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Posts about Martin O'Malley

Transit


O'Malley announces first projects using new gas tax money

Today, Maryland Governor Martin O'Malley signed the transportation funding bill that passed the legislature this year. The governor also announced a list of projects that would get some of the money, including MARC expansion and studies for the Purple Line and Baltimore Red Line.


Photo by the author.

The tax will start this summer, and will help fund transportation projects across the state. The increased tax was a key part of O'Malley's 2013 legislative agenda, and is expected to generate $800 million more for transportation each year.

After the governor signed the bill, his office released a list of "first round" projects that will get some of the increased revenues. This list totals $1.2 billion, but over the first 6 years, the tax should generate $4.4 billion.

Of the $1.2 billion, $650 million (54%) will go to transit. However, a large portion of that funds studies rather than actual construction. Money will go to MARC to add weekend service on the Penn Line and 2 new weekday roundtrips on the Camden Line, and to purchase new locomotives.

Here is the full list.

Transit projects:

  • $100 million for MARC enhancements, including Penn Line weekend service, 2 new Camden Line weekday roundtrips, and new locomotives.
  • $280 million for final design for the Purple Line.
  • $170 million for final design for the Red Line in Baltimore.
  • $100 million for final design for the Corridor Cities Transitway in Montgomery County.

Road projects:

  • $125 million for construction of an interchange between I-270 and Watkins Mill Road in Montgomery County.
  • $100 million for construction of an interchange at Kerby Hill Road and Indian Head Highway in Prince George's.
  • $49 million for widening US 29 to three lanes from Seneca Drive to MD 175 in Howard County.
  • $82 million for construction of an interchange on US 15 at Monocacy Boulevard in Frederick.
  • $20 million for design of a new Thomas Johnson Bridge between Calvert and St. Mary's counties.
  • $60 million for reconstruction of in interchange at I-695 and Leeds Avenue in Baltimore County.
  • $44 million for BRAC-related construction near Aberdeen Proving Ground.
  • $54 million for construction of a new interchage on US 301 at MD 304 on the Eastern Shore.

Budget


O'Malley unveils transportation funding plan

Yesterday, Maryland governor Martin O'Malley released his proposal to restructure Maryland's gas taxes to raise $3.4 billion for transportation over 5 years. The plan is superficially similar to the recent Virginia transportation funding bill, but improves upon it in several ways.


The Purple Line won't happen without more money. Image from Maryland MTA.

Maryland needs new revenue this year. Without it, the Purple Line, the Corridor Cities Transitway, and the Baltimore Red Line could all stop moving forward.

The key to the bill is a new 2% wholesale tax on gasoline. Wholesale taxes differ from normal gas taxes in that the gas distributor pays them rather than the consumer. The distributor then usually passes the tax along to consumers via higher prices.

The plan partially offsets this wholesale tax by reducing the normal gas tax, from 23.5¢ per gallon to 18.5¢ per gallon. But the plan would also index the new lower gas tax to inflation, so it would increase slightly each year.

Taken together, overall tax revenue from gas would go up by about 2¢ per gallon as soon as the bill takes effect. In 2014 the 2% wholesale tax will increase to 4%, increasing gas tax revenue by another 9¢

Maryland's bill versus Virginia's bill

Both bills reduce the normal gas tax but add new wholesale gas taxes. But while Virginia plans to reduce its total gas tax and subsidize highway building with revenue from other sources, Maryland's proposal sticks to the principle of transportation user fees.

Unlike Virginia's bill, Maryland's does not include new fees on hybrid car owners, increases to the sales tax, nor any taxes on land or hotel visits.

Like Virginia's bill, Maryland's specifies that if Congress allows states to raise internet sales taxes, Maryland will do so, and will allocate some of it to transportation. If Congress doesn't allow an internet sales tax by 2015 then Maryland's wholesale gas tax will increase from 4% to 6%.

One thing Maryland's proposed bill does that Virginia's does not is to index transit fares on MTA buses and trains to inflation. That will put more burden on transit riders, but will also provide MTA with a more predictable budget.

