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State faces $44 million highway maintenance shortfall.

Highway spending bad investment for congestion relief, report says.

Highway projects costs jump by $384.6 million in six months, WisDOT says

Aug. 3, 2006 -- The projected costs of 27 major state highway projects jumped a total of $384.6 million in six months, the Wisconsin Department reported Thursday.

The projects now are expected to cost a total of $3.7 billion.

In the previous six-month report, issued in February, the depa

rtment said costs of those projects had risen just $3 million.

Highway construction costs have risen significantly over the past few years as the price of steel, cement and asphalt has skyrocketed.

WisDOT, in its report, did not explain why cost increases in the last six months were 128.2 times as great as the were in the six months before that.

WisDOT attributed much of the 11% overall cost increase to inflation. The degree of projected cost increases varied greatly, from 0% to 44%.

State departments are scheduled to submit their budget requests to Gov. Doyle next month.

To see a table of the cost projections, click here.


State faces $44 million highway maintenancefunding shortfall

July 24, 2006 -- A $44.3 million budget hike is needed for the State Department of Transportation to fully fund highway maintenance work, according to the Legislative Fiscal Bureau.

Maintenance efforts are in such dire conditions that most preventive maintenance has been abandoned "in order to concentrate effort on reacting to critical failures," the new report said.

Adding additional lane miles to existing highways, as Secretary of Transportation Frank Busalacchi wants to do, would increase the maintenance funding gap.

The needed increase includes $21.5 million to restore traffic operations funding that was slashed in the 2001-03 state budget; $20.8 million to fully fund the state's highway maintenance formula, $1 million to control noxious weeds; and $1 million to restore roadside facility maintenance funding.

Additional, unknown amounts would be needed to catch up with the backlog of maintenance needs and to reduce highway lifecycle costs to their minimums.

During public hearings held by the Legislature's pro-highway building "Road to the Future Committee," officials from various counties testified that highway maintenance funding had fallen.

The state contracts with counties to take care of freeways and state highways.

WisDOT identified several areas of highway maintenance that counties have either reduced or eliminated, the LFB report said.

"These include crack sealing of asphalt pavement and repair of concrete distresses; inspections and maintenance of culverts, ditches, under drains, inlets, and other drainage structures; mowing, including control of woody vegetation that may create hazards in clear zones; replacing damaged or missing delineators, removing trees or brush in clear zones; repair of erosion problems; establishing vegetation to serve as snow fences or other measures to prevent drifting; removal of trash and debris from roadsides; maintenance of security fences; and maintenance of bridge drains and other bridge-related maintenance," the report said.

WisDOT's maintenance report for last year indicates problems most in need of correction include "cracking and rutting on asphalt pavements, joint deterioration, and faulting on concrete pavements, and shoulder cracking and drop-offs. In addition, the regular replacement schedule for signs, roadside delineators, and raised pavement markers has been deferred."

The 2001-03 state budget prohibited WisDOT from paying for traffic operation items -- things like highway signs, pavement markings, traffic signals and lighting -- from state highway rehabilitation money or funds reserved for southeastern Wisconsin freeway improvements. The budget also prohibited funding Intelligent Transportation Systems from those sources. ITS is the application of advanced technologies to improve the efficiency and safety of transportation systems.

The department estimated at the time that it spent $27 million on traffic operations and ITS, the report said.

The state budget included $27 million for those items for 2001-02, "but that amount was reduced to $7.4 million in 2002-03," the report said. Funding was eliminated in the 2003-05 budget, the report said. The department reallocated $9.6 milllion from other areas of its maintenance budget to continue traffic operations duties "most critical for safety," the report said.

They include certain pavement markings, replacement highway lighting on southeastern Wisconsin freeways, and replacing the most seriously deteriorated bridge signs, the report said.

"However, this meant that other areas of the maintenance program were affected, including maintenance services provided by counties," the report said.


Highway spending a bad investment for congestion relief, study says

July 2, 2006 -- Government spending on highways to ease traffic congestion is a poor investment, returning just 11 cents in congestion cost savings for every dollar spent on the roads, according to a new study

"Given that motorists, trucking operations, and firms incur $37.5 billion in annual congestion costs, states would have to spend nearly $350 billion annually to eliminate these costs," the report by the Brookings Institution said.

The study, "The Effect of Government Highway Spending on Road Users’ Congestion Costs," by Clifford Winston and Ashley Langer, considered congestion savings in the year the highway money was spent.

The most important contributor to the ineffectiveness of government spending on roads, the report said, is that virtual completeness of the country's intracity road system.

"The nation’s urbanized areas have little available land to expand their infrastructure," according to the report. "As noted, cities that are experiencing sprawl can improve their road system, but these infrastructure investments yield a modest reduction in current congestion costs. In most congested cities, it is extremely difficult or prohibitively expensive to widen major freeways and arterials to reduce congestion or for such construction to keep up with traffic growth."

Highway spending can play a supplemental role in relieving congestion, if it is based on based on "careful cost-benefit considerations," but should not be the primary tool in improving traffic flow..

The report advocates congestion pricing -- the practice of charging drivers to use the roads, particularly during peak traffic periods like rush hours. Pricing can be adjusted to account for drivers' incomes, the report said.

"If road pricing were tied to modest reductions in highway spending, then states could improve their budgets (or use these funds for more socially desirable purposes) without fear that these spending cuts would significantly increase congestion," the report said.

Reluctance to adopt congestion pricing likely has more to do with politics than policy the report said.

"Highway spending supports projects so politically popular with federal, state, and local
policymakers and constituents that Senator Rick Santorum recently warned lawmakers 'not to get between a congressman and asphalt, because you will always get run over,'” Winston and Langer wrote.

"Instituting congestion pricing for road users would not only be a far more effective solution to clogged roads than current state highway spending but would also justify a reduction in public expenditures," they said. "Road pricing’s fatal flaw may be that it threatens one of the most visible ways that elected officials reward their supporters."

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