CITY v~ ~u~~NE <br />Eugene Street-Related Revenue FY 05-06 <br />L_] Lane County Funding <br />Locally-Raised Revenue <br />State Highway Fund Revenue <br />repairs are needed. Because of limited resourcc4, <br />streets that are designated improved are recciviiig <br />priority maintenance andunimproved streets ~mly <br />receive maintenance to mitigate hazardous <br />conditions. <br />Based on a 2005 analysis of Eugene's 1,1 O1 lane <br />miles of improved asphalt streets, 22 percent of <br />those streets need preservation. treatments such as <br />overlays, and 14 percent need to be reconsti acted. <br />Currently, the street preservation program <br />prioritizes street segments that need repair but not <br />total reconstruction. This type of project is <br />approximately four times less expensive than <br />reconstruction, so it is a more efficient use of <br />limited funds. <br />Eugene historically does not allocate general fund dollars for road fund-eligible street activities. <br />A one-time transfer of $1.5 million dollars was made for fiscal year 2006-07 to fund capital street <br />repairs. This transfer does not help fund a sustainable preventative maintenance program, <br />however. The financial strategies envisioned by city staff to deal with both operating and capital <br />transportation funding needs do not anticipate significant ongoing allocations from the general <br />fund, primarily because of the competition for general fund-dependent services such as police, <br />fire and library. State Highway Fund revenues are the primary source of funding for street- <br />related purposes in the city. <br />Eugene has implemented local funding options for transportation infrastructure in addition to <br />state revenues, miscellaneous fees, charges, and grants. In 2003, Eugene established a local <br />motor vehicle fuel tax. The tax rate started at 3-cents per gallon, and increased to 5-cents per <br />gallon in 2005. It currently generates about <br />$3.5 million annually and is collected under <br />an intergovernmental agreement with the <br />ODOT Fuels Tax Group. <br />The city adopted a reimbursement component <br />to the transportation SDC (40 percent of <br />transportation SDC revenues), which <br />currently generates about $800,000-$900,000 <br />per year dedicated to pavement preservation. <br />The local gas tax and transportation <br />reimbursementSDC are dedicated to the <br />pavement preservation capital program and <br />are not available for ongoing street operations <br />and maintenance activities. <br /> ~~ <br />1 <br />lN~ <br />? <br />a~ <br />~~~ <br />4~' <br />.~ <br />` W <br />t <br />i <br />, <br />ri <br />Y <br />~~, :Pr-tip tL.i[ww ar~dn~Sl~"l~ <br /> ~ ~ ~ ~, ~ ~~r,. <br />~~ ~ ~` <br /> ~ ~ ~ <br />~~ <br /> ~ <br />K <br />~ ~~ it f , afi~r? ~ <br />t <br /> ~ <br />l <br />` <br /> ~~ r <br />~ ~. ~ t <br />` <br />u~ ~ c N~I~ <br />~ <br />~ <br /> ~ ~ , <br />v x <br />x - << ~ ~J~ <br /> <br /> <br />>_, ~ ,: <br />~ ,,,, <br />, ~, <br />CITY OF EUGENE <br />Eugene has been less successful in establishing a transportation utility fee (locally referred to as a <br />transportation system maintenance fee or TSMF). The City Council approved a TSMF in <br />December 2002, but rescinded it before its implementation in response to public concern. There <br />have been ongoing discussions with the council about adopting a modified version of a TSMF. <br />Discussions are expected to continue in 2007. <br />Eugene is at risk of losing a significant source of road operating revenue -the "City-County <br />Road Partnership" payment from Lane County established in the late 1980s. At one time the <br />partnership payments contributed $2.5 million a year to Eugene's road fund. Most recently they <br />have been in the range of $1.2 million a year. However, these payments are expected to end this <br />fiscal year. <br />Public acceptance of alternative transportation funding methods has generally been positive. Due <br />to an extensive study of the issue by the citizen members of the budget committee in 2001 and <br />2002 and subsequent public information campaigns, the public is aware of and generally agrees <br />that there is a problem, particularly in pavement preservation. This perception was enhanced by <br />studies done by independent consultants. City staff are currently exploring additional revenue <br />options to address Eugene's growing backlog of pavement preservation projects. <br />Eugene strives to achieve the goal of a sustainable, preventive maintenance program which <br />address maintenance activities that maximize the useful life of streets, rather than a "worst first" <br />repair strategy. This goal cannot be achieved if the city is unable to proactively fund preservation <br />and reconstruction needs. <br />Eugene's Critical Street Project List: <br />1. W.18`" Avenue (3,155 linear ft.) -Chambers to City View: Condition -Pavement is in <br />poor condition and in need of reconstruction. Estimated Cost: $1,700,000. <br />2. W.18`" Avenue (1,867 linear ft.) - Willamette to Washington: Condition - Pavement is <br />in poor condition and in need of reconstruction. Estimated Cost: $900,000. <br />3. Hilyard Street (3,403 linear ft.) - E. 24`" to 30t": Condition - Pavement is in poor <br />condition and in need of reconstruction. Estimated Cost: $1,900,000. <br />4. Patterson Street (3,898 linear ft.) - E.13`" to 23'd: Condition - Pavement in poor <br />condition and in need of reconstruction. Estimated Cost: $1,700,000. <br />5. Willamette Street (7,704 linear ft.) - 29'" to 47`": Condition - Pavement in poor to <br />moderate condition, and in need of reconstruction with inlay. Estimated Cost: $2,000,000. <br />City Streets: Case Studies -Page 22 City Streets: Case Studies -Page 23 <br />