AASHTO Journal, 16 October 2015
Gov. Mike Pence unveiled a “21st Century Crossroads” infrastructure proposal that would make available $1 billion in new road funding over four years for the Indiana Department of Transportation without raising taxes.
Pence, at podium, unveils his funding planPence and INDOT said Oct. 13 the plan would allow the agency to resurface 16,000 miles of state highways and repair more than 5,200 bridges over the next 15 years.
“These additional funds will help INDOT make future maintenance and repairs as the interstate system comes of age,” Pence said, “and will help ensure that our roads can support the economic and employment growth our state has seen over the last few years.”
The governor’s plan would build on improvements the state has been making in statewide pavement and bridge conditions, and be in additional to $3.2 billion INDOT was planning to spend over the next 5 years on road and bridge preservation
Pence proposed several actions, the largest of which would be to seek legislative appropriations of an additional $150 million for INDOT during fiscal years 2018, 2019 and 2020, for a total of $450 million.
He would also devote about $241 million to transportation projects from state reserves of more than $2 billion.
Pence said Indiana could raise $240 million in bond debt, taking advantage of the state’s AAA credit rating. He would also refinance existing bonds at today’s lower interest rates to generate another $6.5 million in annual savings through 2029.
Indiana already has $500 million in a trust fund from a 2006 program; Pence would tap it for $50 million as “an accelerated distribution of interest in 2019.