New Funding Option to Increase Protection of Seattle’s Aging Bridges
MORE INFORMATION ON BRIDGES:
- For the bridge audit that Councilmember Pedersen ordered in 2020 and progress reports, CLICK HERE. That blog post regarding the audit includes annual funding updates for bridge maintenance, beyond the attempt for $100 million in bridge bonds described below.
- For the ability to tap Transportation Impact Fees as a source or revenue, if there City Hall can muster the political courage, CLICK HERE.
- For information about the West Seattle Bridge closure and restoration (2020-2022), CLICK HERE.
April 4, 2022: Disappointment in Harrell Administration rejection in 2022 of City Council’s $100 in bonds for bridge safety.
Statement from Seattle Councilmember Alex Pedersen, Chair of the City Council’s Transportation Committee, Regarding the Harrell Administration’s Decision to Decline Council’s Additional Funding for Bridge Safety
SEATTLE – Councilmember Alex Pedersen issued the following statement after the Harrell administration declined to pursue bond funding for bridge safety, which was authorized by the Council:
“In the wake of hard lessons learned from the two-year closure of the West Seattle Bridge, the disturbing citywide audit of Seattle’s bridges, and the periodic malfunctioning of other bridges, I’m deeply disappointed that the Harrell Administration is declining to use the authority the City Council granted last November to generate up to $100 million in bond funding needed for projects to increase the safety of Seattle’s aging bridge network.
In a city carved by waterways and ravines within a hazardous earthquake zone, we rely on our bridges to connect every community, enable all modes of transportation, and sustain our economy. Keeping One Seattle physically unified and getting back to the basics of sound government should include keeping our bridges open and safe by receiving the seismic upgrades and vital maintenance they need. By choosing NOT to use the $100 million in bridge safety funds authorized last year by the Council, the Harrell Administration would be essentially tossing aside two years of work and lessons learned the hard way about the condition of Seattle’s bridges.
The City Council’s proactive authorization of the $100 million was supported not only by many residents and businesses, but also by construction labor unions who communicated their support in previous press releases, including on November 2, 2021.
The bottom line is that residents, businesses, and workers expect and deserve to have their bridges open and safe — and not accelerating the needed repairs and upgrades this year could put Seattle’s bridges at risk.”
Council Budget Action SDOT-505-A-002-2022 requested the plan from the Executive on how it would utilize up to $100 million authorized via Council Bill 120224 (which became Ordinance 126480). It was due by March 31, 2022.
“Of the appropriations in the 2022 budget for the Seattle Department of Transportation’s General Expense Budget Summary Level, $3,090,000 is appropriated solely for debt service on up to $100 million of limited tax general obligation (LTGO) bonds. Furthermore, none of the money so appropriated may be spent until the Seattle Department of Transportation provides a written report to Council detailing: (1) how much of the $100 million of authorized LTGO bonds will be issued in 2022; (2) what projects will be funded by the issuance of these bonds; and (3) what appropriations are necessary to support these projects. Council anticipates that SDOT will provide such a written report by March 31, 2022.”
In a 4-page response dated March 31, 2022, the Executive states, “SDOT’s recommendation for programming bond investments in bridges is to not issue bonds at this time.” Instead SDOT points to planning through 2023 and potential work if/when voters consider a potential new ballot measure that would presumably not be operational until 2025 – 10 years after the failed promises for bridges of the previous Move Seattle levy and 5 years after the West Seattle Bridge cracked and closed.
I’d like to briefly address some of the reasons the Executive provided for deciding not to issue these bridge bonds in 2022. Unfortunately, the excuses from the bureaucracy are the same ones we heard the past two years.
- Not Ready: SDOT officials say they are not ready. This is disappointing because of the lessons learned from the two-year closure of the West Seattle Bridge, the disturbing citywide audit of Seattle’s bridges issued over 18 months ago, the periodic malfunctioning of other bridges, and the time that has elapsed since City Council granted the authority in November of last year.
- Costs: SDOT officials indicate that future debt service payments could be a burden. But last year we increased SDOT’s budget from approximately $636 million to over $718 million. Considering the hundreds of millions of dollars SDOT spends, hearing executive officials say they cannot find $7 million dollars a year, 1% of their total budget, to boost bridges seems to indicate a lack of prioritization for bridges. Moreover, the interest rate we could lock in this year (and keep locked in at the same level for the next 20 years) could end up being lower than the estimate from our approved budget.
