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Sep08
Do roads pay for themselves?
The Texas Department of Transportation publishes a regular e-newsletter, "Keep Texas Moving".
My attention has just been drawn to the issue for 20 November 2006, which carried an article entitled, "Do roads pay for themselves?".
It looked at the costs of a number of roads over a 40-year life. It also assessed "income" based on the gas (petrol) tax generated by each road - the vehicle miles travelled times the vehicle fuel consumption rate times the tax rate (both federal and state).
It concluded that, "there is not one road in Texas that pays for itself": for many, income was about half of costs but for some, it was significantly less. The 15-mile SR-99 in Houston, as an example, was going to cost $1bn to build and maintain: it would only generate $162m in fuel tax income over that period. The remainder would have to come from other sources.
Er - isn't that what's known as a subsidy?
The article is on TxDOT's website. www.keeptexasmoving.com
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