Texans Slated to Vote on Proposition 7, Which Provides $2.5 Billion for Roads

This story appears in the Nov. 2 print edition of Transport Topics.

A year after overwhelmingly voting for Proposition 1, which devotes about $1.2 billion to the state’s highway fund, Texans will consider another transportation initiative, Proposition 7, when they go the polls on Nov. 3.

Proposition 7 is a constitutional amendment that would dedicate $2.5 billion of Texas’ sales and use taxes and 35% of vehicle sales and rental taxes in excess of $5 billion to purchase right of way for and/or build, maintain and repair roads that are not tolled.

The diversion of general revenue would begin in 2017, with the rest to follow in 2019. The former provision expires at the end of fiscal year 2032 while the latter, which is expected to generate $432 million in its first year, expires at the end of fiscal 2029, according to Proposition 7.

Expanding Interstate 35 to eight lanes in the Waco area, constructing managed lanes on eastbound I-35 in Dallas County and adding capacity to San Antonio’s Loop 1604 are among the projects that would be funded if Proposition 7 passes.



In part, the proposition reads: “The proposed amendment would provide a consistent and reliable funding source for Texas highway-bridge construction and maintenance. Large transportation projects take many years to plan and build. The current practice of funding those projects using biennial appropriations can result in delays if an expected appropriation is not made or must be spent on debt service.”

Gov. Greg Abbott supports Proposition 7, which was approved by all but one of 181 members of the Texas Senate and House.

Robert Nichols, the legislation’s Senate sponsor, is a former Texas transportation commissioner. He and House sponsor Joe Pickett are the chairmen of the transportation committees in their respective chambers.

A study by the Texas Transportation Institute at Texas A&M University concluded that the state has to add $5 billion in highway construction funding each year to maintain traffic congestion at current levels.

“If Proposition 7 passes, I want to light a fire under the Department of Transportation to be ready to spend the money,” Pickett told Transport Topics. “There’s a lot of work to do.”

The Texas Trucking Association favors Proposition 7, which would represent the largest increase in transportation funding in state history.

“We’re kind of jazzed about Proposition 7,” said Texas Trucking Association President John Esparza. “We had significant success last year with Proposition 1. The people have spoken loud and clear that they want to focus on transportation. But we don’t want to send the message to the voters that we’re done. We’re just trying to catch up to our growth — that doesn’t mean that we’re set for the next 20 years.”

As Esparza noted, transportation funding in Texas has also been hit by the large drop in fuel prices.

“The comptroller just announced that the $1.2 billion we were expecting from oil and gas revenues in our rainy day fund is expected to only be $580,000,” Esparza said.

“The Texas Trucking Association’s main goal is prioritizing roads so that they meet freeway standards. If that happens, trucking will see the benefit,” he added.