Politics & Government

Virginia Governor: Now is the Time to Spend on Transportation

Projects will boost economy, improve roads and create jobs, McDonnell says in Reston appearance.

Even though the state and the nation are coming out of a recession, there has never been a better time to commit funding to improve transportation, Virginia Gov. Bob McDonnell said on Monday.

McDonnell, speaking at a meeting of the Dulles Area Transportation Association at the , says low interest rates, Virginia's AAA bond rating and money available from public-private parternships and the Federal stimulus mean the state should commit money now.

"There has not been a time in Virginia history where we would be getting a better deal," McDonnell said. "It is important to get projects built now - not in three or four or 10 years."

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McDonnell said the Virginia Department of Transportation (VDOT) will advertise about $1.1 billion in construction and maintenance projects for the first half of Fiscal Year 2011. Nearly half of that work will be advertised this month.

"It will make a big difference," McDonnell said. "This will have a positive impact on Virginia's infrastructure and economy.  For every $100 million spent on highway maintenance, it is estimated 3,000 jobs are created or supported. " 

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Studies by the Federal Highway Administration and the American Association of State Highway Transportation show that every $100 million spent on highway construction and maintenance projects adds 3,000 jobs created or supported, $250 million in economic impact and a $25 million boost to the state from taxes.

Rep. Frank Wolf, Virginia's 10th District, said he agrees with the governor's views of transportation issues, particularly for Northern Virginia.

"Interest rates are low," he said. "It is a point well taken."

McDonnell, a Northern Virginia native, outlined how some of Northern Virginia's success as a business and government center have led to transportation woes and the need for infrastructure improvement.

"We're ranked in the top of the heap in the business climate," he said. "We have more net jobs ahead of every state except Texas. We have 6.8 percent unemployment, below the national average. But with those assets, we we've got the third-most congested region in America. We've got some work to do. One-quarter of the bridges are in need of major work."

Where will the money come from?

McDonnell outlined several sources of money to pay for new transportation projects.

* Potentially relaxing the ban on commercial enterprise at roadside rest stops.

* $750 million in Federal stimulus money that has already been committed to build roads.

* Tolls on I-95 at the Virginia-North Carolina border that will result in $30-60 million in revenue.

* $500 million in bond issues.

* Four audits that showed how VDOT can better leverage existing resources and save money.

* Reducing cash reserves from 5.5 months to 2.0 months.

Where will it go?

McDonnell says that transportation, higher education, government reform and economic incentives are his top priorities for the Virginia General Assembly session that starts in January.

Among the top transportation priorities:

* Installing HOT lanes at I-95/I-395.

"I am disappointed it has taken this long," he said. "It makes no sense to get to Tysons Corner with HOT lanes, and then have no HOT lanes once you get to Tysons."

* Spot improvements of I-66.

"Widening I-66 outside of the Beltway has got to happen," said McDonnell. "It is one of the biggest bottlenecks in the region."

* Rail to Dulles

The governor said he was disappointed at some of the estimates that will cost $3.83 billion, about $1 billion more than originally planned. This warrants a further look at cost-cutting, such as changing the plans to a tunnel at Dulles to an above-ground section.

* Regionwide Accountability for Metrorail.

McDonnell says he has been in touch with Maryland Gov. Martin O'Malley and new DC Mayor Vincent Gray about improving Metro in many areas.

"It is not all about money," he said. "It is about government accountibilty and safety. We've got to govern Metro better, and have greater accountibility and responsibility."


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