FUNDING OPTIONS FOR MEETING TRANSPORTATION INFRASTRUCTURE NEEDS IN THE STATE OF SOUTH CAROLINA. TRANSPORTATION FUNDING SERIES SPECIAL REPORT NO. 3, TRANSPORTATION FUNDING OPTIONS FOR THE STATE OF SOUTH CAROLINA: 2003-2022

This report is the third and final report in a series addressing transportation funding in the state of South Carolina. This final report examines current and alternative funding options and the potential of these options to meet projected transportation infrastructure needs. Current and alternative funding options are considered in terms of efficiency, equity, accountability, and stability criteria. To address the potential of current and supplemental funding options to meet future needs, a series of six scenarios were evaluated to determine the potential of meeting the $56.9 billion target of the South Carolina Multimodal Transportation Plan over the period from 2003 to 2022. The baseline scenario based on current funding sources at current rates projects a revenue stream of $26.3 billion over 20 years, leaving a $30.6 billion shortfall. Alternatives considered include two increased federal funding scenarios, supplemental funding sources, and initial rate increases in state fuel taxes and vehicle registration fees combined with inflation indexing. With all of those options included, revenue streams meet or exceed projected needs. Yet removal of supplemental sources from the revenue mix reestablishes a budget gap of $12.7 billion to $17.1 billion over 20 years, even with increases in current state and federal sources and indexing. Based on this assessment, it is clear that the state must expand and diversify its funding base for transportation infrastructure. The approach must be strategic in terms of multimodal expenditure commitments. Higher fuel taxes with indexing are recommended although supplemental funding sources are also necessary. In the long term, alternatives to the fuel tax are required, while in the short term, the incorporation of value pricing and more local government participation should be pursued.

• Corporate Authors:

  Clemson University

  Institute of Government and Public Affairs, Silas Pearman Boulevard
  Clemson, SC  United States  29634-0125

  South Carolina Department of Transportation

  Silas N. Pearman Building, 955 Park Street
  Columbia, SC  United States  29202

  Federal Highway Administration

  1200 New Jersey Avenue, SE
  Washington, DC  United States  20590
• Authors:
  • London, J B
  • Saltzman, E W
  • Skinner, J C
  • Gunaydin, H G
• Publication Date: 2003-10

Language

• English

Media Info

• Features: Appendices; Figures; References; Tables;
• Pagination: 84 p.

Subject/Index Terms

• TRT Terms: Alternatives analysis; Federal aid; Financing; Fuel taxes; Future; Inflation; Infrastructure; Long range planning; Needs assessment; Registration fees; Revenues; Short range planning; State aid; Strategic planning; Transportation
• Uncontrolled Terms: Supplemental funding sources
• Geographic Terms: South Carolina
• Subject Areas: Finance; Transportation (General); I10: Economics and Administration;

Filing Info

• Accession Number: 00974825
• Record Type: Publication
• Report/Paper Numbers: FHWA-SC-03-05,, Final Report
• Contract Numbers: SPR 622
• Files: TRIS, USDOT, STATEDOT
• Created Date: Jun 7 2004 12:00AM