One hundred million dollars today to address Seattle’s immediate infrastructure needs could be worth more than $100 million trickling out over 20 years because relatively low interest rates would be locked in place for a period of 20 years. Delaying the issuance of the bonds could end up costing more if future interest rates rise. Moreover, bonding provides a large sum upfront to obtain more of what we need for our city’s infrastructure when we need it—now.
- Other Levels of Government: SDOT officials say we should wait to capture funding from the federal government and/or State government. But the reality is the federal and Washington State governments focus on relatively large bridge projects in such as the Columbia River Bridge, the I-5 ship canal bridge, and the western portion of State Highway 520. The time is overdue for the City to step up to address its own aging bridges that connect our region as well as our communities.
- Waiting Until the Next Levy in 2024/2025: Among the first words in the 2015 Move Seattle ballot measure were “bridge seismic upgrades.” Those seismic upgrades specifically included the Ballard Bridge that connects to Interbay and the Fremont Bridge that leads downtown. But after recommitting to those bridges in 2018, SDOT canceled this seismic work in November 2020 after receiving revised cost estimates: Ballard Bridge ($32 million) and the Fremont Bridge ($29 million). The bridge bonds could enable us to fulfill the promise made in 2015. Not delivering on those promises now imperils the ability of people to trust the integrity and promises of any future levy. Moreover, a future levy would not be operating until 2025—five years after the West Seattle Bridge cracked and closed – potentially putting more of Seattle’s bridges at risk.
The letter also claims investments of $166.9 million for bridges, but the irony is that over 60% of that is to fix the West Seattle Bridge.
As Chair of Seattle’s Transportation Committee, I cannot sit idly by while the can is kicked down the road again. Today I sent a letter to the Biden Administration asking our U.S. transportation officials to accelerate their federal compliance assessment of Seattle’s bridges. Federal oversight can be helpful to spur action and results for bridge safety in Seattle, especially for bridges ranked “Poor” and for bridges City leaders promised to fix as early as 2015.
Going forward, I would like to see the Harrell Administration include robust bridge infrastructure investment, including bonding, in their budget proposal that we expect to receive this September for the calendar year 2023.
Regardless of whether the Harrell Administration reconsiders their disappointing decision so that we can boost funding for bridge safety this year, I look forward to continued collaboration with Mayor Harrell and his strong team on several priorities impacting our city.”
Background:
Last year, Mayor Harrell said he wanted to “accelerate the repair and maintenance of aging facilities like the West Seattle Bridge, Magnolia Bridge, and other critical infrastructure needs that connect our neighborhoods and people.” The audit of Seattle’s bridges that I ordered after former Mayor Durkan closed the cracked West Seattle Bridge shows problematic conditions of the aging Ballard Bridge, University Bridge, 2nd Avenue South, West Seattle’s lower bridge, and other City-owned bridges.
Shortly after the November 2021 election when the City Council approved the 2022 budget and authorized up to $100 million in bonds I said, “Today this Council delivers the authority for bridge bonds and, early next year, we expect the new Administration to use that authority to keep our infrastructure safe, to keep our economy moving, and to keep our communities connected.” But the Harrell Administration’s decision this week essentially rejects that financial authorization.
At City Council’s request, SDOT already provided a project list in September 2021. While we had been relying on SDOT to expand that list of bridge work and determine how the full $100 million could be used, the bridge safety improvements could have included the following projects:
(1) $61 million for Bridge Seismic – Phase III (MC-TR-C008). Seismic upgrades or other improvements to the Ballard Bridge ($32 million) and the Fremont Bridge ($29 million). The first words in the 2015 Move Seattle ballot measure were “bridge seismic upgrades.” But after recommitting to those bridges in 2018, SDOT canceled this seismic work in November 2020 after receiving revised cost estimates. The bridge bonds could enable the promise made in 2015 to be fulfilled.
