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					         Agenda Item 2

     Overview of
   Task Force’s Role




           Presented to
      Blue Ribbon Task Force
         October 27, 2005
        Jeff Fontaine, P.E.
             Director,
Nevada Department of Transportation
                  Overview




• Review the need for future Nevada
  Department of Transportation projects,
  including impacts to congestion relief, state
  highway system serviceability and safety,
  and the quality of life and economy of our
  state.
• Review project costs and revenue
  projections.
• Evaluate funding options.
      State Highway Fund
10-year Revenue & Expenditures
     Fiscal Years 2006-2015
              Agenda Item 3


         Overview of the
Nevada Department of Transportation




                Presented to
           Blue Ribbon Task Force
              October 27, 2005
             Jeff Fontaine, P.E.
                  Director,
     Nevada Department of Transportation
                        Mission


The mission of the Nevada Department of
Transportation is to efficiently plan, design,
construct and maintain a safe and effective
seamless transportation system for Nevada’s
economic, environmental and social needs .
                         Goals

• Improve safety in public transportation
• Develop and deliver beneficial projects in a timely
  manner
• Effectively communicate to improve costumer
  satisfaction
Growth
State-Maintained Highway System
NDOT Road System Mileage
Miles of Improved Road
       By County
Vehicle Miles of Travel
       By County
State-Maintained Highway System
         in Clark County
Regionally Significant Roadways
     in Las Vegas Urban Area
State–Maintained Highway System
        in Washoe County
Regionally Significant Roadways
       in Reno Urban Area
State Maintained Highways
Areas Between NHS Routes
Maintenance & Support Personnel
Nevada Truck Flows
Distribution For Project Funding
  5 years (Fiscal Years 2002-06)
         Agenda Item 4


  Financial Overview




            Presented to
      Blue Ribbon Task Force
         October 27, 2005
           Robert Chisel
 Assistant Director, Administration,
Nevada Department of Transportation
           Constitution of the
            State of Nevada


                 Article 9
                 Section 5

    Proceeds from fees for licensing and
 registration of motor vehicles and excise
  taxes on fuel reserved for construction,
maintenance, and repair of public highways.
Revenues
 Highway Fund
Revenue Sources
Fiscal Year 2005
                                      Highway Fund Revenues
                                           1996 - 2005



                      $1,200



                      $1,000



                       $800
Dollars in Millions




                       $600



                       $400



                       $200



                         $0
                               1996   1997     1998   1999     2000   2001   2002   2003      2004   2005

                               State Revenue     Federal Aid    Miscellaneous Receipts     Bond Receipts
                                Major State Revenue Trends
                                        1998 - 2005



                      $250




                      $200
Dollars in Millions




                      $150




                      $100




                      $50




                       $0
                             1998   1999    2000   2001     2002      2003     2004    2005

                                    Gasoline Tax   Special Fuel Tax     Registration
Gas Tax Per Gallon
Diesel Tax Per Gallon
                   Federal Aid

The Federal Highway Trust Fund was established in 1956.
Revenues include taxes on gasoline (18.4 cents per gallon),
diesel (24.4 cents per gallon), tires over 40 pounds, truck
and trailer sales, heavy vehicle use, and interest.

On August 10, 2005, the President signed into law the Safe,
Accountable, Flexible, Efficient Transportation Equity Act:
A Legacy for Users which authorized funding for highways,
highway safety, and public transportation programs over
six years and totals up to $244 billion. SAFETEA-LU
represents the largest surface transportation investment in
the nation’s history.

The Nevada share for highways will be up to $1.3 billion
over the next five years, including $314 million in earmarks
for special projects.
Expenditures
         Highway Fund
Expenditures and Disbursements
       Fiscal Year 2005
                                  NDOT Expenditures by Category
                                          1996 - 2005

                       $800,000


                       $700,000


                       $600,000
Dollars in Thousands




                       $500,000


                       $400,000


                       $300,000


                       $200,000


                       $100,000


                            $0
                                  1996     1997       1998      1999     2000      2001     2002     2003        2004    2005

                                         Labor    Travel   Operating   Equipment   Capital Improvements     Other Programs
       Financial Analysis



