Rick Dimino

Rick Dimino

The business community, transportation advocates and general public have called for years for reforms and additional resources for transportation to meet Massachusetts current and future needs. The House of Representatives took action this month by passing a major funding bill that represents a step forward towards meaningful transportation improvements.  

As the Senate prepares its own proposal, we must reflect on the magnitude of our looming transportation challenge and imagine the legislation that could emerge this year. By planning for the possible legislative scenarios, it becomes clear that a comprehensive approach is necessary for creating a 21st-century transportation system.  

House Bill an Important Step 

First, credit is due to the House under the leadership of Speaker Robert DeLeo for advancing an important, substantive transportation bill. Transportation finance bills are rare, despite the constant call for new revenue, because of the long-standing political debate over reform verses revenue, tax increases and the geographic tension between rural and urban legislative districts. Developing a transportation plan that is supported by a broad collection of political constituencies is very difficult.  

The House plan could generate $600 million in new revenue for transportation by a small increase to gas tax, increased fees on Uber and Lyft rides, closing a loophole related to the rental car industry and changing the corporate minimum tax code for Massachusetts companies.  

This new money is essential to address structurally deficient bridges and subpar roadway pavement, support transit operations at the MBTA and regional transit authorities and deliver additional funds to municipalities. The gas tax in Massachusetts would increase for only the second time since 1991, but over that same three decades, the purchasing power of the gas tax has declined, fuel standards have improved and the ongoing threat of carbon emissions must be addressed. The House’s gas tax increase of 5 cents per gallon is reasonable: If we attempted to cover the cost of inflation since 1991, then a 16-cent increase would be required.   

There are three key components that should be added in the Senate’s bill: a strategy for addressing roadway congestion, funding for targeted expansion projects and reforms to capital delivery methods. Hopefully, the Senate will take action in these areas and we can see the benefits of a comprehensive approach.  

Tolls a Key Component 

The best way to reduce traffic congestion and greenhouse gas emissions is by creating a regionally fair roadway pricing network. Metropolitan Boston’s chronic and worsening traffic congestion can only be reduced through the dual strategy of road pricing and investing the new revenue in alternative mobility options, like a better regional rail system and expanded bus network.  

The House bill proposes a one-year study commission of expanded tolling and roadway pricing, but we must go further. The Senate should empower an oversight panel of experts to conduct the analysis of toll locations, traffic forecasts and all other factors related to expanded tolling, but then be authorized and funded to implement their recommendations.  

Furthermore, tolling provides a more appropriate revenue stream for our statewide transportation system, compared to the corporate tax increases proposed by the House. Massachusetts needs to encourage behavior change and mode shift to reduce congestion and reduce carbon emissions. This most effectively done by properly pricing our transportation system of transit fares, tolls, and gasoline taxes. This revenue is required to be reinvested in transportation, not simply swept into the state’s general fund. 

Many important projects and transportation initiatives, from the Red-Blue Connector to rail service to Western Massachusetts, remain unfunded even with the new revenue proposed by the House.  

The signature initiative overlooked by the House is the transformation of our commuter rail system. The MBTA is setting goals to electrify and improve our commuter rail infrastructure to ensure more frequent service throughout Massachusetts. This “regional rail” vision will require billions in new money and the first phases are still unfunded.  

We need to go further on revenue for these projects, and many others.  

Management Changes Needed 

We should also be taking responsible steps to assist MassDOT and the MBTA in their oversight and management of capital spending plans.  

Gov. Charlie Baker proposed modest changes to accelerate transportation infrastructure spending plans, and they should be included in the legislature’s transportation finance proposal. Due to the scale of the transportation challenges facing the commonwealth, MassDOT and the MBTA must have the ability to employ job order contracting, public-private partnerships and other changes to procurement laws.  

These proposals are justified if we expect the MBTA to both eliminate their existing state of good repair backlog – currently estimated at $10 billion – while also delivering new projects and efficiently spend the dollars that are already available.  

The House has brought us one step closer to historic action and the path is clear on how to get there. If we make these management changes, add in roadway pricing and generate additional revenue for our many critical, unfunded projects, it would be fair to say Massachusetts is approaching the transportation crisis in a comprehensive manner. We cannot leave any beneficial option on the shelf and limit ourselves to studies and commission reports.  

Rick Dimino is CEO of A Better City. 

Massachusetts’ Next Steps for Transportation Funding Are Clear

by Rick Dimino time to read: 3 min
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