Since Maryland cannot impose rules on WMATA without agreement from DC and Virginia, WMATA fares will not be indexed to inflation.

Smart Growth advocates are generally more supportive of O'Malley's proposal than the Virginia bill. Montgomery County councilmember Hans Riemer says the bill "appears to be a very strong plan and just what Maryland needs to get big infrastructure projects going."

The bill will undoubtedly face stiff opposition from Maryland Republicans, so its passage is no sure thing. But O'Malley's proposal is co-sponsored by Senate President Mike Miller and House Speaker Michael Busch, so it is clearly a serious initiative with a real chance of becoming law.

Cross-posted at BeyondDC.

Transit


O'Malley must step up on transportation funding

Last year, Governor O'Malley supported several controversial issues, including gay marriage and the Dream Act. Now it's time for him to adopt another courageous stand and support an increase of Maryland's gas tax or some other method of raising transportation revenues.


Photo by chesbay­program on Flickr.

According to reports, the O'Malley administration has yet to decide whether or not to push for an increase in transportation funding. Yet the administration clearly recognizes that without an increase in funding, both the Purple Line and Baltimore's Red Line will be dead in the water.

O'Malley told reporters on Tuesday:

There will come a time when it no longer makes any sense to put any money into the Red Line or Purple Line if the General Assembly wants to pretend we can fund our transportation challenges based on a 30-year-old flat tax on gasoline.

It's somewhat troubling that O'Malley hasn't yet decided whether or not it's worth fighting for these two major transit projects, both of which have been decades in the making. The state is on track (or perhaps, off-track) to run out of transportation money in 2017 for roads and transit.

O'Malley cannot increase transportation funding on his own. No, he'll need the legislature to also agree. But O'Malley has demonstrated his ability to get things done. In the 2011 session, gay marriage narrowly failed in the House of Delegates. But this year, with the charismatic support of the governor, the bill made it through both chambers.

If Governor O'Malley stands on the sidelines during the transportation funding debate, he might have doomed it, and the Red and Purple Lines, to defeat. But on the other hand, his support could be the crucial factor that makes a deal possible.

Gas tax has mostly declined since 1933

The real problem is that Maryland last raised its gas tax since 1992. Since that time, inflation has driven down the value of the 23.5¢ tax by 36%. In fact, the gas tax has been decreasing ever since it's high point in 1933, except for periodic raises in the tax rate. In 1933, the value of the tax was 3 times what it is today.

What could Maryland do?

It's not entirely clear what proposal the legislature will put forward this year.

Last year, the proposal was to do away with the exemption on gas sales from the state's 6% sales tax. The current 23.5¢ tax on gasoline is an excise taxit's 23.5¢ on each gallon. The 6% sales tax is a 6¢ tax on each dollar spent.

The current average price of a gallon of gas in Maryland is $3.26. If gas were subject to Maryland's sales tax, the cost would increase by 20¢. This would basically double the tax on gasoline. As a result, last year, the proposal called for phasing in the sales tax on gasoline by 2¢ every year for 3 years.

This would bring in a good deal of money for transportation. Another positive impact of this would be to index the gas tax to inflation, meaning that it will lose less value over time.

Another approach that the state is considering is raising the state's sales tax to 7% and earmarking the increase for transportation. It's not immediately clear how much revenue this will bring in.

Maryland must act

Doing nothing is not an option. If Maryland does not raise revenues to pay for transportation, the state will be unable to build important infrastructure. For years, O'Malley's plan to improve MARC has sat on the back burner. Now, the state's inaction on transportation funding is threatening two more of the governor's priorities: light rail lines in Baltimore and the Washington suburbs.

Both of these rail lines have the ability to be transformative in their communities. Local officials and citizens have been working since the 1970s to plan for the Purple Line. It would be such a waste for O'Malley's inaction to condemn this project to the dustbin of history.

