County Faces Loss Of State Funding For Road Work
July 28, 2016 at 4:25 p.m.
Kosciusko County and the cities and towns in the county could lose more than $1.2 million annually in transportation funding from the Local Road and Street Account under the state budget being proposed by the Indiana House of Representatives.
According to Bill Haan, executive director with the Indiana Association of County Commissioners, the state gave Indiana counties supplemental money in the last two budgets for roads and streets.
However, the state budget is figured for two-year periods. The House's proposed budget this year is for fiscal years 2001 to 2003.
"This year," said State Rep. Dave Wolkins (R-Winona Lake), "we don't have the money so we're not giving as much." He said the supplemental funds the state gave in previous years are not there now and organizations like IACC are crying foul.
He said the budget "may not be the final budget" as the Senate is set to release its budget this week. Once the Senate proposes its version, the budgets will be debated and a settlement will have to be reached. Wolkins said the final budget will probably be halfway between the two proposed budgets.
IACC, along with the Indiana Association of County Highway Engineers and Supervisors, Association of Indiana Counties, Build Indiana Council and Indiana Association of Cities and Towns, wants to keep the money in the budget.
Money, Haan contends, is still there for local roads and streets, but it's just a matter of what is a priority for the state.
"We believe," said Haan, "roads and bridges are a priority."
IACC is attempting to get the public to understand, he said, that many counties in the state are having difficulties maintaining their bridges and roads. The spending levels, he said, have not changed since 1984. Costs have greatly risen since then.
Part of the reason for the rising costs, he said, is because citizens expect more.
Some monies for roads and streets come from the state's motor vehicle highway fund. However, AIC executive director Matt Brooks said some of that money also goes toward police and the Bureau of Motor Vehicles. The police and BMV share has been increasing by percentage, he said.
IACC previously encouraged some members of the House of Representatives to increase funding for local roads and street maintenance by $300 million, Haan said. The key to raising that much more money would be raising the gas tax. However, the "guts" of the bill were stripped out, Haan said, and they're trying to get the "guts" put back into the bill.
If people who drive the roads expect good roads, they have to pay for them, he said. An increase in the gas tax could be considered a user fee.
"You can talk about a tax increase if you want to, but if you want smooth roads, somebody has to pay for them," Haan said. The best people to pay for them, he said, are those who use the roads.
Wolkins said a 3-cent hike in the gas tax didn't happen and he didn't believe it would happen this year. One reason the hike was killed, he said, was because last year Gov. Frank O'Bannon put a freeze on the gas tax for six months. After freezing the tax, Wolkins said, it was not ideal to come back and ask for more money.
"It kind of killed it," Wolkins said.
Brooks said if the House budget passes, "essentially, your local county highway could be faced with budget levels prior to 1990." Fewer roads will likely be paved, fewer pot holes filled and highway departments won't be able to come up with money to match any grants they may receive that require matching funds.
AIC, Brooks said, is working with the legislature and encouraging highway engineers and county commissioners to contact their representatives about preventing the shortfall.
While they understand the state is facing difficulties with the budget, Brooks said, AIC is getting behind a proposal to slightly increase the gas tax. Currently 15 cents, the proposal would raise the gas tax by 6 cents over the next three years.
"I do believe some people will be concerned about the increase," Brooks said, but overall, Hoosiers will be supportive of it because they understand the need is there for better and safer roads.
For an average driver whose car gets 20 miles per gallon and who drives approximately 15,000 miles per year, the tax increase would be only an additional $35 per year per person, he said.
Rob Ladson, Kosciusko County Highway Superintendent and Engineer, said the county, not including the cities and towns in the county, stands to lose $1.8 million over the next two years. Since the state's fiscal year begins in July, if the House's budget is approved, the county will lose $450,000 this year. Next year, a complete budget year, the county will lose $900,000. In 2003, the county will lose $450,000 for the first half of the year.
"We're losing the $900,000 in road paving material," said Ladson.
Bridge maintenance, he said, is not a problem in Kosciusko County because the county has the cumulative bridge fund that pays for bridge maintenance. The fund is the only property tax money the highway department receives.
Ladson said the county will still make drastic cuts because of the loss of funds. He also is working on putting together summer plans and what can and can't be done this year.
The effect, he said, is that the highway department will have to use more chip and seal for roads instead of the preferred hot mix. Chip and seal is used more often for preventative maintenance and Ladson said he often gets complaints from people when chip and seal is used.
The bottom line, Ladson said, is that the loss of funds will mean drastic cuts for the highway department.
According to a press release provided by IACC, Indiana Local Technical Assistance Program Center at Purdue University estimates the current costs to upgrade local transportation infrastructure in the state to acceptable standards at $1.02 billion for roads and streets and $783 million for bridges and culverts.
After an initial investment to bring the roads and bridges up to an acceptable standard, LTAP reports there is also an annual shortfall in monies available to maintain the roadway system. The shortfalls have grown to $307 million for roads and streets, $126 million for bridges and culverts and $20 million for safety improvements. [[In-content Ad]]
Kosciusko County and the cities and towns in the county could lose more than $1.2 million annually in transportation funding from the Local Road and Street Account under the state budget being proposed by the Indiana House of Representatives.
