Rendell proposes fee increases to finance road and bridge repair

August 24, 2010|By Amy Worden and Paul Nussbaum, Inquirer Staff Writers

HARRISBURG - Gov. Rendell on Monday proposed increasing dozens of motor vehicle fees and imposing a tax on oil profits to raise $1 billion to fund road and bridge repair and public transit.

Rendell implored the General Assembly to take action immediately before the legislative session concludes in December, citing public safety concerns and the thousands of new jobs the funding package would produce.

"The time to act is now," Rendell told reporters at a morning news conference.

The new funding is needed to fill the gap left when the federal government rejected the state's proposal to charge tolls on I-80.

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Rendell touted a poll that showed the public supports upgrading the transportation network and warned lawmakers that inaction could lead to deadly accidents and increase costs later.

"Sometimes you have to spend money to save money," he said.

Rendell proposed 70 percent of the total funding, or $700 million, go to repair aging roads and bridges and 30 percent, or $300 million, to public transit - with SEPTA receiving $200 million for both operating expenses and capital improvements.

But with the full House and half the Senate up for reelection, many lawmakers fear that it would mean political suicide to support any tax increases before November.

Rendell and Transportation Secretary Allen Biehler said there is legitimate concern that structural failures could endanger public safety. "We've averted tragedy by happenstance," said Rendell.

The state estimates that there are 5,646 structurally deficient bridges, the most in the country, and that more than 10,000 miles of roadway is in need of repair.

Biehler - who said it would take $3.5 billion to fully meet the state's transportation infrastructure needs - detailed the extent of the crisis for lawmakers in a rare joint meeting of the House and Senate on Monday.

The General Assembly does not return to work until mid-September and has only a few weeks to act before the November election.

Under the Rendell plan, motor vehicle fees - among them driver's license and vehicle registration - would be increased equal to the rate of inflation, and an 8 percent tax would be imposed on gross profits of oil companies doing business in Pennsylvania.

Rep. Dwight Evans (D., Phila.), chairman of the House Appropriations Committee, pledged to deliver the votes to pass the legislation. "It's not going to be easy, but we'll get this done," said Evans, who appeared with Rendell at the news conference.

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