(2) $29.5 million for Bridge Rehabilitation and Replacement – Phase II (MC-TR-C039). This funding could support rehabilitation of the Fauntleroy Expressway ($6.7 million), Spokane Street Swing Bridge Hydraulic Overhaul ($5.1 million), Magnolia Bridge Structural Rehabilitation ($5.5 million), and University Bridge Rehabilitation ($6.2 million). These projects were identified in SDOT’s September 2021 response to Section 4 of ORD 126327, which requested that SDOT provide a list of projects eligible for bond financing. In addition, $6 million for Magnolia Bridge Replacement Project (MC-TR-C083) to support a type, size, and location study for the Magnolia Bridge, the eventual replacement of which would need to be funded by other means.
(3) $9.5 million for Structures Major Maintenance (MC-TR-C112). The Council created this project in the 2021 Adopted Budget in response to the City Auditor’s 2020 report on SDOT bridge maintenance. The mayor’s proposed budget would allocate approximately $17 million for bridge maintenance, so this would boost the amount so that it’s closer to the minimum recommendation of the City Auditor.
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January 28, 2022: Bridge Collapse in Pittsburgh — Another Call to Action for Seattle
As reported by CNN, “Ten people were injured when a snow-covered bridge in Pittsburgh collapsed Friday morning, hours ahead of a previously scheduled visit to the city by President Joe Biden to discuss infrastructure.”
For a related article in Politico entitled, “Infrastructure bonanza might not head off future bridge collapses,” CLICK HERE.
Call to Action: Please email the office of our new Mayor Bruce.Harrell@seattle.gov imploring the Executive to use the budget and legislative authority the City Council granted to him to issue $100 million in City bonds for bridge safety. We already learned the hard way from the West Seattle Bridge closure and the disturbing audit of all Seattle bridges — and we know neither the federal government nor the State government are coming to the rescue for our city’s many aging, at-risk bridges.
November 22, 2021 Update:
Here are my remarks about Seattle’s bridges during final passage of the City Budget for 2022:
“In keeping our City moving forward, I’m very grateful for the adoption today of Council Bill 120224 which is the companion legislation for my Council Budget Action SDOT-505-A-002 to build back better with a boost of bridge bonds. Bonds will enable us to finally address the growing backlog of vital bridge safety projects in the wake of the closure of the West Seattle Bridge and the subsequent audit of Seattle’s bridges that confirmed many key bridges are in poor condition. We were reminded of the vulnerability of our aging bridges again with the recent malfunctioning and temporary closure of the University Bridge, a multimodal bridge that may someday be the key to installing a new bus rapid ride line. Bonds will enable us to fulfill more promises of the Move Seattle Levy by restoring some of the seismic upgrade projects cancelled by SDOT. Bonds can increase safety on multiple bridges on the project list we requested and received from SDOT. Bonds can also boost the capital-heavy line items identified by the City Auditor as being historically underfunded. Authorizing these bonds will enable the incoming Administration to seize the window of opportunity when interest rates are at historic lows.
“Today this Council delivers the authority for bridge bonds and, early next year, we expect the new Administration to use that authority to keep our infrastructure safe, to keep our economy moving, and to keep our communities connected.”
November 13, 2021 Update:
Statement by Seattle Councilmember Alex Pedersen on the Malfunctioning and Closure of the Multimodal University Bridge:
“After the devastating closure of the West Seattle Bridge and the citywide audit of bridges I ordered last year, City Hall should not need additional evidence to do more for bridge safety, but I’m hopeful the sudden two-day closure of the University Bridge – blocking buses, freight, commuters, bikes, pedestrians, and emergency vehicles — finally propels our Seattle Department of Transportation to expedite how it addresses our aging bridge infrastructure. After a year of debate and delay to prioritize Seattle’s bridge network, I’m eager to have a majority of City Council finally approve later this month my long-standing proposal to authorize a boost of funds needed to fix our aging bridges. I want to thank the workers who have been struggling to repair and reopen another broken bridge and to urge all City leaders to give them the help they need to do their jobs to keep all Seattle bridges safe and secure.”
For the Council Budget Action for the $100 million in bonds (SDOT-505-A-001), CLICK HERE. For the companion legislation (Council Bill 120224), CLICK HERE.
For SDOT’s explanation of the recent malfunctioning of the University Bridge, CLICK HERE.
For Seattle Times coverage, CLICK HERE and HERE, and HERE.
