Last night, the Joint Committee on Finance approved a motion that increases transportation resources over the biennium by about a billion dollars. This investment is accomplished with increased federal dollars from the Infrastructure Investment and Jobs Act, some new, ongoing revenue to bolster the transportation fund, and more than $550 million in one-time general purpose revenue.

Revenue

• Maintain the existing .25% transfer of general fund taxes – $11.6 million over the base level transfer.
• Create a new, ongoing electric vehicle (EV) sales tax transfer from the general fund – $94.4 million over the biennium.
• Provide $555.5 million in one-time general purpose revenue (GPR) support in fiscal year (FY) 2024.
• Increase the current vehicle registration surcharge for EVs from $100 to $175 – $3.3 million.

The motion also moves Mass Transit Operating Assistance from the transportation fund to the general fund, freeing up $226 million in SEG transportation revenue over the biennium and establishing base funding in the general fund.

Bonding

This budget continues the recent trend of historically low bonding levels.

State Highways

The increase in highway program funding is driven by the I-94 East-West project in Milwaukee and the need to replace the Blatnik Bridge, connecting Superior, Wisconsin, and Duluth, Minnesota. 

The funding for the Southeast Wisconsin Freeway Megaprojects is consistent with the amount provided by the governor and is sufficient to keep the I-94 East-West project moving forward.

The $400 million in the Major Interstate Bridge Program is a significant down payment on Wisconsin’s share of the $1.8 billion replacement of the Blatnik Bridge, a joint project with Minnesota. Wisconsin and Minnesota hope to receive an almost $900 million Large Bridge Project grant, part of the Infrastructure Investment and Jobs Act’s competitive Bridge Investment Program. Wisconsin’s level of commitment in the 2023-25 budget may increase the likelihood of a federal grant.

(1)   Includes federal plans adopted after enacting the 2021-23 budget.

(2)   Includes $7 million SEG in 2023-25 for sound barriers along I-894 between Loomis Road and 76^th Street in Greenfield.

(3)   $20.0 million in transportation fund-supported, general obligation bonding for design-build projects.

(4)   Includes $352.8 million in transportation fund-supported general obligation bonding authority for the Blatnik Bridge, comprising the total amount of program bonding in the 2023-25 JFC transportation budget motion.

Highway Maintenance

• Highway System Maintenance and Operations: $7.9 million FED/SEG.
• Routine Maintenance Activities: $5.7 million SEG.

Local Aids

• General Transportation Aids: 2% increase each calendar year – $31.4 million SEG.
• Local Road Improvement Program (LRIP): one-time SEG funding of $100 million for LRIP supplemental. Increase LRIP formula and discretionary components $4.0 million SEG, representing a 4% yearly increase.
• Local Road Improvement Program – Agricultural Roads (ARIP): $150 million SEG in FY 24.
• County Highway O, Richland County - $4.2 million SEG to the Local Road Improvement Program discretionary grant component for County Highway O.
• Local Bridge Assistance Program: $45 million annually, $35 million FED and $10 million SEG.
• Southern Bridge, Brown County: $50 million SEG to the accelerated local bridge improvement assistance program in FY 24 for the bridge.
• Main Street Bridge, Watertown: $2 million SEG to the Local Bridge Assistance Program for the reconstruction of the Main Street bridge.
• Ray Nitschke Memorial Bridge, Brown County: $1.2 million SEG to the Local Bridge Assistance Program for repairs to the bridge.
• Assessment of Local Bridges and Culverts: $12.5 million SEG with DOT developing a program for counties to assess local bridges and culverts under 20 feet in length.
• Mass Transit Operating Assistance: 2% upper in calendar year 2024 – $2.8 million GPR.
• Connecting Highway Aids: 25% increase in the calendar year 2024 distribution and thereafter – $7.5 million SEG.
• Seniors and Individuals with Disabilities Specialized Assistance: Increase of 111,500 SEG for an 11.6% increase in funding in the first year of the biennium.
• Paratransit Aids: 4% increase each year of the biennium - $386,700 SEG.

Rail, Harbors, Airports

• Freight Rail Preservation Program: $13 million SEG.
• Harbor Assistance Program: $20 million SEG. Also, $10 million in SEG for a fuel pipeline extension from Milwaukee Mitchell International Airport to the Port of Milwaukee.
• Passenger Rail Operations Assistance: $971,200 SEG in additional funds over the biennium.
• Airport Improvement Program: $39 million annually in increased federal funding from the federal infrastructure law, plus $7 million SEG in FY 24 for the Appleton International Airport for improvements as part of the airport’s terminal expansion project.

Other

• Pay increase for WisDOT Engineers: 10% increase, $5.4 million FED/SEG.
• Utility Relocation Delay Positions: 4 positions to resolve utility relocation delay claims, $829,700 SEG.