Louisiana 2010 2010 Regular Session

Louisiana House Bill HCR115 Engrossed / Bill

                    HLS 10RS-2146	ENGROSSED
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Regular Session, 2010
HOUSE CONCURRENT RESOLUTI ON NO. 115
BY REPRESENTATIVES DOWNS, AUBERT, HENRY BURNS, FRANKLIN, AND
SAM JONES
TRANSPORTATION DEPT: Recommends alternative funding sources for transportation
construction projects in the state of La.
A CONCURRENT RESOLUTI ON1
To provide recommendations related to alternative funding sources for transportation2
infrastructure projects within the state of Louisiana and the impact of viable funding3
sources on transportation and Louisiana taxpayers.4
WHEREAS, House Concurrent Resolution No.153 of the 2009 Regular Session of5
the Legislature of Louisiana requested the House Committee on Transportation, Highways6
and Public Works, Senate Committee on Transportation, Highways and Public Works,7
House Committee on Ways and Means, and Senate Committee on Revenue and Fiscal8
Affairs to function as a joint committee to study and make recommendations on alternative9
funding sources for transportation construction projects within the state of Louisiana; and10
WHEREAS, in an effort to further delve into the funding issues facing our11
transportation system, the following subcommittees were formed: Transportation Funding,12
Non-Federal Matching, Ports, Airports and Freight, Current Gas Tax and Public Transit and13
Local Government; and14
WHEREAS, each subcommittee was charged with thoroughly studying and making15
suggestions on alternative funding sources as it relates to the different facets of the16
transportation system by receiving input from state departments and entities, stakeholders,17
and the general public; and18
WHEREAS, on January 28, 2010, the House Committee on Transportation,19
Highways and Public Works, Senate Committee on Transportation, Highways and Public20 HLS 10RS-2146	ENGROSSED
HCR NO. 115
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Works, House Committee on Ways and Means, and Senate Committee on Revenue and1
Fiscal Affairs convened to review and receive subcommittees' findings on each assigned area2
of study; and3
WHEREAS, the joint committee on Transportation, Highways and Public Works,4
Senate Committee on Transportation, Highways and Public Works, House Committee on5
Ways and Means, and Senate Committee on Revenue and Fiscal Affairs and the6
subcommittees on Transportation Funding, Non-Federal Matching, Ports, Airports and7
Freight, Current Gas Tax and Public Transit and Local Government has completed its study8
of alternative revenue sources for future transportation funding in the state of Louisiana; and9
WHEREAS, the study by the joint committee on Transportation, Highways and10
Public Works, Senate Committee on Transportation, Highways and Public Works, House11
Committee on Ways and Means, and Senate Committee on Revenue and Fiscal Affairs,12
determined that certain actions would be appropriate to resolve the transportation funding13
issues.14
THEREFORE BE IT RESOLVED, that the Legislature of Louisiana and the15
governor should develop proposals and take action to accomplish the following:16
(1) Additional reoccurring revenue is essential and critical to adequately fund17
Louisiana's transportation needs.  Efficiency and savings are important and must always be18
pursued. Federal funding is a cornerstone of each state's system.  Neither current state or19
federal revenue sources are now or will ever be sufficient in the absence of increased state20
revenues to meet the transportation needs of Louisiana's citizens and businesses. The21
Louisiana Department of Transportation and Development, the Public Affairs Research22
Council, and the joint committee's own calculation estimates the targeted increased amount23
in today's dollars to be approximately $750,000,000 annually.24
(2) New revenue sources for funding the Louisiana Department of Transportation25
and Development should be indexed or by nature grow with the economy.26
(3) Consideration should be given to committing a fixed percentage of annual state27
capital outlay to the priority system in the Louisiana Department of Transportation and28
Development.29 HLS 10RS-2146	ENGROSSED
HCR NO. 115
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(4) Consideration should be given to statutorily dedicate a minimum fixed1
percentage of state surpluses to the Louisiana Department of Transportation and2
Development Transportation funding.3
(5) Truck and trailer registration fees should be uniform for all industries based on4
same weight and number of axles.  Along with uniformity, truck and trailer fees should be5
reviewed for adequacy and competitiveness with other states.6
(6) Any new dedicated revenue source for the Department of Transportation and7
Development should be limited to engineering and construction cost only, prohibiting any8
new funds for administration or overhead. The state should consider a plan to move all the9
Department of Transportation and Development's overhead and administrative costs to the10
state general fund.11
(7) The state should move away from fixed fuel taxes as its primary funding source12
for transportation. Improved fuel efficiency, hybrid engines, electric engines, and hydrogen13
engines, all combine to make fixed fuel taxes an antiquated, declining source of revenue with14
little or no upside potential.15
(8) Louisiana has a unique opportunity to leverage natural gas as a primary fuel for16
its citizens and business transportation needs.  Having passed one of the nation's most17
aggressive state tax incentive programs for natural gas vehicle conversion, Louisiana is in18
a position to increase, by very large quantities, the vehicles fueled by natural gas.  Natural19
gas is cleaner, it is abundant, it is domestic, and it is driving Louisiana's economy.  Very20
importantly, it is much less expensive than gasoline, offering an opportunity for an indexed21
increase in the fuel tax while still resulting in very significant fuel savings for consumers.22
Prices appear stable for several years into the future and long-term contracts can be23
negotiated.24
(9) Louisiana should consider incorporating toll roads and bridges in its funding25
option as virtually every other state. The United States Department of Transportation is also26
considering this option.27
(10) Vehicle miles traveled factored by weight categories, addresses the two primary28
considerations when constructing and maintaining a highway and bridge system, miles29 HLS 10RS-2146	ENGROSSED
HCR NO. 115
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traveled, and weight carried.  Technology exists today to implement such a system.  A1
Louisiana pilot project could be explored.2
(11) Formulas allocating a fixed percentage of transportation revenue to rural roads3
should be initiated, including the state's non-federal matching highways, the Parish4
Transportation Fund, Louisiana ports, Louisiana airports, and various Louisiana  mass transit5
systems. This will provide for an orderly allocation that grows as the economy grows for6
these vital contributions to Louisiana's transportation system and economy.7
 BE IT FURTHER RESOLVED that a copy of this Resolution be transmitted to the8
governor, the secretary of the Department of Transportation and Development, and the9
chairmen of the House Committee on Transportation, Highways and Public Works, Senate10
Committee on Transportation, Highways and Public Works, House Committee on Ways and11
Means, and Senate Committee on Revenue and Fiscal Affairs.12
DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part
of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute
part of the law or proof or indicia of legislative intent.  [R.S. 1:13(B) and 24:177(E)]
Downs	HCR No. 115
Recommends findings on alternative revenue sources for future transportation funding in the
state of La.