For my November 16, 2021 interview with King 5 News on the University Bridge, CLICK HERE.
November 2, 2021 Update:
Labor Leaders Join Growing Majority of City Council to Bolster Bridge Safety and Boost Jobs
Councilmembers Pedersen, Herbold, Lewis, Strauss Sponsor Budget Amendment to Authorize Bonds for Faster Investments to Strengthen Infrastructure Connecting Communities and Keeping our Economy Moving
SEATTLE, WA – To bolster bridge safety and boost jobs as Seattle builds back better from the COVID pandemic’s economic slump, labor leaders have voiced their support for new efforts by Councilmembers Alex Pedersen, Lisa Herbold, Debora Juarez, Andrew J. Lewis, and Dan Strauss to generate $100 million in bonds to help fix Seattle’s aging bridges.
Councilmembers signed on to co-sponsor the amendment during a public Budget Committee meeting October 28, which resulted in majority support. Over the weekend, labor leaders, who have encouraged similar investments during the past year, affirmed their support for this renewed effort to expedite investments in bridge infrastructure safety:
Billy Hetherington, Political Director for Laborers Local 242, added, “We know that in this world of COVID-19, the movement of goods and services have been essential to our daily lives as we try our best to work from home and social distance from our fellow citizens. We have seen the impacts a shutdown of a major bridge can have on the lives of Seattle’s residents. The Auditor’s report calls for $34 million to $100 million to adequately fund the preservation of SDOT’s bridge infrastructure, so this amendment is needed to address the backlog faster. Fixing our roads and bridges, throughout the region, has been overlooked for decades so I am happy to see Councilmembers making a stand to show this is a priority now.”
Heather Kurtenbach, Political Director for Ironworkers Local 86, said, “Seattle’s bridges are in need of extra care and attention. Leveraging budget funds into bonds will allow the city to make a bigger and bolder investment in our bridges without delay.”
Pedro Espinoza of Pacific NW Regional Council of Carpenters said, “May 23, 2013, was a perfect example of how bridge closures can impact our lives: a span of the bridge carrying Interstate 5 over the Skagit River collapsed, severely impacting the movement of Washington State goods and services. We need more funding to fix our bridges in order to avoid events like this in the future.”
Councilmember Alex Pedersen, Chair of the Council’s Transportation Committee said, “In a city carved by waterways and ravines, we rely on bridges to support all modes of transportation that connect us and keep our economy moving. After the West Seattle bridge closure, our bridge audit confirmed many other Seattle bridges in poor condition due to age and underinvestment. To build back better after the COVID crisis, we should accelerate the fixing of our city’s aging bridges not only to improve safety but also to encourage additional living wage jobs. Issuing bonds enables us to generate the maximum resources needed to tackle a backlog of safety repairs and create construction job opportunities. Kicking the can down the road risks missing the opportunity to lock in today’s historically low interest rates and could end up costing more in the long run. With the entire City budget in our hands now, we have the flexibility to leverage a modest investment to go big on bridges for safety and jobs now.”
Councilmember Dan Strauss, as Chair of the City’s Land Use Committee and Vice Chair of the Transportation Committee said, “Our backlog in bridge repair, maintenance, and replacement will require hundreds of millions of dollars and issuing bonds will give us the immediate financial capacity to make our bridges safer and more resilient. It is imperative we invest in our infrastructure to avoid preventable emergencies that could impact the safety and health of our residents and the movement of people and goods. For this to be successful we need to identify an appropriate revenue source for the bonds, and to have a shovel-ready project list in-hand for us to get to work on. We need projects to be shovel ready, so we don’t pay interest on bonds for work that isn’t ready to begin, and we need to take advantage of historically low interest rates – so let’s get going!”
Despite support from construction labor unions and bridge safety advocates, the Council became divided over previous efforts to bond for bridges as it tried to synthesize a variety of input on how best to invest just $7 million in new revenue it created from Vehicle License Fees. Some Councilmembers said they wanted to wait until the comprehensive Fall budget process, which is occurring now. The fiscal landscape has, in fact, widened because Council has before it the entire $7 billion budget proposal from the mayor, which includes $1.6 billion in flexible General Fund dollars. The proposed 2022 budget for the Seattle Department of Transportation (SDOT) is $718 million, an increase from last year, which includes both operating and capital spending. In addition to the varied sources of funds available to leverage the bonds, the Council could also raise the Commercial Parking Tax and/or take advantage of a forthcoming revenue forecast update which is likely to show an increase in funds available.