And that's why Montgomery County officials are considering asking the state to give it the authority to levy its own gas tax. The county is concerned that the state legislature will continue to punt on the issue, and they're not willing to take the risk that one of the most important transportation projects in the region will die on the vine.

This is the time for O'Malley to step up and push the legislature to do the right thing on funding. It will move Maryland forward. And perhaps more persuasive to the governor, it will further bolster his reputation as a doer. Something clearly important for O'Malley's presidential ambitions.

Budget


Raise Maryland's gas tax? Only if it'll be spent wisely

Would you give away your money if you had little idea where it was going? Probably not. But that is what could happen to Maryland residents if the General Assembly passes a gas tax bill that doesn't give us a better plan for how our transportation dollars are spent.


Photo by tracktwentynine on Flickr.

Right now, Governor O'Malley is working on a bill to levy a 6% sales tax on gasoline, adding about 18¢ to the current 23½¢ gas tax at current prices. He says the revenue will go toward transportation, but that could mean a lot of things, including the same bad priorities that created the traffic we have today.

The Maryland Department of Transportation cites billions of dollars in spending priorities from the counties as a key reason to raise the gas tax. But those priorities are often costly road expansions that can cost billions of dollars, compete with transit or pedestrian and bicycle facilities for funding, and do more harm than good for the goal of creating more walkable places and better transportation choices.

For example, in Montgomery County, the state will build a $63 million interchange at Georgia Avenue (MD 97) and Randolph Road, to speed up traffic near the Glenmont Metro station. With ramps and longer crossings, the interchange will further degrade pedestrian access to nearby shopping from residences.

For the amount spent on this project, the county could build much of the long-discussed Georgia Avenue bus rapid transit project from Wheaton to Olney instead.

Montgomery County is pushing another grade-separated interchange at the Veirs Mill Road (MD 586) and Randolph Road. Based on past experience, we can expect that the planned Veirs Mill bus rapid transit project (the county's largest bus route) will continue to lose out to the expensive interchange for priority.

The interchange would not only compete for funds with this proposed rapid bus corridor, it would also make conditions much worse for the many pedestrians who cross these roads to stores and bus stops at the intersection. Read the whole list of the county's priority transportation projects here.

In Prince George's, despite numerous setbacks, the 6,000-acre greenfield Westphalia development project outside the Capital Beltway and miles from the nearest Metro station still maintains a top ranking on the list from local elected officials. The price tag for the road infrastructure to serve this massive tract of largely undeveloped land is $460 million.

The transportation projects would convert Pennsylvania Avenue (MD 4) into a freeway from the Capitol Beltway to Woodyard Road (MD 223), and add 4 interchanges along the way. The Westphalia plan calls for adding 14,000-15,300 new residential units and up 6 million square feet of commercial space.

The county transportation lists also contain important transit, bike, and pedestrian projects, but often these proposals languish while road projects advance. Other important transit, pedestrian, bicycle, and complete streets solutions never even make the list. We need to fund projects that meet the growing demand for more transportation choices that save time, energy, and money.

If Marylanders are asked to pay more, each dollar must be invested wisely. Residents need better and more affordable transportation choices. So where should this money go?

First, let's fix Maryland's existing infrastructure, like our aging roads, bridges and transit systems. Then, let's build modern transit to move more people efficiently and competitively, while providing alternatives to congested highways like the Beltway, I-95, and I-270. It's long past time for critical rail investments like the Purple Line, Baltimore Red Line and MARC expansion, and better bus service.

At the local level, state revenue to local governments should go to fix and maintain local street connections, sidewalks, and bikeways for existing communities.

Moreover, given high unemployment, smart growth transit options can help the economy. Public transportation and road maintenance are the biggest job creators. According to the Surface Transportation Policy Partnership, investments in road maintenance projects create 9% more jobs than spending on new highway capacity; increasing transit capacity creates 19% more jobs than new highway capacity.

If Marylanders are going to pay more, we deserve to know what the money will buy. We need a bill that that specifies smart, fix-it-first policies for the state. Otherwise, we're just throwing our money into the dark.

