Legislature Reaches Deal to Avoid $690 Million Hit to Transportation Funds

Without steps in place to stabilize transportation funding fluctuation, our transportation network could face a $690 million hit to funding, which impacts all 100 counties. The NC House and Senate reached an agreement today on Senate Bill 20 to maintain funding certainty and avoid this massive hit to our roads and bridges. Without this step, there would be too much pressure on our already strained transportation system, negatively impacting thousands of jobs, businesses and future growth.

The conference committee reached an agreement on Senate Bill 20 that stabilizes transportation funding fluctuation in order to meet existing transportation infrastructure needs. The legislation would cut the current gas tax to 36 cents per gallon and phases in a new formula by 2017 that is more stable and certain than what we have in place today. Between now and 2017, the gas tax would fall gradually to 34 cents per gallon. Now that an agreement has been reach in conference committee the House and Senate still need to give final approval to the measure for it to move to the governor. We applaud the leadership of the conference committee in addressing this urgent issue – one that impacts the safety and quality of life of all North Carolinians. We urge members of the House and Senate to concur with the conference report.

Beyond this first step, North Carolina needs greater confidence in an efficient process, and ultimately diverse and stable revenue sources to meet the state’s long-term transportation infrastructure demands. The NC Chamber continues to push for comprehensive, long-term solutions to meet the increasing transportation and infrastructure needs of the state, as well as resolving current funding challenges.

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