                                                                                                                                                                                              Leading Indicators



20 Year Projection

                                                                                                                            Highway Fund Cash Balance
                                 $450


                                 $400


                                 $350


                                 $300                                                                                                    2004
           Millions of Dollars




                                 $250
                                                                           2005

                                 $200                                                                                  Cash Balance
                                 $150
                                                                                                                                                                                     2003
                                 $100


                                 $50


                                  $0
                                                                                     1 Mar
                                                                                             13 Mar
                                                                                                      25 Mar




                                                                                                                                         12 May
                                                                                                                                                  24 May




                                                                                                                                                                                                                                                                            8 Nov
                                                                                                                                                                                                                                                                                    20 Nov

                                                                                                                                                                                                                                                                                             2 Dec
                                                                                                                                                                                                                                                                                                     14 Dec
                                                                                                                                                                                                                                                                                                              26 Dec
                                                                                                                                                                                     11 Jul
                                                                                                                                                                                              23 Jul
                                        1 Jan
                                                13 Jan
                                                         25 Jan
                                                                  6 F eb




                                                                                                                                                           5 Jun
                                                                                                                                                                   17 Jun
                                                                                                                                                                            29 Jun
                                                                            18 Feb




                                                                                                                                                                                                                                                  3 Oct
                                                                                                                                                                                                                                                          15 Oct
                                                                                                                                                                                                                                                                   27 Oct
                                                                                                                                                                                                                                         21 Sep
                                                                                                                                                                                                                                 9 Sep
                                                                                                                                                                                                       4 Aug
                                                                                                                                                                                                               16 Aug
                                                                                                                                                                                                                        28 Aug
                                                                                                               6 Apr
                                                                                                                       18 Apr

                                                                                                                                30 Apr




                                                                       2003 Highw ay Fund Cash Balance (fund 201)                                                                             2004 Highw ay Fund Cash Balance (fund 201)
                                                                       2005 Highw ay Fund Cash Balance (fund 201)
           Agenda Item 5


Future Projects 2008 - 2015




            Presented to
       Blue Ribbon Task Force
           October 27, 2005
        Susan Martinovich, P.E.
           Deputy Director,
  Nevada Department of Transportation
                           Project Summary


                                  Southern Nevada
I-15 North Corridor – Spaghetti Bowl to Apex Interchange         $ 330 million
US-95 Northwest Corridor – Washington Ave. to Kyle Canyon Rd.    $ 100 million
Beltway Interchanges – US-95, I-15, Summerlin Pkwy.              $ 210 million
I-15 – Tropicana Avenue to Spaghetti Bowl                       $1,210 million
I-515 – Foothills Road to Spaghetti Bowl                        $1,300 million
I-15 South Corridor – Stateline to I-215 Beltway                 $ 350 million
Boulder City Bypass                                              $ 470 million
                                                                $3,970 million
                                  Northern Nevada
I-80 – Robb Dr. to Vista Blvd.                                   $ 460 million
US-395 – Spaghetti Bowl to Stead Blvd.                           $ 275 million
Pyramid Highway – Nugget Ave. to Calle De La Plata Dr.           $ 135 million
                                                                 $ 870 million
                                   Other – Statewide
Two Lane Highways – Widening and Passing Lanes                   $ 400 million
Preservation Program                                             $ 400 million
ITS/Operations                                                    $100 million
                                       PROJECT NAME:

                                  I-15 North Corridor
                           Spaghetti Bowl to Apex Interchange
    DESCRIPTION:
Improve the I-15 corridor from the I-15/US 95 “Spaghetti
Bowl” interchange to Apex interchange northeast of Las
Vegas. The proposed improvements include:

•   Widening of I-15 from 6 lanes to 10 lanes from US
    95 (Spaghetti Bowl) to Lake Mead Blvd. and widening
    of I-15 from 4-5 lanes to 8 lanes from Lake Mead
    Boulevard to Craig Road, (Design/Build)

•   Widening of I-15 from 4 lanes to 6 lanes from Craig
    Road to Apex interchange
•   Interchange improvements at US 95, Washington/“D”
    Street, Lake Mead Boulevard, and the Las Vegas
    Beltway
•   A new interchange between Speedway Boulevard and
    Apex interchange.