Budget


O'Malley's sales tax on gas is the right way to fund transport

In his Wednesday state-of-the-state speech, Governor Martin O'Malley proposed ending the exemption of gasoline from Maryland's 6% sales tax. This is the best way for the state to get more money for transportation.


Gov. O'Malley speaking yesterday. Photo from the State of Maryland.

Ending the sales tax exemption, rather than increasing the gas tax beyond the current 23½¢ per gallon, accomplishes two things. First, sales tax revenue keeps pace with inflation. With the current structure of the gas tax, politically difficult tax increases are needed just to keep transit operations and road maintenance constant.

Second, we now have an opportunity to refute a widely believed myth about transportation funding. Once upon a time, drivers paid for roads through the gas tax. Most people think that's still true, but it's not.

Maryland's gas tax goes into the state's Transportation Trust Fund, along with the sales tax on car sales, fares paid on MARC trains and MTA buses, and revenues from BWI Marshall Airport and the Port of Baltimore. When the gas tax was last raised in 1992, the 23½¢ state tax was 33% of the pretax price of gasoline. The sales tax on other pur­chases was 5%. The heavy tax on gas could be described as a user fee paid by drivers.

Today, though, the state gas tax is a little more than 7% of the price of gasoline. When drivers buy gas, they pay 7% into the transportation trust fund and get 6% back from the state's general fund through the exemption of gasoline from the sales tax.

Ending the exemption would convert the gas tax back into a true user fee. Drivers would then pay a share of the cost of maintaining roads, just as transit riders pay a share of the cost of transit operations through their fares.

Many myths surround the subject of transportation funding, in Maryland as in other states. Transit advocates need to be vigilant as the legislature debates this issue to make sure that new funding builds transit lines and walkable grid streets rather than repeating the mistakes of the past. The better the public understands the realities of the state budget, the easier this will be.

Bicycling


What's better: A $3 million direct trail or a $6 million detour?

Anne Arundel County wants to fill a gap in the Washington, Baltimore, and Annapolis Trail with a circuitous $6 million path, instead of the better and cheaper direct option.


Photo by Richard Drdul on Flickr.

This week, Maryland Governor Martin O'Malley will announce a new state program to help local governments fund trail construction. The first project on tap is path and bridge over the Patuxent River to connect the WB&A segments in Prince George's and Anne Arundel counties.

The two counties are a mile apart on where that bridge should be. Prince George prefers a $3 million bridge with a straight trail along an old railbed. But Anne Arundel prefers a $6 million bridge with a detour that goes up and down a hill, runs through a wetland flood plain, and adds a mile to the length of any trip. Recently, state officials have been moving forward with the more costly alignment.

The state would be picking up a large portion of the inflated tab. Will the Governor merely provide funds to enable local decision-making at its worst, or will he lead these counties to build the better, lower-cost trail that, for a variety of institutional reasons, they are unable to pursue on their own?

The Washington, Baltimore, and Annapolis Trail runs along the right of way of the old railroad of the same name from Lanham to the Patuxent River in Prince George's County, a distance of about 6 miles. One mile northeast of the Patuxent, the trail picks up again and continues for 4 miles to Odenton. From there, you can take mostly local streets to connect to the BWI Airport and Trail.

Anne Arundel County is preparing to build a trail along the South Shore Line of the old WB&A railroad from the eastern end of the WB&A trail to Annapolis. Meanwhile, Prince George's County plans to build a trail from the western end of the WB&A Trail to Bladensburg and the Anacostia River Trail. Building the connection over the Patuxent River to connect the two segments of the WB&A Trail is thus the highest priority in the Missing Links Program at the Maryland Department of Transportation (MDOT).


Anne Arundel's detour and the direct alignment.

The land between the two trail segments is undeveloped. A single developer owns the old railbed for about half the distance, and the land next to the railroad right of way for the other half. As part of the permit process for the planned Preserve at Two Rivers, Anne Arundel County could easily extend the trail in a straight line to the water's edge.

