N Texas Tollway cut spending $108m to meet revenue drop of near 11%
Posted on Tue, 2009-06-16 21:10
North Texas Tollway are cutting spending and considering higher toll rates to cope with a major drop in traffic and revenue. A statement issued this week says their traffic and revenue consultants are forecasting a 10.91% drop in toll revenues this year compared to 2008. By our calculation that would mean an approx $27m drop to $218m for 2009 v $245m in 2008.
The statement says that the 2009 budget is being reduced by $108m in response. An administrative committee of the Authority met Tuesday and decided on the drastic cuts. It says: "The reductions were made in the capital improvement, reserve maintenance and feasibility study funds."
No further details on the breakup of the $108m are available. (This $108m needs further checking - editor) ADDITION: We're assured this $108m cut is correct, but we can't understand it without a proper accounts style listing of the nudget items and the totals last year and this, which so far we don't have - editor 2009-06-17)
Allen Clemson, NTTA executive director is quoted: "We will continue to monitor the situation and make adjustments where necessary. Despite the reduction, projects such as the Lewisville Lake Toll Bridge, Eastern Extension of the President George Bush Turnpike and construction on the Sam Rayburn Tollway will remain on schedule. We will also continue serving our customers and working hard to meet our commitments to the region."
The Authority earlier this year announced a delay of a year in their program for converting toll collection to all-electronic.
The statement went on to say that NTTA staff are expected to recommend to the authority's finance committee this week a toll rate adjustment "including adjusting the rates, reset dates and adopting a distance-based toll."
NTTA face a large increase in debt service obligations due to financing of the $3b upfront concession fee they paid to local governments for their 50 year right to toll SH121, now known as Sam Rayburn Tollway.
copy of NTTA statement:
http://www.tollroadsnews.com/sites/default/files/2009budget.pdf
Graphs are from NTTA's 2008 Annual Summary Report:
TOLLROADSnews 2009-06-16
| Attachment | Size |
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| 2009budget.pdf | 20.23 KB |