20020672 Ver 3_Attachment 22 - 09-20-14 Tata fleshes out McCrory proposal for $1B_20141124

Tata fleshes out McCrory proposal for $1B in NCtransportation bonds
By Bruce Siceloff
[e-mail] 20, 2014
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•What $1.49 billion might buy
These highway projects, mostly in rural areas, are on a draft list of NCDOT candidates to be
financed with borrowed money.
•N.C. 125, Martin County. $13.4 million.
•U.S. 158, Northampton County. $62 million.
•N.C. 43 connector, Craven County. $11.4 million.
•N.C. 24, Sampson and Duplin counties. $154.9 million.
•N.C. 42, Johnston County. $20.3 million.
•Booker Dairy Road, Johnston County. $9.4 million.
•Hunter Hill Road, Nash County. $7.8 million.
•U.S. 301, Nash County. $32.7 million.
•U.S. 401, Franklin and Wake counties. $65.6 million.
•Fayetteville Outer Loop, Cumberland and Robeson counties. $186.4 million.
•U.S. 311, Guilford County. $16.1 million.
•N.C. 119, Alamance County. $103.8 million.
•U.S. 220, Richmond County. $128.3 million.
•Winston-Salem loop, Forsyth County. $266.5 million.
•Derita Road, Cabarrus County. $12.4 million.
•U.S. 221, Ashe County. $76.1 million.
•U.S. 74 Shelby Bypass, Cleveland County. $179.7 million.
•N.C. 16, Catawba County. $55.5 million.
•N.C. 273, Gaston County. $21 million.
•U.S. 221, McDowell County. $42.2 million.
•N.C. 107, Jackson County. $19.7 million.
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Attachment 22
RALEIGH — Gov. Pat McCrory’s proposal to borrow more than $1 billion for transportation improvements
is focused on getting money for mostly rural projects that would be ready to start construction within the
next year or two, Transportation Secretary Tony Tata says.
Meanwhile, state Treasurer Janet Cowell says North Carolina can afford to borrow up to $1.2 billion for
transportation infrastructure investments.
Tata issued a statement Friday to flesh out details of a revenue bond issue McCrory proposed during
local news conferences in four cities Wednesday. The bonds were mentioned in McCrory’s discussion of
his long-range priorities for transportation investments.
“A key element of the governor’s 25-year vision is recognition that transportation systems can stimulate
the economy by building infrastructure to attract business and create or provide access to jobs,” Tata said
in a statement released to The News & Observer. “Accordingly, we are looking at projects that will help
connect rural areas to jobs, healthcare, and education centers. A transportation bond will help us address
critical needs with our limited funds, especially in rural areas.”
DOT compiled a draft list of 21 projects, worth a combined $1.49 billion, identified as potential candidates
for bond money – “including more projects than we could fund,” Tata said.
The state might borrow a little more than $1 billion to pay for some of the projects, and several projects
might ultimately be funded instead through the state’s Strategic Transportation Investments program, he
said.
The list includes mostly rural projects, along with urban loops in Fayetteville ($186.4 million) and Winston-
Salem ($266.5 million). Tata said the two loops and a U.S. 74 Shelby bypass ($179.7 million) probably
will be partially funded through the Strategic Transportation Investments program, and the bond money
would be used to complete them.
Cowell agreed that the state needs to address its transportation infrastructure needs. She chairs the
state’s Debt Affordability Advisory Committee, which concluded in its 2014 report that North Carolina has
more than $1.2 billion in debt capacity for transportation projects through 2017.
“There are various options available to finance infrastructure projects; however, we must choose a fiscally
sound approach that does not endanger the state’s AAA bond rating,” Cowell said Thursday in a news
release. “I look forward to getting more details on this proposal.”
Siceloff: 919-829-4527 or newsobserver.com/roadworrierblog Twitter: @Road_Worrier
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