Transportation System Plan 2018-2038

Summary of Potential Transportation Revenue Sources Maintain Existing SDC Rate One revenue-generating option for the City Medford that would likely be im plem ented with relative ease would be to continue the existing SDC surcharge th at was im posed for bond repay ment after the current sunset dates of 2012 and 2014. By maintaining the ex isting rate structure, this revenue source could generate over $10 m illion between 2014 and 2023 putting the transportation capital improvem ent program slightly in the black for this tim e peri od (with a net balance in anticipated revenues over expenses of approxim ately $990,000). Increase SDC Rate Incrementally over Time Related to the above strategy , the SDC base rate coul d also be increased increm entally over tim e to raise additional revenue for transportation capacity improve ments. Based on analy sis provided by the City Public Works Departm ent, a 3 percent annual increase in the current SDC base rate would generate an additional $9.7 m illion over the 20-y ear planning period. Increase Street Utility Fee Rate Incrementally over Time Another option available to the City would be to increase the existing Street Utility Fee base rate to provide additional resources to m aintain the transpor tation system over the planning period. An increase of 3 percent per y ear is estim ated to raise appr oxim ately $14.8 m illion over the 20-y ear planning period according to analy sis conducted by the City ’s Public Works Departm ent. Grants The City has successfully pursued m any state and federal grant program s, including grants from the federal Congestion Mitigation and Air Quality (CMAQ) program ; Com munity Developm ent Block Grants (CDBG); state Transportation and Growth Ma nagem ent (TGM) grants; and state Highway Bridge Replacem ent and Rehabilitation (HBRR) grants. Add itional grant program s for which selected City projects would be eligible include Transportation Enhancem ent activities for pedestrians and bicy cle projects, historic preservation, landscaping and other scenic beautification, and environm ental m itigation as specified under TEA-21. These grants and other progr ams will likely continue to provide a substantial portion of the City ’s transportation revenue in com ing years. Additiona lly, with legislative negotiations currently underway to structure the next federal transportation funding authori zation legislation (the continuation of TEA-21) for adoption in 2004, the City should explore options for a legislative earm ark. Revenue Bonds Similar to the bond m easures adopted by the City Council for the 17-project list, additional revenue bonds could be sold and secured against future gas tax or other guaranteed transportati on revenue source. While revenue bonds provide an im mediate source of cash to use in constructing large projects, a disadvantage of this revenue source is its long term com mitment of funding from existing sources for repay ment. No new revenues are generated with this approach. General Obligation Bonds This type of bond m ust be approved by voters and is typically secured by property tax. Sim ilar to Washington County ’s Major Street Transportation Improvem ent Program (MTIP), general obligation bonds represent a new, and potentially significant re venue source, however, voters will need to be convinced that the im provem ents that would be funded by these bonds are in the best interest of local taxpay ers. Local Option Gas Tax If im plem ented, a local gas tax would be assessed at the pum p and added to existing state and federal gasoline taxes as a revenue source for transporta tion capital im provem ents. Currently the state administers local option gas tax assessm ents in the City of Woodburn, Multnom ah County and Medford Transportatio n System Plan 13-33 Plan Goals and Implementation