Highway funds shortfall may require gas tax, impact fees

There is some very good news regarding meeting the transportation needs of fast-growing northern Pinal County: The Arizona Department of Transportation has stepped up planning for future highways and coordinating projects with local governments.

But there's some bad news as well: ADOT has no money to pay for the estimated $6 billion in highway projects the far south East Valley will need by the time the area builds out. The revenue problem is compounded by unfunded highway needs throughout the state, ADOT Director Victor M. Mendez told the Tribune Editorial Board on Monday.

Careful regional planning of future highway needs and construction of projects as they are needed are essential to prevent gridlock not only in the developing areas of Pinal County but also throughout the East Valley. Many of the people moving into northern Pinal County will work and shop in Mesa, Chandler and Phoenix. They'll be driving on existing streets and freeways, adding to the congestion that already frustrates East Valley residents.

Mendez' approach is to do something that hasn't yet been done in Arizona: Aggressively plan highway needs as far in advance as possible, coordinate the planning with other entities, and then get the projects built before gridlock strikes.

This is commendable, but it won't be easy. As Mendez told us, at some point in the near future the public and our policymakers will have to face the revenue shortfall. With gasoline prices straddling $3 a gallon, the prospect of raising the gas tax isn't a pleasant one, but that's where most of the state's highway construction revenue comes from now. And the most salient feature of the gas tax is it requires those who use the highways to pay for them.

But there's another prospective source of revenue that state officials shouldn't overlook: Development impact fees that require the people moving into high-growth areas to pay for the highways they need. Most municipalities already charge impact fees to cover at least some of the infrastructure costs of growth. This would be a good time to calculate the costs to the state of meeting the transportation needs of growth and then create a means to assess those driving those needs.

The State Transportation Board, meeting on Tuesday, appears eager to take the initiative on planning and construction, but it will need the support of the public and our elected representatives to make sure the dollars are available to stay ahead of the growth curve.