I-5 Bridge Replacement Project

Transcription

1 I-5 Bridge Replacement Project Joint Interim Committee on Interstate 5 Bridge Replacement Oregon State Capitol Salem, Oregon January 14, 2014 Matthew Garrett, Director Oregon Department of Transportation Kris Strickler, Project Director Oregon Department of Transportation

2 Introduction Overview 2

3 Presentation outline Bi-state project overview Scope, cost and finance plan Reassessment Oregon-led project Scope and costs Technical, administrative, and legal reviews Finance plan Investment grade analysis Critical path recap 3

4 Project area Oregon 4

5 Bi-state project elements, costs and fund sources Federal OR WA $450 million User Fees $3.2 Billion Total (including Oregon) 5

6 Oregon s financial commitment to bi-state project if: Washington funding Coast Guard permit Vancouver approves transit operations agreement Financial Plan analysis Federal User Fees OR WA 6

7 July 1 funding reality Federal OR WA User Fees 7

8 Considering bi-state toll setting structures How will toll rates be set for a bi-state project? Who will sell bonds? Both states or one? What type of bonds are assumed? What tolling policies and requirements exist in both states? What changes might be needed? What are the financial market, policy and state considerations as bi-state options are considered? Reassessment 8

9 Unique and critical corridor Insert image of general project map 9

10 I-5 Bridge and interchanges used statewide 10

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13 Introduction Oregon-led Project 13

14 Bi-state project elements and fund sources Federal User Fees OR WA 14

15 Oregon-led project elements, costs and fund sources OR Federal WA $450 million User Fees +/- $2.8 Billion (including Oregon) 15

16 Partner roles and responsibilities 16

17 Technical, administrative and legal review and analysis Refreshed traffic and revenue forecast OR DOJ memo: authority for activities in the State of Washington OR DOJ memo: tolling authority Key intergovernmental agreements and approvals Preliminary outline of ODOT-WSDOT project development and tolling agreement Toll Program Assessment: Scope and Cost Estimate Right-of-Way Plan Revised Finance Plan ODOT Project Management Plan and Oversight OR DOJ memo: response to USCG WA AG memo: light rail operations, permitting, mitigation agreements and tolling WA AG memo: response to USCG, authority for activities in the State of Washington 17

18 What s different? Oregon will: Deliver construction program Deliver tolling program Development and oversight of tolling polices Sets the toll rates and is responsible for collection of revenues Assumes all toll-related debt Assumes toll rate setting authority Responsible for enforcement of toll collections 18

19 Independent assessment of toll funding contribution Expedited investment grade analysis requested by state leadership Required by bond market to determine if toll revenue projections will be adequate to repay toll-related debt ODOT and Treasurer s Office jointly selected consultant and developed scope of work Federal User Fees OR WA 19

20 Considering bi-state toll setting structures How will toll rates be set for a bi-state project? Who will sell bonds? Both states or one? What type of bonds are assumed? What tolling policies and requirements exist in both states? What changes might be needed? What are the financial market, policy and state considerations as bi-state options are considered? Investment Grade Analysis 20

21 Investment Grade Analysis assumptions Toll rates at or below national average Reduced number of I-5 trips so revenue was not overestimated Oregon-led toll collection costs Higher than current interest rates Construction begins fall 2015; pre-completion tolling prior to Jan Oregon currently has legislative authority to enforce toll collections and the ability to enhance enforcement statutes 21

22 Considering bi-state toll setting structures How will toll rates be set for a bi-state project? Who will sell bonds? Both states or one? What type of bonds are assumed? What tolling policies and requirements exist in both states? What changes might be needed? What are the financial market, policy and state considerations as bi-state options are considered? Investment Grade Analysis 22

23 Investment Grade Analysis key findings Tolling will produce the necessary revenue to construct the I-5 replacement bridge and SR 14 interchange. This assumes the cost associated with a delayed construction start in fall Additional revenue capacity could be available if actual conditions are not as conservative as assumed and/or if policy decisions adjust the assumptions. 23

24 Considering bi-state toll setting structures How will toll rates be set for a bi-state project? Who will sell bonds? Both states or one? What type of bonds are assumed? What tolling policies and requirements exist in both states? What changes might be needed? What are the financial market, policy and state considerations as bi-state options are considered? Tolling Enforcement 24 24

25 Considering bi-state toll setting structures How will toll rates be set for a bi-state project? Who will sell bonds? Both states or one? What type of bonds are assumed? What tolling policies and requirements exist in both states? What changes might be needed? What are the financial market, policy and state considerations as bi-state options are considered? Critical Actions 25

26 Critical actions for Oregon-led project to meet fall 2015 construction start Legislative Reaffirm Oregon s $450 million commitment to I-5 Bridge Replacement project. Enact stronger statutory tolling enforcement tools in Oregon. Designate toll violation as a traffic violation Authorize vehicle booting and towing capability for toll violators Authorize revenue source(s) for bridge height mitigation costs ($86.4 million). Administrative Execute an intergovernmental agreement with WSDOT for implementation of the construction program. 26

27 Considering bi-state toll setting structures How will toll rates be set for a bi-state project? Who will sell bonds? Both states or one? What type of bonds are assumed? What tolling policies and requirements exist in both states? What changes might be needed? What are the financial market, policy and state considerations as bi-state options are considered?