Here is the current title of the proposed budget amendment: “Amend and pass as amended CB 120198 to issue an additional approximate $100 million of LTGO bonds in 2022; add $100 million of LTGO bond proceeds to SDOT bridge-related CIP projects; and add $3.1 million of Transportation Fund to SDOT for debt service”
This budget amendment for bridge bonds, if incorporated by the Budget Chair into her rebalancing package or added by a majority of Councilmembers on November 12 per the budget calendar, would piggyback onto Council Bill 120198. That budget bill would authorize the Department of Finance and Administrative Services (FAS) to issue 2022 limited tax general obligation (LTGO) bonds for several projects already.
This budget amendment for bridge bonds would revise Exhibit A (Description of 2022 Projects) to CB 120198 to add approximately $103 million. While the exact list of bridges targeted for this investment is still being finalized, bridge safety improvements could include:
(1) add Bridge Seismic – Phase III: $61,000,000
(2) add Bridge Rehabilitation and Replacement – Phase II and other line item: $29,500,000
(3) add Structures Major Maintenance: $9,500,000
(1) $61 million for Bridge Seismic – Phase III (MC-TR-C008). While still relying on State and federal contributions for safety improvements and future planning, this funding could support seismic upgrades or other improvements to the Ballard Bridge ($32 million) and the Fremont Bridge ($29 million) that are no longer being funded through the Move Seattle Levy.
(2) $23.5 million for Bridge Rehabilitation and Replacement – Phase II (MC-TR-C039). This funding could support rehabilitation of the Fauntleroy Expressway ($6.7 million), Spokane Street Swing Bridge Hydraulic Overhaul ($5.1 million), Magnolia Bridge Structural Rehabilitation ($5.5 million), and University Bridge Rehabilitation ($6.2 million). These projects were identified in SDOT’s response to Section 4 of ORD 126327, which requested that SDOT provide a list of projects eligible for bond financing. In addition, $6 million for Magnolia Bridge Replacement Project (MC-TR-C083) to support a type, size, and location study for the Magnolia Bridge, the eventual replacement of which would need to be funded by other means.
(3) $9.5 million for Structures Major Maintenance (MC-TR-C112). The Council created this project in the 2021 Adopted Budget in response to the City Auditor’s 2020 report on SDOT bridge maintenance. The mayor’s proposed budget would allocate approximately $17 million for bridge maintenance, so this would boost the amount so that it’s closer to the minimum recommendation of the City Auditor.
The goal would be to tackle long-delayed projects, including bridge projects promised to voters who approved the Move Seattle Levy in 2015. In addition, Seattle would want investments to supplement, rather than replace funds, to maximize the leveraging of State and Federal dollars.
Interest rates on the most recently issued bonds were under 2.0% but, out of an abundance of caution and to be consistent with other estimates, City Council Central Staff is using an interest rate of 4.0% as a placeholder for the 20-year bonds. This bridge bond amendment would authorize up to $3.1 million of Transportation Funds to SDOT for interest-only debt service in 2022, assuming nine months of interest accruing in the issuing year. If issued at a 4.0 percent interest rate, and with repayment of principal beginning in 2023, the City would be obligated to fund approximately $7.6 million of debt service annually in future budgets for the duration of the 20-year term. Using a 2% rate, the City would be pay approximately $25 million of total interest over the life of the bonds or, with a 4% rate, the City would pay approximately $50 million of total interest over the life of the bonds.
While there is a cost of interest when issuing bonds (just as there is an interest cost when taking out a mortgage to buy a house), thanks to the time value of money, the $100 million received today to address Seattle’s immediate infrastructure needs could be worth more than $100 million trickling out over 20 years because relatively low interest rates would be locked in place for a period of 20 years. Delaying the issuance of the bonds could end up costing more if future interest rates rise. Moreover, bonding provides a large sum upfront to obtain more of what we need for our city’s infrastructure when we need it – now.