    ESTIMATED COST:

    $330,000,000
                                 PROJECT NAME:

                      US 95 Northwest Corridor
                Washington Avenue to Kyle Canyon Road
 DESCRIPTION:
Improvement to seven miles along the US-95
freeway in Las Vegas from Washington Avenue to
Kyle Canyon Road. The project includes widening,
possible frontage roads, HOV lanes and new service
interchanges at Kyle Canyon Road and Horse Drive
along with the future system interchange at the Las
Vegas Beltway (future Interstate-215).




 ESTIMATED COST:

  $100,000,000
                                 PROJECT NAME:

                             Beltway Interchanges

 DESCRIPTION:

Regional interchanges on the Beltway at US 95, at
I-15, and Summerlin Parkway.




 ESTIMATED COST:

$210,000,000
                                 PROJECT NAME:

                I-15 Tropicana Avenue to Spaghetti Bowl
                               (Includes Project NEON)
 DESCRIPTION:

• I-15 at Charleston Interchange – Reconstruct to
a single          point urban interchange.
• I-15 at Alta Drive – southbound on and
northbound         off ramps.
• I-15 from Sahara Ave. to Spaghetti Bowl – Widen
to       10 lanes.
• I-15 South, from Tropicana Ave. to Sahara Ave. –
  Widen from 6 to 14 lanes.
• Martin Luther King/ Industrial connector from
  Palomino Lane to Wyoming Ave. – Construct 6-
lane    connector.


 ESTIMATED COST:

 $1,210,000,000
                                 PROJECT NAME:

                                I-515 Widening
                      Foothills Road to Spaghetti Bowl
 DESCRIPTION:
Widening of I-515 (US-95/US-93) from 6 to 10 lanes
plus auxiliary lanes, from Foothills Road in
Henderson to the Las Vegas Spaghetti Bowl in the
City of Las Vegas (length: 20 miles). New
interchanges are proposed at “F” Street, Pecos
Road, and Sahara Avenue.




 ESTIMATED COST:


$1,300,000,000
                                PROJECT NAME:

                             I-15 South Corridor
                          Stateline to I-215 Beltway
DESCRIPTION:

Improve the 11-mile corridor of I-15. This corridor
will provide access to the proposed Ivanpah Valley
International Airport 20 miles south of Las Vegas.
Alternatives analysis includes five new
interchanges, frontage roads, collector-distributor
roads, high occupancy vehicle (HOV) lanes, park
and rides, transit, and other capacity improvements
to the corridor. Also being analyzed are various
alternatives to Las Vegas Boulevard.



ESTIMATED COST:

$350,000,000
                                 PROJECT NAME:

                              Boulder City Bypass

DESCRIPTION:

New US-93 alignment around Boulder City to the
South (Length: 14 miles) 2-lanes in each direction.
Foothills Road to the Nevada Interchange (Hoover
Dam Bypass Project terminus).



ESTIMATED COST:

$470,000,000
                                 PROJECT NAME:

                                I-80 Widening
                           Robb Drive to Vista Blvd.
 DESCRIPTION:
• I-80 from Robb to Keystone/ Widen to 6 lanes
• I-80 Keystone Ave to Pyramid Hwy/ Widen to 8
lanes
• I-80 Pyramid Hwy to Vista/Widen to 6 lanes
• Interchange Improvements



 ESTIMATED COST:


 $460,000,000
                               PROJECT NAME:

                                 US 395
                      Spaghetti Bowl to Stead Blvd.
DESCRIPTION:

• US-395 from Spaghetti Bowl to Lemmon
Dr/    Widen to 8 lanes
• US-395 Lemmon Dr to Stead Blvd/
Widen to 6 lanes
•   Interchange Improvements


ESTIMATED COST:

$275,000,000
                                  PROJECT NAME:

                        Pyramid Highway Improvements

    DESCRIPTION:

•    Nugget Ave to McCarran Blvd./Widen to 6
     lanes
•    McCarran to Lazy 5 Pkwy./ Widen to 8 lanes
• Lazy 5 Pkwy. to Calle De La Plata Dr./
Widen to 6 lanes



    ESTIMATED COST:


    $135,000,000
Rural Interstates & Two Lane Highways




          Interstates
          Highways &
          State
          Routes
                       Proactive versus Reactive
                     Pavement Management System


