Highway heartburn

Speaking recently at the Arkansas Trucking Association’s Annual Business meeting in Hot Springs, Gov. Asa Hutchinson dropped a few names or positions of names likely to be on the working group on Highway Funding.

This group has a pretty “tight” deadline of December 15 to finish its work. And the overall purpose of this group, in addition to its Herculean task to fund Arkansas’ future highway projects, is also to involve the public in looking at new highway funding options. And they must do so, while not bankrupting the existing state budget.

That is no small task.

While standing in front of the state’s truckers Hutchinson said the state’s trucking industry would have a seat at the table. So will the state Highway and Transportation Department, albeit the head of the Department of his designee, can serve. Then toss in one of the five state Highway Commissioners and let’s not forget the State Chamber of Commerce folks.

Already the total is up to four. The segments of the state’s agriculture and the trucking industry need to be quick and decisive about their selections sent to the Governor.

And don’t forget Rep. Dan Douglas, R-Bentonville, who managed to get a super slick highway funding bill out of a House committee and through the floor of the House, before deciding it was to “rich” of a tax bite in the new governor’s programs. Douglas to his credit pulled back the bill. He deserved a seat at the table. Many in the state’s upper chamber were worried about what would happen should Douglas’ bill come over to the Senate side for consideration. I am sure many were amazed at Douglas, a second-term farmer and real estate salesman, and his savvy in getting the bill out of the House. He has also been a very highly praised member of the Benton County Quorum Court, so little in his way of wheeling and dealing was left to doubt.

Also let’s not forget to examine Douglas’ ability to reach down to south Arkansas Democrats to get their attention on this highway measure. While his bill made sense to most by using tax monies from car and truck related items, it did take millions from state general revenues.

But back to the cast of 20 on this committees. Let’s also count in representatives from the Arkansas Economic Development Commission and the same with the Arkansas State Department of Higher Education. Putting the AEDC and the Department of Higher Education may be a good thing. Higher Education folks will have a seat at the table, a seat that they should cherish. Being at the table to discuss the future of highway taxes rather than being in the audience hoping you don’t hear that your university budgets will be raided is indeed a good thing.

So the committee is suddenly up to six seats committed of the 20 available. Now comes the real hard choices. Some lawmakers will be included in the mix – how many and from what part of the state is unknown.

The chair of the group will be Hutchinson’s budget director. But he is not one of the members, just the chair. The other 14 seats must, some have indicated, contain a county judge and a mayor or two for good measure.

So now we are down to about a dozen.

Hutchinson, by virtue of the order, has less than six weeks to name the members. I predict the other dozen or so names will be filled in within a couple of weeks to ensure the group may begin working to meet the December 15 deadline.

Before the truckers’ convention, Hutchinson said long range funding solutions are needed as fuel-efficient vehicles are resulting in declining gasoline tax revenues for the state. But don’t forget the federal fuel tax is also a problem. And so has been the federal highway program. The federal fuel tax has not been increased since 1993. The state fuel tax also has been stuck at 2001 levels despite the state’s ever growing need for more dollars for highways.

To ease the public and legislative fears, Hutchinson is not for a special session on fuel tax rates or highway funding. But he does not want to convene the 91st General Assembly in 2017 without a good workable plan from these 20 individuals – and preferably one blessed by the public.

The governor said it would be great if a model could be designed by this working group that would have no impact on the state budget, but would find growth in revenue dollars in the future.

But pigs don’t fly. And fairy dust doesn’t pay the bills either. So don’t expect that to happen, no matter what the feds do or don’t do. Or whether the state raises its motor fuel taxes.

The governor cannot forget that the state’s voters in 2012 passed a half-cent sales tax for highway development. Asking for another such voter approved highway funding measure is not likely going to be popular if placed on a 2017 ballot.

So what is this committee of 20 – a working committee – to do? Get to work. Assess the needs of Arkansas’ road. Maybe light a fire under our two U.S. Senators and the four Republican Congressmen to raise the federal gas tax and pass along Arkansas’ share back to the state.

Congress’ inability to write a highway bill has already caused the Highway Department to cancel 60 projects totaling $162 million this year, according to Scott Bennett, the Arkansas Highway Department’s Director. That won’t be the last time we will hear Bennett or his designee repeat that mantra in this working group’s discussions.

By naming this working group and filling in the names for this gigantic task, I am not so sure the names will come so easy, even for these last dozen slots. This may be a group clamoring around for significant funding for Arkansas’ highway programs in a rather empty and barren tax climate.

It’s always easy to make a plan, add up the costs for first rate service and present it to the people. Paying for that plan? That’s the real chore, and a vital part of this committee’s task.