1. Transportation System Needs House Transportation Committee Phil Williams, City of Bremerton Ashley Probart, AWC January 25, 2005

2. Association of Washington Cities 2 City Overview 2003 City Revenues & Expenditures – Revenues = $3.9 Billion* (source = LGFRS**) * Excludes Utilities. **General, Capital, Debt Service & Special Funds Public Safety - 36% Transportation - 16% Liability Ins, HealthCare, Benefits, Admin, Libraries - 17% Parks, Environment, Community Centers, Planning, Comm Dev - 23% Property Tax - 22% Sales Tax - 17% Business & Utility Tax - 17% State & Federal Shared Rev - 11% Charges for Services, Impact Fees, Lodging Tax, etc - 25% $ in Millions Bellevue – 27% Bremerton- 8% Yakima –9% Debt Pro – 8%

3. Association of Washington Cities 3 City Street System Arterials, Collectors, Local Network, State Highways Lane miles of city streets have increased by 10,505 miles (41%) since 1990. 94% of city streets are paved. 657 bridges (bridge replacement cost at $350 sf, is $1.88 billion). Cities over 22,500 in population have added maintenance and operational responsibilities on (non-Interstate) State Highways within their city boundaries (2,228 lane miles). Cities also provide signalization, sidewalks, streetlights and other appurtenances. 41% Increase

4. Association of Washington Cities 4 City Overview: Local Funds pay for Local Streets City Transportation Revenues – 2003 – $895 Million Local Funds Pay for Streets * 13.4% of TIB funds were spent on state highways ** includes Local Revenue Sources and Public Works Trust Fund Loans 19932003 Local69% State26%20% Federal5%11%

5. Association of Washington Cities 5 Bremerton : Local Funds pay for Local Streets City Transportation Revenues - 2003 - $2.34 Million - 1993 - $2.62 Milliion 19932003 Local40%71% State58%24% Federal2%5% 2003

6. Association of Washington Cities 6 Bremerton Basic Street Funding 1993 - 2003 Total Funding Reduced 12.9% State Funding Reduced 64.2% Gas Tax Dist. Reduced 7.6% Purchasing Power Reduced 31.7% Total Local Funding Increased 61.3% Total Value of State Contribution to Bremerton’s Basic Street Funding has been Reduced by 76%

7. Association of Washington Cities 7 Typical City Street Investments Streets in newly incorporated and annexed cities experience major investments to meet urban standards. Larger economic centers need major improvements for congestion relief, freight mobility, and earthquake protection. Many intermediate and smaller cities serve as a through corridor for commuting workers, resulting in extraordinary congestion. Small rural communities typically seek to fund the most basic resurfacing projects and cannot afford even modest improvements to their streets (Grant support is traditional funding method). Eastern Washington cities face freeze/thaw cycles that accelerate street deterioration.

8. Association of Washington Cities 8 City Overview: Expenditures City Transportation Expenditures – 2003 – $886 Million In 2003, cities invested $886 million on transportation – down from $937 M in 2002. Approximately $200 million for street maintenance alone. Yet this covers only one- third of ongoing needs and does not address a critical maintenance backlog. Maintenance Administration Debt Service Other Construction

9. Association of Washington Cities 9 City Street Maintenance & Capital Fund Overview Cities do not have a Preservation or Maintenance account like WSDOT; City Street Maintenance is funded out of the Street Fund Fund sources are a combination of local funds and the dedicated state gas tax. Cities under 15,000 in population can use all their state gas tax on maintenance. Cities over 15,000 in population can use 2/3 of their state gas tax on maintenance, 1/3 must go to improvements The Transportation Capital Improvement Fund…. Is where cities identify and fund larger street projects. Fund sources are a combination of local funds, state and federal grants and loans and the dedicated state gas tax. Projects include rehabilitation and reconstruction of streets as well as other right of way improvements such as bike lanes and sidewalks. City bid laws require larger projects to be put out to a competitive bid process.

