls

Bonds

0%

20%

40%

60%

80%

100%

Connecticut Delaware Massachusetts NewHampshire

Rhode Island

Comparison of Highway Funding for 2007Million Dollars

Page 5

RIDOT Highway Program Annual Needs Compared with Anticipated Resources

Federal

Gas Tax

GO Bonds

Debt Service

Operations/Maintenance

Highway Program

0

100

200

300

400

500

600

700

Resources Needs

$ 639 Million$ 337 Million

Annual Funding Gap: $302 Million

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Highway Funding Available For New ProjectsDepends on Federal Funding Provided by Congress

$158

$211

$346

$211 $221 $231

$208

$126

$97$91$114 $114

$229

$158$158

$38$34

$53

$0

$50

$100

$150

$200

$250

$300

$350

$400

2007 2008 2009 2010 2011 2012

Mil

lio

ns

Year

Fed

eral

Fu

nd

s

Total Federal Funding Provided

Federal Funding Available for New Projects

Slight Increase in Funding

SAFETEA-LU Minimum

Slight Decrease in Funding

AMERICAN RECOVERYAND REINVESTMENT ACT OF 2009 (ARRA)

ARRA

BACKGROUND:

Federal Program Shortfall Decreased amount to States Spike in materials costs Earmarked funds GARVEE – used to fund large projects:

Iway (Relocated Interstate I-195) Relocated Route 403 FRIP (Freight Rail Improvement Project) Sakonnet River Bridge Washington Bridge

Created a backlog of projects

ARRA

AMERICAN RECOVERY & REINVESTMENT ACT

$137 million in additional funds to RI (100% Federal)

Approximately 50% must be authorized in first 120 days 100% must be authorized within first year Construction must be completed within 3 years of bill signing

ARRA

PROJECTS INCLUDED:

initially 54 Projects low bids received due to competition 8 additional projects let

Total of 62 Projects

ARRA

PROJECT TYPES:

Bridges (8) Resurfacing (120 miles) Sidewalks (38 miles) Traffic Signals (46) Signing Striping Landscaping Enhancement Drainage Environmental

ARRA

CREATION OF JOBS:

In RI $94 million in wages earned by 1929 workers on recovery projects 81% of work to RI companies

Work was spread out over 38 of 39 communities (ex. Block Island)

ARRA

PROJECT DELIVERY:

As of 2/23/10, all funding was obligated

RI ranked 11 of 50 States in project delivery by AASHTO

projects completed (20) currently under construction (25) in bidding/award process (17)

Considerable work will be under construction in 2010.

ARRA

RILEAP (Rhode Island Local Equity Assistance Program)

In order to allow municipalities to benefit from Stimulus funds received byRIDOT, we created program to distribute funding to each city and town.

Funds allocated from regular Federal program Communities with > 15 miles on FAS (Federal Aid System) receive Federal Funds

(16 communities) Range from $350k to 2.5 million (Providence) All communities receive flexible State funding

<15 miles on FAS $250k>15 miles on FAS $150k

Total $20,150,000.00 ($12 million Federal, $8.15 million State)

ARRA

BLUE RIBBON PANEL FINDINGS:

An additional $300 million needed annually for 10 years to bring transportation infrastructure to a state of good repair in RI

Rt. 6/10 Interchange, Providence Viaduct, Pawtucket Br #550 Maintenance-level projects for roadways Bridges – 184 Structurally Deficient, 232 Functionally Obsolete

(2007)

ARRA

FUTURE:

Where do we go from here?

Good news – backlog has been eliminated

Re-authorization of Transportation Bill – 3/2010 Second Stimulus Bill? TIGER Grant – RIDOT unsuccessful – Providence Viaduct Sakonnet River Bridge tolls?

Transportation Investment Generating Economic

Recovery