Log in to WRAL.com with one click using your favorite social network:
OR
Log in using your WRAL.com account:



Wrong email/password combination.

Forgot password?

Register with WRAL.com using your favorite social network:
OR
Register for a WRAL.com account using our web form.

Login Options

2:53 a.m. • 2-11-12

Weather Forecast for Raleigh

  • Today: Mostly Cloudy.
    • Hi: 52° F
  • Sun: Clear.
    • Hi: 43° F
  • Mon: Mostly Cloudy.
    • Hi: 50° F

Other Locations

> 7 Day Forecast

Doppler Image

Marketplace Links

Social Links

Main Menu

DOT reports loss in tax revenue


e-mail print friendly
Triangle Road Construction
Triangle Road Construction

High gasoline prices and a decrease in car sales are the reasons revenues from the state's gasoline tax and highway usage tax are down a combined total of $66 million from a year ago, the state Department of Transportation reported Wednesday.

Funding from the gas tax revenues is down 1.5 percent, about $24 million; funding from the highway usage tax, which comes from vehicle sales, is down 7 percent, or $42 million, the DOT's chief financial officer, Mark Foster, said.

"This is the first time in several years that our state revenues have not exceeded the prior year," Foster said.

Because both taxes are major sources of revenue for road maintenance and new construction projects, Foster said prioritizing projects is critical.

For example, thousands of the state's bridges have already exceeded their expected lifespan.

"Our average bridge costs $2 million; $60 million is 30 replacement bridges," he said. "That's significant to the state."

The DOT's budget is also taking a hit from inflation, also because of gasoline prices. In the past year, the department has spent 20 percent more on gas, nearly $25 million than the previous year. And that figure is expected to be higher this year.

Construction costs, primarily for asphalt, concrete and steel, is also up 80 percent over the past five years.

"I think the message to drivers and citizens is we will continue to look out for your scarce dollars, but we may be asking for more dollars in the future to make sure your safety is not affected," Foster said.

e-mail print friendly

68 Comments


WRAL.com welcomes your comments on this story. All comments are moderated prior to publication based on our posting guidelines. Please review them prior to posting and if your message is not approved.

View Comments VIEW ALL 68 COMMENTS

This story is closed for comments. Comments on WRAL.com news stories are accepted and moderated between the hours of 8 a.m. and 8 p.m. Monday through Friday.

Latest Comments
DOT needs to start mowing the grass on the side of the highway/road and not depend on contractors. It blurs ones vision when we are trying to see around the bend.

"DOT needs to use Jetta Diesels. 42/51MPG. 600-800 miles per fill up on 14 gallons. Of course if they mandated anyone who use a government car drive a MANUAL TRANSMISSION that alone would help too."

---

I don't know that insisting on manual transmissions would lead to much saving at all. In my experience, automatic transmissions are much more reliable due to a lot less moving parts in the system (no clutch pedal/cables to break and a lot less opportunity to do something stupid to the transmission).

You know, we could start a real firestorm here and suggest cutting teacher pay to pay for roads. Haha. Anyway, this is a great story because it proves without a doubt two points. The first is government will never do with less. You better hope people keep smoking and drinking or it's going to get real ugly. The second is that this holier than thou attitude some have towards forcing everyone to "conserve" is just wrong. We've already seen it with water and now oil. I don't see this in the story but a good follow up would be for an enterprising reporting to track the funds that are supposed to be strictly highway funds and see where they go. Are they actually going for roads or are they diverted to "free at three" "more at four" or medicaid? Maybe it's time for the governor to go to Europe and do some factfinding on roads.

How about reducing the manpower from 8 to 5 when a pothole is required to be filled. That should help reduce costs. It always appears that 1-2 workers are filling in the hole...while 4-5 are watching.

I think I've located the hole in the Dot ship it was caused by the governor it's called not caring about the budget, overspending

View Comments VIEW ALL 68 COMMENTS
Report It

Multimedia

Click Here