Vote NO on Prop 12, highway bond issue

Should we give TxDOT $5 billion in bond money to build roads? Proposition 12 says: "The constitutional amendment providing for the issuance of general obligation bonds by the Texas Transportation Commission in an amount not to exceed $5 billion to provide funding for highway improvement projects."

Surely we do need roads and they do need funding. This authorizes but doesn't appropriate the money for projects, which would have to still be arrpoved by the legislature. Still, there are several reasons that suggest we ought to vote NO on this proposition.

The principle reason is that this bond issue doesn't fix the main problem with road construction financing and only makes the situation worse through general obligation debt-financing. This bond issue begs the question of why transportation funding is coming from general funds and not directed gas tax. Senator Wentworth and others in the last session identified diversion from gas tax to other purposes as one of the reasons we were moving in the direction of toll roads. Consider this FAQ from CTRMA on gas tax:

Texas is a "donor state" that gets less in funding than it pays in federal gas taxes. The state also does not use all its gas tax revenue directly on road projects.

In effect, we are being told that since our gax tax revenues were moved to other states and not available for our use, we've got to have toll roads. Does that make sense? About as much sense as Texas declared a huge surplus and then turning around and asking for adding a lot more debt.

Texas gets back less than 80 cents on the dollar of Federal gas tax money (combining transit and highway money), and TxDOT says that:

"For highways and transit programs combined, SAFETEA-LU shifts an estimated $13.3 billion in Highway Trust Fund dollars attributable to Texas away from the state’s mobility needs."

Texas collected $3.5 billion at the state level from gas taxes, but one-third of the amount is diverted for social programs:

More than one-third of the money Texas motorists pay in driving taxes and fees is diverted into spending on projects that do not contribute to the upkeep and expansion of the road network. Texans pay $3.5 billion into the fund annually through the gas tax and various vehicle licensing fees that apply only to drivers. Of this amount, nearly $1.5 billion is spent on items more properly funded with general revenue, including $725 million on public education and $765 million on social welfare programs including tourism and medical care.

Yett attempts to address this diversion failed and it is getting worse: " Then, after the session, news trickled out that lawmakers filched another $243 million from the State Highway Fund to plug budget holes, despite bold talk about stemming such bleeding of the fund and a $14 billion state surplus to play with."

A chart on the diversion of highway funds:

A no vote would be difficult for TxDOT's immediate construction funding, but would send a message to TxDOT and our elected officials to quit trying to make things right with multiple wrongs and instead address the issue of road financing the right way: Be more frugal and wise about utilizing the gax tax revenues in road building and mainenance; get our share of the Federal highway trust fund back to Texas; make sure that Texas gas taxes are used for the purpose they are collected for - Texas road transit needs; stop reaching into other pockets (whether it is toll booths or general funds) because you have a hole in the one where you keep your money. Fix the hole, use the gas tax, and stay out of debt!

More on other propositions.