According to Bill Haan, executive director with the Indiana Association of County Commissioners, the state gave Indiana counties supplemental money in the last two budgets for roads and streets.
However, the state budget is figured for two-year periods. The House's proposed budget this year is for fiscal years 2001 to 2003.
"This year," said State Rep. Dave Wolkins (R-Winona Lake), "we don't have the money so we're not giving as much." He said the supplemental funds the state gave in previous years are not there now and organizations like IACC are crying foul.
He said the budget "may not be the final budget" as the Senate is set to release its budget this week. Once the Senate proposes its version, the budgets will be debated and a settlement will have to be reached. Wolkins said the final budget will probably be halfway between the two proposed budgets.
IACC, along with the Indiana Association of County Highway Engineers and Supervisors, Association of Indiana Counties, Build Indiana Council and Indiana Association of Cities and Towns, wants to keep the money in the budget.
Money, Haan contends, is still there for local roads and streets, but it's just a matter of what is a priority for the state.
"We believe," said Haan, "roads and bridges are a priority."
IACC is attempting to get the public to understand, he said, that many counties in the state are having difficulties maintaining their bridges and roads. The spending levels, he said, have not changed since 1984. Costs have greatly risen since then.
Part of the reason for the rising costs, he said, is because citizens expect more.
Some monies for roads and streets come from the state's motor vehicle highway fund. However, AIC executive director Matt Brooks said some of that money also goes toward police and the Bureau of Motor Vehicles. The police and BMV share has been increasing by percentage, he said.
IACC previously encouraged some members of the House of Representatives to increase funding for local roads and street maintenance by $300 million, Haan said. The key to raising that much more money would be raising the gas tax. However, the "guts" of the bill were stripped out, Haan said, and they're trying to get the "guts" put back into the bill.
If people who drive the roads expect good roads, they have to pay for them, he said. An increase in the gas tax could be considered a user fee.
"You can talk about a tax increase if you want to, but if you want smooth roads, somebody has to pay for them," Haan said. The best people to pay for them, he said, are those who use the roads.
Wolkins said a 3-cent hike in the gas tax didn't happen and he didn't believe it would happen this year. One reason the hike was killed, he said, was because last year Gov. Frank O'Bannon put a freeze on the gas tax for six months. After freezing the tax, Wolkins said, it was not ideal to come back and ask for more money.
"It kind of killed it," Wolkins said.
Brooks said if the House budget passes, "essentially, your local county highway could be faced with budget levels prior to 1990." Fewer roads will likely be paved, fewer pot holes filled and highway departments won't be able to come up with money to match any grants they may receive that require matching funds.
AIC, Brooks said, is working with the legislature and encouraging highway engineers and county commissioners to contact their representatives about preventing the shortfall.
While they understand the state is facing difficulties with the budget, Brooks said, AIC is getting behind a proposal to slightly increase the gas tax. Currently 15 cents, the proposal would raise the gas tax by 6 cents over the next three years.
"I do believe some people will be concerned about the increase," Brooks said, but overall, Hoosiers will be supportive of it because they understand the need is there for better and safer roads.
For an average driver whose car gets 20 miles per gallon and who drives approximately 15,000 miles per year, the tax increase would be only an additional $35 per year per person, he said.
Rob Ladson, Kosciusko County Highway Superintendent and Engineer, said the county, not including the cities and towns in the county, stands to lose $1.8 million over the next two years. Since the state's fiscal year begins in July, if the House's budget is approved, the county will lose $450,000 this year. Next year, a complete budget year, the county will lose $900,000. In 2003, the county will lose $450,000 for the first half of the year.
"We're losing the $900,000 in road paving material," said Ladson.
Bridge maintenance, he said, is not a problem in Kosciusko County because the county has the cumulative bridge fund that pays for bridge maintenance. The fund is the only property tax money the highway department receives.
Ladson said the county will still make drastic cuts because of the loss of funds. He also is working on putting together summer plans and what can and can't be done this year.
The effect, he said, is that the highway department will have to use more chip and seal for roads instead of the preferred hot mix. Chip and seal is used more often for preventative maintenance and Ladson said he often gets complaints from people when chip and seal is used.
The bottom line, Ladson said, is that the loss of funds will mean drastic cuts for the highway department.
According to a press release provided by IACC, Indiana Local Technical Assistance Program Center at Purdue University estimates the current costs to upgrade local transportation infrastructure in the state to acceptable standards at $1.02 billion for roads and streets and $783 million for bridges and culverts.
After an initial investment to bring the roads and bridges up to an acceptable standard, LTAP reports there is also an annual shortfall in monies available to maintain the roadway system. The shortfalls have grown to $307 million for roads and streets, $126 million for bridges and culverts and $20 million for safety improvements. [[In-content Ad]]