As the Seattle Times editorial board noted last week, “City Hall has a history of kicking the can down the road…The Seattle City Council ought to end this practice, and get to work on appropriately funding vital infrastructure once and for all.”
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May 10, 2021 Update:
The full City Council adopted Council Bill 120042 as we had amended it in my Transportation Committee. The Seattle Times requested a statement from me and here is what I provided:
“The legislation we adopted today is a strong step toward stronger bridges and can boost the aging infrastructure that connects our communities and keeps our economy moving. The sudden closure of the West Seattle Bridge and the audit of all bridges I ordered last year should be a wake-up call for everyone who cares about mobility for all modes of transportation. Our bridges are not going to fix themselves – we need to stop kicking the can down the road and instead think bigger and bolder to build back better with bonds as we emerge from the COVID pandemic. I look forward to our Seattle Department of Transportation stepping up to produce the information my colleagues and I unanimously requested so that we have concrete options to issue bonds to produce the tens of millions of dollars for our city’s bridges and other aging infrastructure important to buses, freight, and other modes of transportation.”
May 5, 2021 Update:
Our Transportation Committee unanimously passed Council Bill 120042 which invests the new dollars from the additional $20 in vehicle license fees (VLF) for 2021 (annualized amount would be approximately $7 million). But first we amended our original amendment on potentially issuing bonds to generate $100 million to accelerate the fixing of our City’s aging infrastructure, including our multi-modal bridge network. The final amendment not only increased flexibility by removing some of the more rigid language from the original amendment, but also requires additional info on the timing of projects from SDOT when they deliver their $100 million list of capital projects to the Council in September. For the final amendment that passed, CLICK HERE. For a Seattle Times article, CLICK HERE, though please note that the Council is actually making final decisions as part of our 2021 Fall budget process (which will impact 2022). This enables a more holistic approach so that both SDOT and the City Council can consider the recent feedback from stakeholders within the context of SDOT’s entire $600-$700 million annual budget (including potential bonds) rather than just isolating the small $7 million from the VLF.
Here are my prepared remarks from the Committee discussion: “Thank you for bringing forward this amendment, which I consider as friendly toward our overall efforts to punctuate the priority of Seattle’s aging infrastructure. I am pleased to have a collaborative legislative process among Councilmembers whenever possible so we ultimately build out transportation priorities we all can support. Incorporating ANY amendment to SDOT’s plan that prioritizes Seattle’s aging infrastructure and considers how to leverage more money faster is a strong step toward stronger bridges, so that we can address the alarming audit of our bridges. I think this revised amendment still successfully intensifies our commitment toward the safety and sustainability of multimodal bridges that connect our communities and keep our economy moving. I look forward to making sure SDOT follows through on the recommendations from our City Auditor and gets bridge projects ready faster, so we can take advantage of federal dollars and finally address the dangerous backlog for our bridges that we rely on to connect our communities and keep our economy moving.”
April 21 and 26, 2021 Update:
Our Transportation Committee heard SDOT’s proposal (CB 120042) for how to spend $7 million a year of the newly approved Vehicle License Fees, while several Councilmembers supporting a bolder leveraging of those dollars to generate $100 million to boost our infrastructure had an opportunity to present our amendment. During the Committee meeting, Councilmember Debora Juarez announced her support for our bonding amendment and joined us as a co-sponsor.
The Seattle Times editorial board recently endorsed our infrastructure amendment! CLICK HERE.
Nicole Grant, the head of the MLK Labor Council, announced her support for the $100 million in bonds at our Transportation Committee, adding her strong voice to the many labor unions who joined us in the original press release.
Nicole Grant, the head of MLK Labor told our Transportation Committee April 21, “I want to weigh in in favor of the bonding to fund our bridges here in the city of Seattle. I know it’s expensive; it’s among the prices we pay for having a beautiful city full of hills and waterways. It’s not something we can ignore. We are lucky also to have the best Targeted Local Hire policy in the country to make sure that the employment to repair / to replace this infrastructure gives back to the community and hires people that could really use a strong career advantage — including formerly incarcerated workers — and to make sure that everybody has health insurance for their family and apprenticeship to learn a skill that’s going to last their whole life. So support it, I think it’s a good decision, a good use of the money. Thank you.”
