At the September State Transportation Commission meeting, MDOT leadership announced they would invest $1.38 billion in their 2011 Highway Program. This investment level represents roughly a continuation of the $1.44 billion 2010 Highway Program that was supplemented with $148 million in American Recovery and Reinvestment Act (ARRA) funds. In breaking down this $1.38 billion investment, MDOT is currently projecting that approximately $780 million in road and bridge projects will be let in fiscal year 2011. MDOT anticipates $278 million will be used to fund routine maintenance (snow plowing, mowing, etc.) performed by the Department, with the balance of the investment going to fund early preliminary engineering (project scoping), preliminary engineering (design), construction engineering, right-of-way acquisition, and other miscellaneous non-discretionary programs.
Consistent with the direction established by the State Transportation Commission previously, MDOT’s 2011 investment strategy will focus on preservation of existing assets with a focus on safety and mobility.
In discussing future year program funding levels, MDOT leadership continues to talk about significant annual shortages of $500-$600 million that would be necessary just to maintain the trunkline roads and bridges in their current condition. MDOT is conservatively projecting an annual state revenue shortfall of $120-$160 million beginning with the budget debate in the spring of 2011 that will put millions of dollars of federal aid for Michigan roads and bridges at risk.
MITA continues its aggressive push for increasing state transportation funding. To help head off this dreadful funding scenario that will face our state and our industry as soon as next spring, we encourage all members to get involved by participating in MITA’s November 30th “Lobby Day.”
If you have any questions please feel free to contact Glenn Bukoski at glennbukoski@mi-ita.com or by phone at (517) 347-8336.
