Financing Urban Transportation

It is noted that innovative financing approaches are essential if further deterioration of the transit infrastructure is to be halted. The National Council on Public Works Improvement endorsed the principle that users should pay a greater share of the cost of infrastructure service. Significant elements of these systems serve identifiable customers; use can be measured and priced to support the system. It also recommended that federal user fees be used to maintain threshold service levels and to gurantee a minimum level of service where users cannot afford maintenance costs. A critical component of the user fee principle is the spending of trust funds earmarked for specific infrastructure purposes. The new suburb-to-suburb commuting patterns will require new solutions. Major financial problems faced by urban transportation are noted. The federal government must remain a reliable partner in ongoing infrastructure investment. However, a larger role for state and local governments is essential for effective management of all types of infrastructure projects.