10. Association of Washington Cities 10 Typical City Street Responsibilities

11. Association of Washington Cities 11 Highway Maintenance Responsibilities in Cities (Managed access highways*) Cities under 22,500 Cities over 22,500 *WSDOT performs all of the above maintenance activities on Limited Access Highways (I.e. I-5, I-90, I-405, I-82, etc.) **State Highway Improvements are typically a partnership between cities and the state

12. Association of Washington Cities 12 City Street Maintenance Responsibilities Street Maintenance services include fixing potholes, street sweeping, cleaning catch basins, and other street and right of way maintenance. Traffic Maintenance services include maintenance of traffic signals, streetlights, signs and pavement markings. Pavement Management is a preventive maintenance program for city streets and involves resurfacing streets as needed and as funding is available. Pavement Management services include crack sealing, slurry seals, chip seals, and thin hot mix asphalt overlays.

13. Association of Washington Cities 13 Excellent (89-100) Good (68-88) Fair (49-67) Poor (21-48) Failed (0-20) 572012Years Routine - $1.50 per sq. yd. Preventive - $7.50 per sq. yd. Rehab - $24.00 per sq. yd. Rebuild - $57.00 per sq. yd. Pavement Condition Based on 2001/2004 Bremerton Pavement Management study Maintenance Treatment Cost Comparison - Bremerton 2004 Average Arterial Rating* = 71 PCR Bremerton Average Arterial Rating = 57 PCR (2004) 62 PCR (2001) City Arterials Pavement Condition Bremerton * 70% of City Arterial Network reporting

14. Association of Washington Cities 14 Effects of Inflation on Street Maintenance

15. Association of Washington Cities 15

16. Association of Washington Cities 16

17. Association of Washington Cities 17

18. Association of Washington Cities 18

19. Association of Washington Cities 19 Summary City street investments range from meeting urban standards, to providing corridor congestion relief for moving people and goods, and urban resurfacing projects. Cities depend heavily on their general fund dollars for transportation. There is increasing competition for those dollars to provide essential services such as fire and police. Competitive grants and a major portion of cities’ share of the 2.46 cents of gas tax is targeted to new construction which results in deferred maintenance /preservation. Of 70% of our city arterial street system, 34% are reporting a fair to poor pavement condition. Of total city transportation expenditures, $200 million is invested in maintenance/preservation.

20. Association of Washington Cities 20 10 year Transportation Capital Program & Maintenance Needs 2004-2013 State Gas Tax - $0.76 billion Projected Street Needs Projected Revenues Deficit

21. Association of Washington Cities 21 Direct Gas Tax Distribution to Cities and Counties, Support for our Partners - Both Associations are seeking at least 5 cents in new gas tax distributions or equivalent revenues for local governments as part of a statewide package. We also support increased grant funding from our state partners to fund: Safety funding for rural roads and high accident locations in cities; Corridor congestion relief to assist with multi-jurisdictional needs; Pedestrian safety, including better access to multi-modal facilities; Safe Routes to Schools Program; Small city pavement fund to preserve their system; and Ongoing freight mobility funds What Do Cities Need

22. Association of Washington Cities 22 Local Transportation Options – We support a variety of local transportation options, including: Vehicle License Fee – Replace funds lost due to Initiative 776. Vehicle Weight Fee – Impose a weight fee on all vehicles (exempting agricultural equipment/vehicles). Street Utility Authority – Pursue legislation to allow re-enactment of this authority. Local Option Fuel Tax – Increase the local option from 10% to 20% of the state gas tax. Additional Transportation Efforts to Assist Cities Gas Tax Distributions for All Street Transportation Purposes – Remove restrictions on how cities allocate their gas tax on city streets proceeds, to provide more flexibility (continue 18 th Amendment restrictions). Highways in cities over 22,500 Population Study – A study to determine the cost of providing Transportation Infrastructure on State Highways (cities over 22,500 population). What Do Cities Need (cont.)