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Mar. 29, 2007
Copyright © Las Vegas Review-Journal


$3.8 BILLION SHORTFALL: State seeks funds for road projects

Transportation director: Gibbons trying to find money

By OMAR SOFRADZIJA
REVIEW-JOURNAL

Susan Martinovich
State transportation director

Nevada's highway czarina isn't sure if the Legislature will entirely fill a multibillion dollar road work shortfall this year, but she hopes her boss, Gov. Jim Gibbons, will find a way to close that gap.

State Transportation Director Susan Martinovich told the Review-Journal's editorial board on Wednesday she doesn't know if the $3.8 billion needed to help start 10 road "megaprojects" deemed as essential by 2015 will be found by legislators, The state estimates it will need $13 billion over the next eight years to pay for those projects and its other road responsibilities. But it only projects $9.2 billion in revenues during that time.

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"Talking with his (Gibbons') staff, he's got some ideas that he's checking on the feasibility of," including modifying a depreciation schedule used to set annual vehicle registration fees, which could result in higher rates for drivers but more revenues for road work.

Other options Gibbons is looking at, such as redistributing existing tax revenues to transportation projects and away from other state spending, may not need legislative approval, Martinovich said, without specifying from where those spending shifts could come.

The projects in question include proposed widenings of Interstate 15 and U.S. Highway 95 in the Las Vegas Valley; construction of a U.S. Highway 93 bypass around Boulder City; and the building of new Las Vegas Beltway interchanges, along with some Northern Nevada highway upgrades.

"I know from my discussions with the governor, he has said no (new) taxes. He's said that from Day One," Martinovich said. "He's been very consistent on no taxes and fees" to pay for the work.

But the definition of what constitutes a new tax or fee is subject to interpretation, given the idea of tinkering with registration fees or another concept that Gibbons earlier said he'd consider: the creation of toll roads.

Currently, no tolls are charged on any Nevada roads.

Martinovich was cautious when asked about the potential of tolls or privately-managed freeways, which is being seriously contemplated for the Boulder City bypass.

"We don't know enough about the tolling and the public-private partnership arena," she said. "We are in the process of studying it."

The Legislature has yet to consider a number of proposals to help close the road spending gap, including a recommendation by a blue ribbon panel assembled by former Gov. Kenny Guinn which recommended a series of tax and fee hikes -- including increases in registration fees and the state's gasoline tax -- and tolling.

On paper, that plan fills much -- if not all -- of the projected spending gap.

Gibbons, who took over as governor from Guinn at the start of this year, has been dismissive of many of the Guinn panel's recommendations.

Highway officials are taking a wait-and-see attitude toward whether any of the recommendations come to pass.

"We need to see what our legislators have to say on the process," said Kent Cooper, assistant director for planning for the Nevada Department of Transportation, who joined Martinovich at the meeting.

Highway officials are optimistic that legislators at least will release $170 million in surplus funds for widening work on I-15 in North Las Vegas, something both Guinn's panel and Gibbons have backed.

"Whatever revenue is raised, we're going to be ready to move forward with projects," Martinovich said.

The highest priority projects will be widening work in the I-15 corridor throughout the Las Vegas Valley, among the most congested highway corridors in the region.

"I-15 is the lifeblood of the state of Nevada," Cooper said. "Absolutely, I-15 is a much higher priority" than other projects in Nevada.

Martinovich called Las Vegas traffic "crazy" and in need of capacity upgrades.

If new funds fail to materialize, engineers may have to shuffle other spending on roads to concentrate on lane widenings on the busiest byways.

"We might have to push some other projects back, the preservation projects" aimed at maintaining existing roads, Martinovich said. "We have been backing off of preservation projects to get to capacity projects that are ready to go."


'MEGAPROJECTS'
Shown here are the Nevada Department of Transportation's planned "megaprojects" through 2015. The state estimates it will need $13 billion to pay for those projects and its other road responsibilities, but it is $3.8 billion short in revenues. Projects include:

• Widening Interstate 15 from St. Rose Parkway to Tropicana Avenue; from Tropicana Avenue to the U.S. Highway 95 "Spaghetti Bowl" interchange; and from the "Spaghetti Bowl" to the Apex exit.

• Widening U.S. 95 from the "Spaghetti Bowl" interchange to Foothill Boulevard and from Craig Road to Kyle Canyon Road.

• Building a U.S. Highway 93/Boulder City bypass.

• Building new Las Vegas Beltway interchanges at I-15, U.S. 95 and Summerlin Parkway.

• In Northern Nevada, projects include widening Interstate 80 and U.S. Highway 395 and improving the Pyramid Highway in Reno.

SOURCE: Nevada Department of Transportation

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