April 19, 2021 Update:
PRESS RELEASE:
Councilmembers Pedersen, Herbold, Lewis, Mosqueda Propose $100 Million in Bonds for Multimodal Bridges and Other Transportation Infrastructure Needs to Create Jobs Sooner by Leveraging the New $20 Vehicle License Fee
SEATTLE, WA – To boost jobs as Seattle emerges from the COVID pandemic’s economic recession, Councilmembers Alex Pedersen, Lisa Herbold, Andrew J. Lewis, and Teresa Mosqueda are proposing $100 million in bonds to fix our aging multimodal bridges and modernize transportation infrastructure in 2022, after implementing the Seattle Department of Transportation’s spending plan for the additional $20 Vehicle License Fees for 2021.
The Councilmembers issued this joint statement: “We appreciate the Seattle Department of Transportation convening community partners to offer ways to invest the expected funds from the $20 vehicle license fee authorized by the City Council. They have crafted a thoughtful 2021 spending plan that we should implement immediately. At this critical juncture, when we seek to build back better after the Covid-19 crisis, we must also think bigger and bolder with this opportunity. We should supercharge the VLF dollars by financing $100 million in bonds in 2022 and take on the too-long-delayed task of fixing our city’s aging multimodal bridges and modernizing Seattle’s transportation infrastructure while creating good, living wage jobs. Our bridge audit showed so many bridges in poor condition and illustrated the economic benefits of frontloading government resources. By leveraging these dollars we can finally commit to a strategy of significant timely investments rather than piecemeal fixes. In a city carved by waterways and ravines, we rely on bridges to support all modes of transportation that connect us and keep our economy moving. We have a duty to stop kicking the can down the road, and now we have an opportunity to go bigger and bolder to build back better.”
The Councilmembers are introducing an important amendment to SDOT’s bill (Council Bill 120042) to fund the stakeholder plan for 2021 and then to generate $100 million in 2022, with at least 75% of the bonds going to fix multimodal bridges. The rest of the funds can be used to leverage other federal or state dollars for other transportation infrastructure such as those proposed in SDOT’s spending plan.
A coalition of construction labor unions support the amendment.
Billy Hetherington, Political Director for Laborers Local 242, added, “We know that in this world of COVID-19, the movement of goods and services have been essential to our daily lives as we try our best to work from home and social distance from our fellow citizens. We have seen the impacts a shutdown of a major bridge can have on the lives of Seattle’s residents. The West Seattle bridge is nowhere near the oldest in the city nor was it considered in “Poor” condition at the time of its shutdown. The Auditor’s reports calls for $34 million to $100 million to adequately fund the preservation of SDOT’s bridge infrastructure, so this amendment is needed to address the backlog faster. Fixing our roads and bridges, throughout the region, has been overlooked for decades so I am happy to see Councilmembers making a stand to show this is a priority now.”
Pedro Espinoza of Pacific NW Regional Council of Carpenters said, “May 23, 2013, was a perfect example of how bridge closures can impact our lives: a span of the bridge carrying Interstate 5 over the Skagit River collapsed, severely impacting the movement of Washington State goods and services. We need more funding to fix our bridges in order to avoid events like this in the future.”
Heather Kurtenbach, Political Director for Ironworkers Local 86, said, “Seattle’s bridges are in need of extra care and attention. Leveraging the funds from Vehicle Licensing Fees will allow the city to make a bigger and bolder investment in our bridges without delay.”
Local business leaders also support the amendment. Executive Director Erin Goodman of the SODO Business Improvement Area said, “SODO is the industrial heart of Seattle, and during COVID-19 we have seen how many essential businesses are located here including food and supply distribution, PPE manufacturing, and more vital activities. Increased funding to fix our bridges now is necessary to support these essential businesses and their operations throughout our region.”
Most drivers were previously paying $80 for their annual VLF, but that decreased briefly to $20 until City Council adopted this new $20 for a total of $40. The additional $20 (which drivers will start paying this July) is expected to generate $3.6 million in 2021 and $7.2 million in 2022 and each year thereafter. A City Council spending plan was delayed until after more stakeholder engagement. Bonding has several advantages over SDOT’s current plan. Rather than allocating the funds in several small pieces each year over several years, bonding will provide a large sum upfront to obtain more of what we need for our city’s infrastructure when we need it – now. Bonding should also protect the VLF from future attempts to cancel the fee, because those future dollars will be encumbered upfront.
