By Gov. Ned Lamont
I recently announced a reinvigorated economic development team, whose mission it is to promote and champion Connecticut to businesses who wish to locate or grow here. On paper, we have it all — access to world-class talent; equidistant between Boston and New York without the exceptionally high cost of living; vibrant cultural and educational institutions. But our reputation in one area in particular precedes us, and not in a good way. Our economic development team must be prepared to answer the question that everyone who knows anything about Connecticut will ask: “What about the congestion on your highways?”
Beyond an inconvenience, the crushing congestion we experience on I-95, I-91, I-84 and the Merritt Parkway, in particular, is a real challenge we must address and overcome if we are to maximize our economic development potential. Our proximity in mileage to New York City means nothing if it takes 90 minutes to get there from Stamford on the road, and over an hour by train. We need to not only maintain our aging transportation infrastructure, but it’s high time that we upgrade it, too.
The gasoline tax simply does not provide the reliable revenue we need, period. Gasoline tax revenues have been flat for 10 years and are expected to begin declining as cars become more efficient, and as the sales of electric vehicles increase. As such, I do not support raising the gas tax, as it is already high compared to our peers. Some people have espoused “priority bonding,” where we further cut back on economic development and other bonding in favor of transportation. As I recently announced, Connecticut is in dire need of a “debt diet” and as such, I cannot support this type of borrowing to pay for ongoing and continuous repairs and upgrades — it is not sustainable or wise. The Legislature previously established a bond cap and I know they appreciate how important keeping to our debt discipline is.
I understand how controversial electronic tolling is. As I learned about the issue, I indicated my support for tolling only tractor trailer trucks, as they do in Rhode Island. This would provide at least some revenue to maintain our system, though not enough to upgrade it. While we are awaiting a ruling from the courts regarding truck-only tolling, our attorneys are pretty certain that if permitted, the tolling could only be done on specific bridges and the generated revenue would be reserved for those bridges, not for congestion pricing. Assuming our attorneys are correct, the truck-only option provides too little revenue, too slowly and too piecemeal to make a meaningful difference.
I know there are proposals in the Legislature that include tolling for cars and trucks. I would only consider this option if we maximized the discount for Connecticut EZ-Pass users and/or offered a “frequent driver” discount for those who are required to travel our major roadways on a frequent basis. We have been subsidizing our neighboring states’ road repairs by paying their tolls, and it’s estimated that out-of-state drivers would provide nearly 50 percent of our tolling revenue, as well. As needed, we could also consider an increase in the earned income tax credit or reduction in gas tax to mitigate the costs of tolling on the everyday user.
We have modeled out both options in the budget I will submit to the Legislature on Wednesday. As my co-equal branch of government, I am open to a real discussion with them, as well as Connecticut’s residents, about the state of our transportation system and what will be needed going forward — not only to make repairs, but to truly put Connecticut in a position of strength when it comes to infrastructure upgrades and bold economic visioning. However, there is no doubt in my mind that our transportation fund will require additional strategic and recurring revenues in the very near future. In my opinion, there is no way around that hard fact.Forward-thinking economic development demands that, among other transportation needs, we speed up our rail service from Hartford to New Haven, New Haven to Stamford and Stamford to New York City, with more frequent service to Waterbury and New London. These transportation upgrades are the building blocks of our economic future and we must formulate a real, sustainable plan to start now.
Ned Lamont is governor of Connecticut.
Lamont reverses himself, will offer plan to toll cars and trucks
Keith Phaneuf
Gov. Ned Lamont reversed himself Saturday, announcing he will propose electronic tolling on cars as well as trucks when he unveils his first state budget Wednesday.
Lamont, who insisted frequently throughout the campaign he would only support tolls on trucks, conceded in a Saturday op-ed piece what transportation advocates had been saying for months: tolling on trucks would not produce sufficient revenue."Beyond an inconvenience, the crushing congestion we experience on I-95, I-91, I-84 and the Merritt Parkway, in particular, is a real challenge we must address and overcome if we are to maximize our economic development potential," the governor wrote. "Our proximity in mileage to New York City means nothing if it takes 90 minutes to get there from Stamford on the road, and over an hour by train.
Tolling trucks alone "would provide at least some revenue to maintain our system, though not enough to upgrade it," Lamont added.
Connecticut could mitigate toll costs on its residents by maximizing EZ-pass discounts, especially for frequent drivers, the governor wrote. Another option would be to increase the Earned Income Tax Credit within the state income tax system, but this credit only is available to poor, working households.
