We have many issues facing the state of Arizona.  We Build Arizona wants to bring awareness of these key issues and help to find a solution so that our state can grow – building infrastructure, bring jobs and revenue back to our state.

Infrastructure is Important to the Overall Economy - We Build Arizona acknowledges Arizona needs a more diversified and innovation-based economy, but it could take a decade or more to accomplish this assuming there is broad-based and coordinated effort aimed at that goal.   Economic diversification is not the only solution to our current dire economic problems.  Investing in infrastructure will create jobs and give future generations an asset that improves their quality of life.   The quickest way to get Arizona’s economy moving forward again is to reverse the sharp decline in the construction industry.

 Arizona’s Current Transportation Needs – Recently, the Arizona Department of Transportation along with the state’s Metropolitan Planning Organizations (MPOs), Council of Governments (COGs) and business leaders completed its work on a project called Building a Quality Arizona (BQAZ) which comprehensively lays out Arizona’s long term transportation needs.  ADOT’s Preliminary Definition of Critical Needs concluded that from now until 2030 there is $162.3 billion of unmet need.

Arizona will continue to grow possibly doubling its population by 2050 and there are inadequate funds to meet these challenges.

BQAZ acknowledges that Arizona must further diversify its transportation modes (multi-modal) to plan for continued growth statewide especially in the Sun Corridor Megapolitan Region.

Air Quality – According to the Environmental Protection Agency (EPA), Maricopa and Pinal County struggle to meet attainment.  If Maricopa County fails to overcome EPA’s decision to reject the 5% plan, then the area could lose an additional $1.8 billion in federal transportation funding jeopardizing the region’s entire Transportation Improvement Plan (TIP) of $7.2 billion.

Fuel Consumption is Decreasing – According to the latest numbers provided by the Arizona Department of Transportation, gasoline and use fuel consumption is down to 2002/03 levels.

State Transportation Funding is Decreasing – Over the last three years, due to the current economic conditions which causes lower tax revenues, approximately $348,000,000 has been lost from the VLT,  HURF and RARF respectively.

The Gas Tax is Losing Its Buying Power -   Today’s 18 cent gas tax that was last raised in 1991 would have to be 30 cents to have the same buying power it did then.  Take into account increased fuel efficiency and the use of electric cars and motorists today pay about 80 cents per 100 miles of travel.  Twenty years ago they were paying  $1.40.

MAG Projects Cut – Due to the lack of revenue being generated from the regional area road fund now known as Maricopa County Excise tax, in 2009, the Maricopa Association of Governments (MAG, the Valley’s Metropolitan Planning Organization) revised their twenty-year plan by reducing the expected projects by $6.6 billion.

State Highway Funds are Being Raided – From 2001 to 2011, over $1.4 billion has been taken from transportation coffers.  This equates to approximately 42,000 jobs over the last 11 years.

The Feds have failed to extend the highway bill – SAFETEA-LU stands for Safe Accountable Flexible Efficient Transportation Equity Act: A Legacy for Users. It was enacted in August 2005 and authorizes all federal surface transportation programs. It allows all of these programs to exist.   The bill originally expired on Sept. 30, 2009. It has been extended through a series of continuing resolutions through Congress. The latest resolution expires at 11:59 p.m. on September 30, 2011.

Federal Transportation Funding is Dwindling - In late 2010 P.L. 111-226 was passed which required states to revert $2.2 billion in unobligated apportionment (a.k.a. the rescission) back to the federal government.  Arizona’s portion was $45.1   Since May, 2009 ADOT returned over $280 million while congress only restored $170 million.  These fluctuations wreak havoc and instability on state transportation planning.

Arizona’s Airports – The transfer of over $96 million dollars out of the State Aviation Fund and into the State General Fund forced ADOT Aeronautics in fiscal year 2009 to terminate $5.3 million in existing grants and placed $19 million of existing grants on a deferred reimbursement schedule of up to 18 months.  It also postponed the State/Local grant program, the Airport Pavement Management System (APMS) program and the loan program for the last two years. 

Transit Revenue is Being Lost  – In FY 2009, Arizona taxpayers generated $484,440,000 in federal gas tax revenue from their consumption of over 2.66 billion gallons of gasoline.  80% of this nearly $484M or $387M is deposited in the Federal Highway Trust Fund and the remaining 20% or $97M is deposited in the Federal Transit Fund.  Without a reliable source of state rail/transit match funding, Arizona is missing out on accessing these funds.  Therefore, this funding generated in Arizona is being distributed to other states.

Our Message:

1. Use VLT/Highway user revenue and aviation Fund for their intended purpose.
2. Support and pass a new federal highway bill before September 30, 2011.
3. Encourage Congress to Change U.S. Code 23 Section 111 to privatize and commercialize rest stops.