Skip to main content

US state of Ohio investigates road fund alternatives

The authorities in the US state of Ohio continue to investigate new methods of generating revenue for highway investment. The state is facing a funding shortfall of up to US$1.6 billion on its highway maintenance and expansion plans to meet traffic volume needs. As a result, the Ohio Department of Transportation (ODOT) is moving forward with a plan to explore the commercial development of certain state-owned rest areas. The state is pursuing the conversion to service plazas of five of the state’s 59 non-int
June 15, 2012 Read time: 2 mins
The authorities in the US state of Ohio continue to investigate new methods of generating revenue for highway investment. The state is facing a funding shortfall of up to US$1.6 billion on its highway maintenance and expansion plans to meet traffic volume needs. As a result, the Ohio Department of Transportation (ODOT) is moving forward with a plan to explore the commercial development of certain state-owned rest areas. The state is pursuing the conversion to service plazas of five of the state’s 59 non-interstate rest areas. “Rest areas are expensive to operate and maintain, and in some cases, they have become safety hazards to motorists travelling in our state,” said ODOT director Jerry Wray. “If we can generate enough money to offset the costs and improve safety, Ohioans will be better off. Plus, generating much-needed new money will allow us to get shovels in the ground and begin construction much sooner on some of the major transportation projects that will help drive our state’s economy into the future.”

Currently, ODOT spends almost $50 million/year to maintain all 104 rest areas in Ohio. Rest area maintenance costs include paying utility bills, as well as resurfacing parking lots, improving buildings and paying for general services. In January, ODOT announced its $1.6 billion budget hole that forced the department to push back by decades some of the state’s largest construction projects. Since then, the agency has initiated a complete review of all current and future transportation projects to identify those that could be candidates for public-private partnerships. It has also sought to identify additional resources to aid in the funding of major transportation projects throughout the state.

Related Content

  • New US toll road regulation criticised
    April 10, 2012
    High road toll increases bring threat of new regulation in US - *Bob Poole reports. Large toll rate increases have been implemented recently by the Port Authority of New York and New Jersey, justified in part to help pay for its World Trade Center project. In response, a bill was introduced in Congress that would allow the Secretary of Transportation to regulate tolls on every bridge on the country's Interstates and other federally aided highways.
  • Solar lighting for US highway
    August 24, 2012
    One year after breaking ground, the largest solar highway project in the US — a partnership between Portland General Electric and the Oregon Department of Transportation — is now open to visitors stopping to take a break from their travels along Interstate 5 in Oregon. Growing clean, renewable energy amongst farm fields of corn and cabbage, the Baldock Solar Station
  • Kenya develops annuity road funding model
    May 8, 2015
    Kenya is introducing novel methods for funding its necessary road infrastructure development - Shem Oirere writes. Kenya has unveiled a new financing model for road construction and reviewed its design standards and construction methodologies, which forms part of a new strategy for the East African country. Under this new plan Kenya is planning to upgrade 10,000km of road, with these links featuring asphalt surfacing; the work being carried out over the next five years at a cost of US$2.8 billion. Despite t
  • US Senate approves federal highway programme
    June 24, 2014
    In the US, the Senate Environment & Public Works Committee has made a key move by approving a six-year reauthorisation of the federal highway programme. This is a landmark political step and is likely to have been the subject of much cross-party negotiation. The move will be of major importance for the transportation construction industry, which has suffered badly from low levels of business in recent years. This six-year package will provide a major stimulus to business for contractors and equipment firms