TAB Urges Rejection of
Moratorium on New Roads

State's Leading Business Group Says Transportation Tools Needed to 'Catch Up' and Prepare for Population, Job Growth

April 26, 2007

Cathy DeWitt

AUSTIN—The Texas Association of Business (TAB) today urged lawmakers to reject legislation that would place a moratorium on public-private tollways, saying Texas should improve and expand not limit the types of tools it uses to fund and improve the state’s transportation infrastructure.

“When it comes to state transportation policy our message is, ‘Keep the dirt flying,’” said TAB President Bill Hammond, referring to state transportation law that has enabled Texas to enter into public-private partnerships for needed tollway projects.  “Outlawing billions of dollars in private road investment without increasing other funding sources, is a recipe for more traffic, more accidents and fewer jobs created here in Texas.”

“Lawmakers can improve transportation policy while addressing constituent concerns through additional oversight, public disclosure and local involvement, but eliminating or restricting transportation funding sources is the wrong approach,” Hammond said.  He said it is imperative for Texas to prepare for the state’s future population growth and also to “catch up” to the dramatic increases in population the state has experienced in recent years.

Since 2000, the state has added 2.7 million people.  Just this month, the U.S. Census Bureau announced that Dallas-Fort Worth and Houston rank two and three respectively in terms of population gains among metro areas nationally.  Even San Antonio and Austin are among the country's top 20 in population growth.

New residents are attracted to Texas because of the state’s strong economy.  In the past three years, Texas has added more than 685,000 new jobs, according to the Texas Workforce Commission.  And these new residents mean more drivers on Texas roads.  Texans in urban areas already spend 345 million hours of time stuck in traffic each year, and road usage is expected to increase.

As other states are working to attract both business and private investment to finance road projects, Texas runs the risk of driving in the wrong direction, Hammond said.  He said a moratorium on public-private partnerships and the use of non-tax revenue to build and expand the state’s transportation infrastructure would eliminate an important asset in the state’s transportation tool kit. 

“If we are to continue to grow the Texas economy and attract new jobs to our state, we have to hold up our end of the deal and that includes maintaining and expanding our roadways,” Hammond said.  “If people can’t get to work or goods can’t be moved because of inadequate highways and gridlock, employers will look elsewhere for a place to locate or expand.” 

“Let’s not replace our state’s ‘Open for Business’ sign with one that reads, ‘Stuck in traffic.  Be back in a few hours.’ ”

Founded in 1922, the Texas Association of Business is a broad-based, bipartisan organization representing more than 140,000 small and large Texas employers and 200 local chambers of commerce.