The governor opposes increasing state fuel taxes. "Gasoline tax revenues have been flat for 10 years and are expected to begin declining as cars become more efficient, and as the sales of electric vehicles increase," he wrote.
A 2018 study by the Department of Transportation projected tolls could raise as much as $1 billion per year, though the state's net gain also would depend on the level of discounts provided to Connecticut motorists.
Lamont tipped his hand on tolls earlier this week when he proposed a new "debt diet" to reduce annual state borrowing.
That "diet" pertained to general obligation bonds — which largely are issued to finance municipal school construction and capital projects at public colleges and universities. Transportation infrastructure projects largely are paid for with a combination of federal grants and state bonding. And those state bonds usually are repaid using resources — such as gasoline tax receipts — from the budget's Special Transportation Fund.
But over the past two fiscal years, as Connecticut officials have struggled to agree on new funding options for transportation, they've dedicated $250 million per year in G.O. bonding for transportation work.
Lamont's new "debt diet" puts an end to using those G.O. bonds for transportation purposes.
"I cannot support this type of borrowing to pay for ongoing and continuous repairs and upgrades — it is not sustainable or wise," he wrote.
Lamont's Republican opponent in last November's election, Bob Stefanowski, charged repeatedly throughout the campaign that Lamont would violate his pledge and recommend tolls on all types of vehicles.
"I'm saddened by the fact that there's yet another politician who says one thing and does another," said House Minority Leader Themis Klarides, R-Derby. "He either didn't have enough information to speak about it in an intellectually honest way or he was just saying something to get elected. Either one is not good."
Klarides said she believes the House Republican Caucus generally opposes tolls on any vehicles.
"Governor Lamont's announcement that he will be proposing tolls on all Connecticut residents is a disappointing step backward. It's a false choice of tolls versus no tolls, when in fact other solutions to properly fund transportation do exist," said Senate Minority Leader Len Fasano, R-North Haven. "In addition, telling people not to worry because residents will only have to pay 'discounted' tolls is a disingenuous attempt to curtail criticism. Currently, residents do not pay any tolls in Connecticut. So you can tout a 'discount' all you want, but the truth is families are going to be paying more than they already do today if tolls are installed."
Don Shubert, president of the Connecticut Construction Industry Association, applauded Lamont's decision on tolls.
"It's well settled that Connecticut's transportation infrastructure and congestion are among the worst in the nation," Shubert said. "It's going to take billions to correct the situation and this is the only way we can think of where the Connecticut taxpayers are not going to have to pay 100 percent of the bill."
The DOT study estimated about 40 percent of toll receipts would come from out-of-state motorists.
A transportation policy study group appointed by Lamont just after the election recommended that he set aside this pledge and impose tolls on all vehicles.
The group, composed of transportation advocates, planners, state and municipal leaders, labor officials and others also recommended discount transit passes for all public college and university students, a new state program to leverage private investment in transportation upgrades, and a streamlined hiring process to improve an under-staffed state Department of Transportation.
Lamont's predecessor, Gov. Dannel P. Malloy advocated frequently for electronic tolling on all vehicles during his last two years in office.
Malloy warned repeatedly that unless Connecticut devotes more revenues to transportation, the state will be hard pressed to do anything more than maintain an aging, overcrowded transportation system that is hindering economic development. Projects that would fall into limbo, he predicted, include: completing the rebuild of the "Mixmaster" junction of Interstate 84 and Route 8, replacing the elevated section of I-84 in Hartford, or widening Interstate 95 in the state's southwestern corner.
PRESS RELEASE
Contacts: Don Shubert 860-539-4827 (cell) Emil Frankel 203-856-3489 (cell)
Sunday, February 17, 2019
CCIA PRESIDENT DON SHUBERT, AND FORMER CONNDOT COMMISSIONER EMIL FRANKEL, EXPRESS SUPPORT OF
GOVERNER LAMONT’S RECENT STATEMENT ON TOLLS
The Governor’s proposal is considered a dependable, dedicated, and long-term user fee based revenue
stream to support Connecticut’s future transportation systems.
Hartford, CT –
Reports on Connecticut’s transportation systems indicate that the state’s transportation systems
are failing and require billions of dollars in repairs and enhancements. For example:
• A 2017 report by the American Road and Builders Association held that 57 percent of
Connecticut roads eligible for federal aid are rated “not acceptable”, which is the second highest
percentage in all 50 states; 33.5 percent of Connecticut’s bridges are either structurally
deficient or functionally obsolete, which is well above the national average of 23 percent; and
ConnDOT estimates that repairing or replacing four key rail bridges, of the 257 rail bridges in the
state, will cost over $3 billion.