PAVEMENT CONDITION


                     Good (5)
                                                 $1M


                     Poor (1.5)
                                                       $ 4M


                     0            AGE IN YEARS
                                                  8     12
ITS/Operations
         Agenda Item 6


Transportation Finance




           Presented to
      Blue Ribbon Task Force
         October 27, 2005
          Russ Law, P.E.
Chief Operations Analysis Engineer,
Nevada Department of Transportation
     Transportation Finance
     Typical Annual Funding
         through NDOT



•   Highways - $900 million
•   Transit - $3 million
•   Pedestrian/Bicycle - $2 million
•   Railroads - $300,000
•   Airports - $200,000
     Financing Highways


• Three common methods:
   – Direct User Taxes
   – Indirect Taxes
   – Debt
• How do we finance Nevada’s
  highways?
• Alternative financing
• Criteria for evaluating taxes
        Direct User Taxes




Concept: system users pay the tax

        •    Fixed fees
        •    Variable fees
             Direct User Taxes




Fixed Fees (costs do not vary with travel):

       • Vehicle registration fees
       • Vehicle sales tax
       • Vehicle property tax
            Direct User Taxes


Variable Fees (costs vary with travel):
     •   Fuel and oil excise taxes
     •   Fuel and oil sales tax
     •   Distance taxes
     •   Weight-distance taxes
     •   Rental-car tax
     •   Transport business tax
     •   Tire taxes
     •   Tolls
                 Financing Highways

                    Indirect Taxes
Theoretic relationship between tax source and system use:
             •   Sales tax
             •   Property tax
             •   Income tax
             •   Business tax
             •   Impact & development fees
             •   Resource severance taxes
             •   Vehicle insurance surcharges
             •   Lodging tax
             •   Right-of-way use permits
Financing Highways




 Debt Financing
   • Bonds
   • Bank loans
    How do we currently
finance Nevada’s streets and
         highways?
     Highway Taxes in Nevada




         Primary Taxes by
Level of Government & Importance

          • Federal
          • State
          • Local
Highway Taxes in Nevada




          Federal

 •   Fuel tax
 •   Truck & trailer sales tax
 •   Heavy-vehicle use tax
 •   Tire tax
Highway Taxes in Nevada




           State

•   Fuel excise tax
•   Registration fees
•   Driver’s license fees
•   Oversize/overweight permits
Highway Taxes in Nevada



          Local

 •   Fuel excise tax
 •   Impact/development fees
 •   Vehicle property tax
 •   Room tax
 •   Jet fuel tax
 •   Sales tax
 Highway Taxes in Nevada




   Alternative Financing

• Tolls
  – Value pricing
• Government Loans/Guarantees
• Public/Private Partnerships
     Alternative Financing


                  Tolls
• Electronic
  – Transponders (e.g., EZ-Pass)
  – License-plate readers
• Value pricing
  – Rate varies with congestion
     • higher congestion = higher cost
  – High-occupancy-toll (HOT) lanes
     • carpools or other high-occupancy vehicles = free
     • single-occupancy vehicles = toll
              Alternative Financing


       Government Loans/Guarantees
Concept: spur investment by reducing risk; reduce interest
rate through government assurance.

         • Instruments
            – Secured loans
            – Loan guarantees
            – Lines or letters of credit
         • Full faith and credit transfer:
            – Federal to state
            – Federal & state to private sector
            – State to private sector
             Alternative Financing

        Public/Private Partnerships
Concept: spur private-sector investment in highways;
provide public with the best value, not the lowest bid.
     • Government loans
     • Government guarantees
        – Loan or investment payback
            • tolls
            • traditional sources (e.g., gas tax or federal-aid)
        – Return on investment
        – Level of service (operations and maintenance)
        – Real-estate options
     • No reasonable offer refused
    What Makes a Good Tax?




1. It’s paid by someone else.
2. It provides enormous utility
   for the guy who didn’t pay it.
     What Makes a Good Tax?


Criteria for Evaluating Taxes
      Typical Concerns

 •   Adequacy
 •   Administrative Efficiency
 •   Equity
 •   Economic Efficiency
 •   Evasion and Avoidance
 •   Feasibility
Questions/Discussion

				
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Description: Nevada Vehicle Sales Tax document sample