Instead, the County wants the developer to build a winding detour that would reach the Patuxent River on the Anne Arundel side about a mile north of where the trail currently reaches the river on the Prince George's side. Under the proposed site plan, the development will also place homes atop the old right of way, and thereby ensure that a straight trail is never built.

Railroads were always good at finding the route with the most favorable topography. Thus, the old railbed would provide a gradual slope down to the river. The detour would send the trail first up a small hill, then down a steep incline toward the river.

The route down to the river is so steep it requires several switchbacks. According to officials who attended a meeting on the subject in September, the turns are so sharp that the maximum safe speed is 7 mph, and the steep slopes do not comply with the Americans with Disabilities Act. Then, at the bottom of the hill, the detour trail would have to cross several hundred feet of floodplain wetlands before reaching the river.

Why does Anne Arundel County prefer a costly detour that seriously degrades the quality of the trail? I have been unable to find any official willing to offer a clear rationale.

According to Ken Alban, Chief of Capital Projects for the parks department, the county is pursuing the detour because a decision was made to pursue the detour years ago, before he took his position. "I have many projects and I cannot be continually revisiting the rationale behind each one, or nothing would ever get built," he says.

The detour alignment was originally proposed at the turn of the century by Buz Meyer, who owned the land along the Patuxent River immediately southeast of the railbed. Both the County and Meyer claimed ownership of the railbed itself.

Several officials who were with the county ten years ago told me that the decision to pursue the detour was made around 2001 by then-County Executive Janet Owens. Until then, the County had planned to run the trail on the right of way, but it eventually conceded that the right-of-way within about 1000 feet of the river was owned by Meyer.

Why didn't the county simply move the trail alignment by about 50 feet from the old roadbed to the adjacent parcel to the northwest? Three county officials told me that Meyer did not want the trail near his land because of the risk of stray bullets from his property, which was used for hunting and firearms training.

Apparently the detour was the only alternative in 2001. But circumstances have changed. A developer now owns the land northwest of the railbed. And Buz Meyer died recently. His son, Andrew Meyer, told me that he opposes the trail being on his property, but that he does not care if a trail is on the adjacent parcel, as long as people do not trespass on his land.

A fence could easily be built. In fact, a high wall was built to stop bullets and trespassing where the WB&A Trail runs along the grounds of the Berwyn Rod and Gun Club in Bowie.

Mr. Alban asked me why cyclists would want this more direct route. I told him it would allow people to arrive at their destination 10 minutes sooner. He told me he was surprised: "No one has ever suggested to me that this trail will be used for transportation," he said. "I doubt that people will use this trail for commuting."

Prince George's County has consistently favored the direct trail and opposed the detour since 2001, when then-county executive Wayne Curry sent Owens a letter explaining the the County's position.

A few years ago, Prince George's added a ½-mile segment extending the trail to the water's edge, which would be superfluous if the detour trail was built. County park and planning staff continue to favor the direct connection. But after a decade, they have also become pessimistic about whether it will ever be completed. So they are building a short trail along another old rail spur that would facilitate the detour, should it become the only option.

State officials almost universally are skeptical about the detour, but feel that there is nothing they can do even though the prospect of state funds is driving the process. Steve Carr of the Department of Natural Resources told Maryland's Bicycle and Pedestrian Advisory Committee that because the detour runs through wetlands in a floodplain, the permit process could take years.

I asked whether the state can do a complete alternatives analysis and pick the optimal route in a public process. "If and when the state conducts a design study, it can conduct an alternatives analysis," said Dustin Kuzan, the state's bicycle and pedestrian coordinator.

"But what if Anne Arundel County and the planned development make the direct route far more costly before that study begins," I asked. "We may not fund the best option, but the state can not make local land use decisions," he said.

Maryland is thinking of funding a wasteful detour bridge that makes no sense today, because the detour was the only practical alternative ten years ago. Middle management apparently lacks authority or incentive to pursue the more valuable and lower-cost alignment. MDOT needs leadership from Governor O'Malley to ensure the state doesn't waste money building an inferior trail.

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