• A 2017 report by TRIP, a national transportation research group, held that driving on
deficient roads cost Connecticut motorists a total of $6.1 billion annually in the form of
additional vehicle operating costs, congestion related delays and traffic crashes. TRIP also held
that this deteriorating infrastructure has a detrimental impact on the overall quality of life in
the state. Residents spend over 45 hours per year stuck in traffic, valuable time that they could
be spending with family and friends. Moreover, as a corridor state, our local economy is reliant on
a strong transportation system.
Don Shubert, President of The Connecticut Construction Industries Association, Inc., and Emil
Frankel, Former Commissioner of Connecticut Department of Transportation 1991-1995 are commending
Governor Lamont for his recent comments on tolling in Connecticut. Shubert and Frankel state that
“The link between mobility and a growing economy is well-established. It is also well- documented
that Connecticut’s transportation systems are congested and deteriorating. Many lawmakers on both
sides of the aisle are looking for solutions to meet Connecticut’s mounting transportation needs.”
Shubert and Frankel say that “the current funding streams cannot support or sustain the status quo,
and Governor Lamont’s recent proposal on tolls is the only solution that we have seen thus far
that does not saddle the Connecticut taxpayers with 100% of the burden of the cost
to repair, maintain and improve the systems across the State.” Shubert and Frankel recognize “the
solid policy basis that tolls provide as a dependable, dedicated, and long-term user-based
dedicated funding stream, where the users of the systems are paying for the systems.”
Shubert and Frankel also remind lawmakers that “in the meantime, as Connecticut works toward
developing long-term solutions, it is essential that adequate revenues continue to flow into the
Special Transportation Fund to support the operating costs and bonding levels required to maintain
the currently programmed projects, systems and services.”
Lamont Administration Explains Position on Tolls After Backlash VIDEO
By Max Reiss
Governor Ned Lamont's Chief of Staff took time on a Sunday afternoon to speak with reporters to explain what led to the Lamont Administration laying out two paths for tolls on the state's highways, which could end up breaking a campaign promise just months into his time running the state.
Ryan Drajewicz, Lamont's Chief of Staff, said his goal is to "lower the heart rate about this."
In an op-ed in Hearst Connecticut Media newspapers, and in a video posted to his official social media accounts, the governor laid out his vision when it comes to tolls, proposing two different paths: tolls for trucks only, and tolls for all cars that travel on Connecticut's highways.
Lamont campaigned on a toll program for trucks and repeatedly ruled out tolls for all cars, which led to social media backlash, and harsh criticism from Republicans.
Drajewicz told reporters on a quickly organized conference call Sunday afternoon that,
"This is the start of a discussion, not the end," Drajewicz said in a quickly-organized conference call Sunday afternoon. He said the decision to pursue two paths on tolls was made because the governor believes it's the right thing to do.
"The politically expedient thing to do is to stick to what was said during the campaign, but this is the right thing to do," Drajewicz said. "Politics has nothing to do with this. This was the right decision based on the hard data."
Drajewicz said there have been numerous meetings with Lamont's inner circle of advisers and budget writers on the topic of tolls. In looking at how they have projections showing truck tolls could bring in at most $200 million annually, while a wide scale toll program could bring in more than $800 million annually, Drajewicz says the decision was made to collect input on both toll ideas.
Connecticut is one of the only states along the Eastern edge of the United States that does not have any highway toll program.
Tolls were removed from the state's highways in 1989 in a gradual phase-out, after a deadly crash at the Stratford toll plaza on I-95 in 1983.
The reaction on social media and from politicians opposed to tolls was swift.
Republican Sen. Len Fasano, the Minority Leader in the Connecticut Senate called Lamont's announcement, "a disappointing step backward."
Former GOP gubernatorial nominee Bob Stefanowski also chimed in.
"I just don't understand how politicians get away with breaking an absolute promise within four months of making it," Stefanowski told NBC Connecticut.
Stefanowski was opposed to tolls in all forms, but also never articulated a vision for how he would propose to improve infrastructure if he were elected governor.
Drajewicz told reporters that the governor is looking to do what is best for Connecticut, and the politics of the decision are not going to prevent him from doing that."There's a difference between being in the campaign in the heat of debate and being in the governor's office," he said.