Lawmakers support bond sale for highways
By JOHN MILLER - Associated Press
Thursday, March 15, 2007 2:41 PM PDT
BOISE — Legislative budget writers have given their support to selling $246 million in bonds for the ‘‘Connecting Idaho’’ highway plan in the year starting July 1, with more than half to be spent on Interstate 84 near Boise, Nampa and Caldwell.
That prompted some to call the process political, benefiting mostly growing southwestern Idaho.
The plan, developed by legislative leaders and Gov. C.L. ‘‘Butch’’ Otter, beat two alternatives, one for $287 million, the other for $211 million. The vote Wednesday in the Joint Finance-Appropriations Committee was close, 11-9.
Former Gov. Dirk Kempthorne had proposed ‘‘Connecting Idaho’’ in 2005, calling for selling bonds to finance the state’s biggest-ever road construction project. Going into debt would let work begin quickly, he said, boosting jobs and avoiding escalating costs of asphalt, concrete and other highway-building materials.
Rep. Frank Henderson, R-Post Falls, spent six weeks working with House and Senate leaders, Otter and two private companies overseeing the project to come up with the list of funded projects for the coming fiscal year.
‘‘The dollar amount reflects the best estimate of persons I talked to, on what they thought could be accomplished next year,’’ Henderson said.
Lawmakers who approved the plan also appeared to be readying Idaho residents for a gas-tax increase, after Otter did the same in a meeting with reporters Tuesday.
The Idaho Transportation Department has suggested adding a 7 percent ‘‘highway preservation fuel tax,’’ among other things, to cover expected future funding shortfalls for road programs.
‘‘The need is there; the money is not,’’ said Rep. Shawn Keough, R-Sandpoint. ‘‘Whether we do (Connecting Idaho) or we don’t do (it), we’re looking at a gas tax increase of some sort.’’
Idaho’s current gasoline tax is 25 cents per gallon.
The bond sale, which comes atop $200 million sold a year ago, still must clear the full House and Senate.
The plan calls for spending $126 million on improvements to Interstate 84 between Caldwell and Meridian, including new lanes. That’s double the Transportation Department’s original request for the congested, potholed freeway. That project’s total funding estimate remains at $328 million through 2010, but the larger share for 2008 speeds it up.
There’s also $28 million for work on Interstate 84 in Boise, including a wall to contain traffic noise, and $17 million for a north-south connection between Interstate 84 and State Route 44 west of Boise. That’s up from the original $4.3 million recommendation.
Meanwhile, a northern Idaho project on U.S. Highway 95 in Kootenai and Bonner counties saw its proposed funding slip to $23 million, from the $77 million original request, as plans for an interchange were eliminated. Keough said the money could have gone to other needed work on U.S. 95, rather than being diverted toward Boise.
‘‘It clearly illustrates what will happen — and what will continue to happen — should the Legislature continue to involve itself in deciding what projects will move forward,’’ she said.
Others agreed.
‘‘Those with the power get those projects,’’ said Sen. Dean Cameron, R-Rupert. ‘‘Those without the power do not.’’
House leaders from southwestern Idaho who helped develop the plan said safety issues, not politics, were decisive.
‘‘It is based on needs,’’ said Majority Leader Mike Moyle, R-Star. ‘‘You’ve got to base it on traffic problems and safety. They zeroed the money in on where those projects are at.’’
Infighting over Connecting Idaho is an annual event.
Kempthorne’s original $1.6 billion plan was reduced to less than $1 billion, amid bonding constraints. And 13 original projects have been reduced to just six. Now, lawmakers complain that debt payments on last year’s bonds are eating into other Transportation Department projects. The agency’s budget slipped to $496 million this year, from $502 million.
‘‘That happened because of the debt payments on (Connecting Idaho),’’ said Sen. Dean Cameron, R-Rupert.
The project’s private managers, Washington Group International and CH2M Hill, also remained a topic of discussion.
In 2006, they won a $50 million management and engineering contract — but only after the original award was nullified for improprieties. Budget-panel lawmakers Wednesday remained watchful that the companies aren’t wasting taxpayer money.
The latest plan calls for state engineers to do as much of the work as possible.
Washington Group officials said they welcomed the scrutiny.
‘‘We’ve got no problems with sharing the terms of the contract,’’ said Dave Butzier, a Washington Group manager. ‘‘Everything was done above board.’’
