09/27/2023

Alternative Funding for Roads and Bridges

The motor fuel tax represents the largest funding source for transportation projects in Ohio. However, as vehicles become more fuel efficient and electric vehicles more prevalent, drivers are purchasing less fuel (or none at all). This is great for reducing harmful emissions, but it means less revenue for maintaining and repairing our state's roads and bridges. To address the funding gaps, Ohio increased the fuel tax in 2019 and added additional registration fees for electric and hybrid vehicles, which provided a short-term solution. However, given the projected decline of fuel consumption in Ohio and increasing construction costs, Ohio must move away from its reliance on motor fuel taxes as its primary source of transportation funding.

The Ohio Department of Transportation (ODOT) received a federal Surface Transportation System Funding Alternatives (STSFA) program grant to study revenue alternatives. ODOT used this federal grant to study a variety of alternative revenue mechanisms to replace the fuel tax and stabilize transportation revenues well into the future. Ohio brought a unique approach to the exploration of revenue alternatives, focusing on gathering opinions of Ohioans on transportation funding and conducting a public awareness campaign to communicate the problem with the current funding structure. Engaging the public early on helped ODOT understand how best to communicate with Ohioans on this topic and includes them in the exploration of an alternative funding solution for Ohio. This panel discussion will provide an overview on ODOT's

Revenue Alternatives Study, which kicked off in January 2022 and was completed in the summer of 2023. Panelists will discuss findings of the public opinion research effort, results of the public awareness campaign to educate Ohioans on the funding challenge, and the focused analysis of various alternative revenue mechanisms and their ability to accomplish transportation revenue stability for Ohio.

Speakers

Jacqueline Yeoman

Rich Winning

Jenny Roberts, PE

Karen Hines, Ph.D.