1. Texas Transportation Funding
State Senator Robert Nichols

2. What is the problem with transportation funding?
Nichols
Senator Robert Nichols
What is the problem with transportation funding?
What do we need to focus on between now and November 2014?
What do we need to do next session?

3. Traditional Revenue Sources
Senator Robert Nichols
Traditional Revenue Sources
State Motor Fuel Tax
Vehicle Registration Fees
Federal Motor Fuel Tax

4. Texas Fleet Fuel Efficiency
Senator Robert Nichols
Texas Fleet Fuel Efficiency
History and Future
Forecast
MPG
Personal vehicles
Commercial vehicles

5. The Cost of Inflation Senator Robert Nichols Fuel Tax Receipts
Purchasing Power

6. Transportation Funding
Senator Robert Nichols
Transportation Funding
Maintenance
Construction

7. ( Overhaul existing system )
Senator Robert Nichols
Transportation Funding
Maintenance
Construction
Rehab
( Overhaul existing system )
New capacity

8. ( Overhaul existing system )
Senator Robert Nichols
Transportation Funding
Maintenance
Construction
Rehab
( Overhaul existing system )
Preservation
New capacity

9. Nichols
Senator Robert Nichols $
Preservation
Time

10. Nichols
Senator Robert Nichols
Traditional Funding $
Preservation
Time

11. $ Time Traditional Funding Preservation New Capacity
Nichols
Senator Robert Nichols
Traditional Funding
New Capacity $
Preservation
Time

12. Senator Robert Nichols
New Capacity
Preservation

13. Reduced Emphasis on Transportation
Senator Robert Nichols
Reduced Emphasis on Transportation
’60
33%
‘14 9%
In 1960, one third of the state budget went for transportation. Today, it is closer to nine percent.

14. One Time Funding Sources
Senator Robert Nichols
One Time Funding Sources
2001 Texas Mobility Fund ($6.9 Billion debt)
2003 Proposition 14 ($6 Billion debt)
2007 Proposition 12 ($5 Billion debt)
2008 NTTA Payment on SH 121 ($3.2 Billion debt)
2009 Federal Stimulus Dollars ($2.6 Billion)
Also, $1.9 Billion in outstanding pass through debt
Grand Total of $25.6 Billion in one time funding and over $23 Billion in debt

15. Senator Robert Nichols
Solutions?

16. Senator Robert Nichols
Definitions
Severance Tax- tax paid on the production value of oil and gas extracted from the ground

17. Senator Robert Nichols
Definitions
Severance Tax- tax paid on the production value of oil and gas extracted from the ground
Economic Stabilization Fund (ESF)- state savings account created by the voters in Commonly referred to as the “Rainy Day Fund”, the ESF is funded with the oil and gas severance tax through an annual deposit.

18. Senator Robert Nichols

19. Senator Robert Nichols

20. Senator Robert Nichols

21. Senator Robert Nichols

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23. Senator Robert Nichols

24. Does not take money out of the rainy day fund.
Senator Robert Nichols
On ballot November 2014
Immediate effect
Does not take money out of the rainy day fund.
Does not solve the entire transportation funding problem but is a big step in the right direction.

25. Sales Tax and Registration
Senator Robert Nichols
Sales Tax and Registration
by biennium
Revenue (in billions)
Vehicle Sales Tax Registration Fees

26. Senator Robert Nichols
QUESTIONS?

27. Texas Transportation Funding
State Senator Robert Nichols