Governor’s Transportation Initiative Addresses Regional and Statewide Funding Needs

This week, Governor Kaine announced a transportation funding plan in anticipation of the Special Session of the General Assembly scheduled for June 23rd. The proposal broadly meets the criteria set forth in the Chamber’s letter to the Governor on April 23, 2008 that reasserted the Chamber’s highest priority of restoring funding for the Northern Virginia Transportation Authority through sustainable and reliable revenues that share the burden fairly between residents and businesses. The Chamber anxiously awaits the funding proposals from the General Assembly’s leadership as the pending June session nears.

The Governor proposes a regional 1-cent increase in the sales tax to fund the NVTA. The Governor’s plan similarly proposes a regional sales tax increase in Hampton Roads of 1-cent to fund that area’s needs for major project construction. On top of the regional packages, the Governor’s proposal also addresses the statewide transportation maintenance deficit by dedicating revenues approved by General Assembly in the 2007 as part of the regional funding packages in HB 3202 to the statewide maintenance fund. The Chamber supported these revenue sources as part of the regional package in that bill.

“We appreciate Governor Kaine putting together a transportation proposal that restores funding for Northern Virginia’s critical transportation needs while also addressing the statewide maintenance fund deficit and the needs of Hampton Roads,” said Chamber President & CEO William D. Lecos. “We look forward to working closely with the Governor and the leaders of the General Assembly as various proposals are put forth in crafting a legislative solution that sustains the economic success of our region and the Commonwealth by meeting the increased demands on our transportation infrastructure. Now it is time for our elected leaders to dedicate themselves toward reaching accord on a responsible, sustainable solution that meets the long-term funding needs of Virginia’s transportation systems both regionally and statewide,” Lecos concluded.

Governor's Plan can be found at www.transportation.virginia.gov