America’s transportation infrastructure is at a crossroads. All states face a shortfall between existing transportation revenues and projected needs, with the cumulative nationwide shortfall estimated at $1 trillion through 2015. Unless there are innovations and new money, roads, bridges and public transportation systems will continue to decline.
States are seeking both funding and finance options for transportation projects. Funding options include traditional revenues such as gas taxes and other taxes on motor fuels, motor vehicle fees and tolls, while less traditional approaches include per-mile charges and taxes on alternative fuels. States also are considering finance solutions that borrow against or otherwise leverage revenues, such as bonds, federal credit assistance, state infrastructure banks and public-private partnerships.