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Navigating the Debate: Understanding I-77 HOT Lanes Controversy

Delve into the history and implications of I-77 HOT lanes, revealing financing details, taxpayer contributions, and community responses. Learn about the pushback and efforts to address the tolling issue. Discover the impact on commuters and the economy.

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Navigating the Debate: Understanding I-77 HOT Lanes Controversy

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  1. HOT Lanes on I-77 How did we get here and what do we do? October 30, 2014

  2. The Problem Congested stretch of four lane road from mm21 to exit 36… with “no money” to widen it

  3. A Solution • Add a general purpose lane in both directions • 13 miles • $80- 130M (est) Source: “I-77 Feasibility Study,” December 7, 2009

  4. The Current Plan • Privately Operated Toll Lanes • 27.5 Miles • $655 M • 50 year contract • Cintra, a Spanish company Source: NCDOT Press Release, April 11, 2014

  5. Taxpayer Contribution • Taxpayer Up-front Payment $88M • For private tolling lanes • Taxpayer Subsidy $75M • To cover potential revenue shortfalls • Taxpayer Liability $215M • Government-backed bonds • 26.5 miles of public right-of-way • Leased exclusively at no cost to private company for 50 years Source: I-77 JLTCO Report, 4-25-14, WI77 analysis

  6. Example: Toll Lane Flyover Source: NCDOT

  7. The Cost Of Toll Lanes A bloated non-solution that siphons millions from our economy for generations Source: I-77 JLTCO Report, 4-25-14, WI77 analysis

  8. How Did We Get Here? • State Level • Regional Level • Local Level

  9. How Did We Get Here? “We have $70 billion in identified and ranked transportation projects with only $11 billion to pay the bill.”

  10. Some NC Transportation “Needs” • $6.4 Billion for toll roads • 9 out of 10 most expensive projects are tolled • $4.6 billion “cost to NCDOT” • $717 million for new 4-lane • From Lenoir (pop 19,000) to Tarleton (pop 11,000) • $306 million to widen NC-33 • From Grimesland (pop 400) to Aurora (pop 500) • $600 Million for Urban Loops • Wilkesboro, Red Springs, Lillington et al With these “needs”, no wonder NCGA really wants to build tolls… Source: NCDOT 9-24-14 Priority 3.0 Final Scores

  11. North Carolina’s First Toll Road Triangle Expressway Financial Results Operating Exp: $21M Revenues: $24M Debt Service: ~$50M $47M Annual Shortfall Who pays the difference? Source: NCTA Annual Report, WI77 analysis

  12. How Did We Get Here? • State Level  Supports tolling • Regional Level • Local Level

  13. How Did We Get Here: Part 2 • $158 Million bonus for building tolls (HB-817) • Allocated by CRTPO (formerly MUMPO) • Initially ranked widening I-77 w/ general lanes as #92 • Voted unanimously for toll lanes

  14. Bonus Allocation Source: Transportation Funding Update, Huntersville Town Board, Oct 20, 2014

  15. Bonus Allocation Bonus money ensures regional support for tolls… Source: Ibid.

  16. How Did We Get Here? • State Level  Supports tolling • Regional Level  Supports tolling • Local Level

  17. Local Efforts • June 21: • A majority of LKN commisioners request Governor to delay contract signing • June 26: • NCDOT:“No foundation for delay” • Sign contract Local voices ignored…

  18. How Did We Get Here? • State Level  Supports tolling • Regional Level  Supports tolling • Local Level  Ignored by NCDOT It’s up to us…

  19. Widen I-77’s Efforts • 20+ presentations • Exposure on virtually every local media outlet • National exposure • Washington Times • Wall Street Journal • ABC News • Public engagement • ~5,000 petition signatures • ~1,000 cards to the governor • 4,000+ FB “likes” • Blog hits ~ 100K+

  20. Widen I-77’s Efforts (Con’t) • Retained Legal Counsel • Determine most viable strategies for legal action

  21. Next Steps • File injunction* • Bring suit* • Re-rank GP project *as funding allows

  22. About Widen I-77 • A 501(c) (3) organization • Donations are tax deductible • Subject to IRS reporting and auditing It’s up to us…

  23. Thank YouWidenI77PO Box 792Cornelius, NC 28031wideni77@hotmail.comwideni77.org Your donations are tax-deductible. Fifty years of tolls aren’t.

  24. Appendix

  25. Typical Access Point Source: Executed Comprehensive Agreement

  26. A New Funding Paradigm: STI • Passed last summer • HB 817 • Replaces Equity Formula • Favored rural over urban areas • More data-driven • Supposed to remove pork politicking

  27. Highest scoring funded project 73 “Statewide” funded projects  I77 General Purpose Lane Project Projects to be funded Projects unfunded I77 scores higher than 33 funded projects I-77 GP project through Lake Norman Lowest scoring funded project 377 Unfunded Projects A General Purpose Lane Project Would Likely Be Funded…

  28. The Bad News: STI Corridor Cap • A maximum of 10% of projected funding in the “statewide” category • A “corridor” is defined as “any contiguous projects or group of projects” • Since I-77 South (i.e. Charlotte) scores higher it would use all corridor cap money • NCDOT says corridor cap applies... we disagree, but…

  29. The Good News… • Corridor cap only applies to STATEWIDE Category • I-77 LKN could still be funded under Regional and Division categories • 60% of total fundng • ~$9B dollars • I-77 general use project eligible to be ranked as early as July 2014! Six Month Wait vs 50 Years of Tolls

  30. NCDOT STI Scores for I-77 Project How Does This Rank Against Other Statewide Projects?

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