Although highly labor-intensive, an effort will be made to slog-through the two-dozen pages of hyperlinks accrued during the past

48-hours by dealing with generic topics that require clarification. Everything will be conveyed in a fair/balanced fashion, so that policy-clarity will emerge thereafter. The starting-point is the Transportation-Tax, an issue that has been discussed directly with Rep. Vereb and which is the subject of a letter from Sen. Greenleaf (forwarded to me). In a prior blast, I noted that many of the projects in Sen. Greenleafs district didnt seem to be distressed [as per a document that I will forward to those who know the region and would aspire to confirm/counter my conclusion], but Rep. Vereb noted the bridges and intersections in his district required urgent attention. Ultimately, the key-question will be whether this indirect tax-hike [via the petroleum industry] will be perceived as a gigantic user-fee [notwithstanding concomitant SEPTA-funding], or whether it will be viewed as pork; furthermore, if some could be deferred as non-urgent, one must weigh the possibility that infrastructure could be incrementally improved annually via the established budgetary-process. This latter review would entail applying standards [that, reportedly, are a bit more lax than are those in other states] while assessing each putative project as to its impact on public safety [particularly for repaving needs]. To allow the reader to draw independent conclusions, note the arguments in this constituent-letter: Thank you for contacting my office to voice your concern and opposition with a transportation funding proposal that would increase the gas tax. While I appreciate and understand the concern with any increase in the gas tax, I voted in favor of the measure (House Bill 1060) because it will benefit the safety of Pennsylvania residents as well as generate economic development. In terms of public safety, Pennsylvania has more structurally deficient bridges 6,500 than any other state in the nation, and 36 percent of our major roadways are in poor or mediocre condition. In August, due to safety concerns, PennDOT weight restricted 1,000 bridges, in addition to the 2,200 plus that were already restricted. By 2017, it is estimated that 17,000 miles of state-owned roads will be in poor condition without additional financial investment. Although I realize revenue enhancing legislation is not popular, the reality is that Pennsylvanians are paying more every day because of the state of our roads and bridges. The recent nonpartisan TRIP Report indicates that Pennsylvania residents pay in excess of $9 billion annually due to vehicle wear and tear resulting from roads in poor condition, vehicle crashes, and fuel expenses arising from congestion. HB 1060, which both the Senate and House approved and Governor Corbett signed into law, would raise between $2.3 billion and $2.4 billion per year by Fiscal Year 2017-2018. Of that amount, $1.8 billion would be earmarked for highway and bridges, $497 million for public transit and $144 million for multimodal transportation (i.e., airports, rail lines, ports,). The passage of this comprehensive transportation funding package will create more than 50,000 new jobs for our citizens and their families. In addition, the state will save 12,000 private sector jobs that would have been lost without this new investment in transportation. Also, our urban and suburban centers will see congestion relief, critical to job creation and retention. The funding for public transportation is vital because countless businesses rely on our transit agencies to move their employees to and from work. Without this funding SEPTA would have shut down several regional rail

lines. In addition, the measure will provide funding for rail, aviation and ports which are important for fostering economic growth in the Commonwealth. As a result of this funding plan, a number of road and bridge projects (i.e., resurfacing, widening, bridge replacement) can be accomplished in the 12th Senatorial District. The attached is a list of projects from PennDOT which they indicated could be completed due to the transportation funding measure. Some projects listed in the first period (1st four years of the 12 year transportation plan) may be in a position for construction immediately while others may need to go through the design process prior to construction. Projects in the second (2) or third (3) period will also be on the list for future funding. For years, transportation projects in Pennsylvania have been supported by an outdated funding structure, prompting a serious shortfall in the systems ability to maintain safe and reliable roads and bridges. Rather than allow revenues to self-adjust with inflation to keep up with costs, decisions were made decades ago to impose artificial caps on gas taxes paid by oil companies and vehicle registrations fees. The result is the system we have today. As part of this legislation, the state will gradually remove the existing artificial cap on the Oil Company Franchise Tax (OCFT), which has allowed oil companies to pay taxes based on the wholesale price of fuel since 1983. However, the 12 cent per gallon flat tax paid by consumers at the pump will immediately be moved from the retail level to the wholesale level and will be paid by oil companies. This is a fair and reasonable way for the state to tax the oil company. It is hard to predict how this change of a wholesale tax would affect the price of gas at the pump. We are not sure how much of this tax will be passed along to the consumers by the oil companies but I assume some of it will be. The measure would also bring user-fees forward by the rate of inflation and indexed going forward so as to avoid a repeat of the current situation we face. Most of the user fees have not changed since 1997 and some not since 1977. Passenger vehicle fees (i.e., drivers licenses, registration) will not increase until 2015 and in small increments thereafter. For example, a passenger vehicle registration will increase from $36 to $37 in 2015 and from $37 to $38 in 2017. The department is also looking to achieve an estimated $1 billion in savings over 10 years through reduction in duplicative services and efficiencies in the delivery of services. Furthermore, the legislation eventually eliminates the $450 million annual payment from the Turnpike Commission to PennDOT in order to decrease the Turnpikes overall debt load and to hold down future toll increases. I believe this comprehensive funding proposal represents a responsible approach to funding transportation while ensuring the publics safety and economic development.

In counterdistinction, this squib captures Guzzardis concern:

Using the claim that Pennsylvanias roads and bridges are crumbli ng, The House passed a $2.3 billion transportation funding bill, with tax increase, on Tuesday, 104 to 95. The bill will go to the Senate. The Senate passed SB1, which is a nearly identical bill to the House bill, 45 to 5, in June 2013. Republican Governor and the Republican General Assembly leadership, Speaker Sam Smith and Majority Leader Turzai, have united with Governor Corbetts predecessor, Philadelphia Democrat Ed Rendell and with Philadelphia Building Trades Union president Pat Gillespie. Bipartisanship, another name for one party state.

The Forgotten Taxpayer is crushed with this last straw.