In addition to the dollars needed to restore the West Seattle High Bridge, Seattle’s aging bridges have the following immediate needs:
- $20 million to $88 million more annually for bridge maintenance. (Annual maintenance needed is $34 million to $102 million, per the City Auditor’s report on bridges. Mayor Durkan’s proposed budget for 2021 provided only $10 million among four line items and Council increased it to $14 million.) Bridges ranked poor by the audit include the 2nd Avenue South extension bridge.
- $8 million for our City’s older bridges that have aging moveable parts (such as the University, Ballard, Fremont, and Spokane bridges). When draw bridges / bascule bridges / swing bridges get stuck, they prevent all modes of transportation — including buses and bikes — which could impede Seattle’s fragile economic recovery.
- Millions to start the seismic retrofits of 16 Seattle bridges, including $32 million for Ballard, $29 million for Fremont, and millions to seismically upgrade the 100-year old University Bridge.
- Millions to replace the 90-year-old Magnolia Bridge, which is part of the Ballard-Interbay Regional Transportation (BIRT) corridor.
The Seattle City Council approved the $20 vehicle license fee as part of its fall budget process. At the time, Councilmembers Pedersen, Herbold and Lewis proposed legislation (supported by Councilmember Juarez) to use Vehicle Licensing Fees to boost maintenance of multimodal bridges throughout Seattle. An amendment narrowly adopted by other Councilmembers in November 2020 directed SDOT to establish a stakeholder process to recommend ideas for spending the funds. Since that time, there have additional reports of immediate needs for bridges and confirmation that issuing bonds would be possible to create jobs.
Assuming an interest rate of 3.5% fully amortized over 20 years, the approximately $7 million in VLF annually will support the issuance of bonds totaling at least $100 million.
The Seattle City Council will consider and ultimately pass a spending plan over the coming weeks, with legislation going through its Transportation and Utilities Committee. The first briefing on the spending plan is planned for April 21, 2021.
Media coverage:
- For Seattle Times (April 21, 2021), CLICK HERE.
- For King 5 News (April 21, 2021), CLICK HERE.
- For SCC Insight analysis (April 21, 2021): CLICK HERE.
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December 21, 2020 Update:
Today’s Seattle Times article on the costs to make earthquake-resistant improvements to Seattle’s bridges is additional evidence that the 4 Councilmembers (Pedersen, Herbold, Juarez, Lewis) who voted to immediately designate these additional dollars for bridge maintenance were correct: https://www.seattletimes.com/seattle-news/transportation/seattle-scales-back-earthquake-work-on-city-bridges-as-costs-soar/
From the article: “After promising Seattle voters [in 2015] that the city would reinforce 16 bridges to better withstand earthquakes, the Seattle Department of Transportation now says that work would cost hundreds of millions of dollars more than once expected. Instead of 16 bridges, the city plans to complete seismic retrofits on 11, leaving notable and costly locations like the Ballard and Fremont bridges off the list. Costs for some bridges increased by several million dollars, like a span along 15th Avenue in Ballard now set to cost about $5 million instead of $1 million. Other estimates rose by far more...”
Councilmembers who voted against designating the funds immediately for bridges were Gonzalez, Morales, Mosqueda, Sawant, and Strauss. As the 5-person majority, they unfortunately prevailed to delay that decision.
November 19, 2020 Update:
The reasonable decision this week by our Mayor to repair and maintain the existing West Seattle bridge underscores the need for more steady funding for bridge maintenance throughout Seattle to honor our recent audit of bridges. We could have secured an immediate and dedicated source for bridge maintenance if a majority of the Council had supported this week the decisive proposal that Councilmembers Herbold, Lewis, and I advanced with the support of Councilmember Juarez. Despite the disappointing 5 to 4 vote to delay a decision on funding more bridge maintenance, I am hopeful the additional process will lead to a robust increase in funding for bridge safety from several sources, which would benefit all modes of travel and keep our economy moving.
- For the Seattle Times coverage of the City Council vote, CLICK HERE.
- For a Seattle Times editorial criticizing my colleagues’ disappointing decision to delay my proposal for immediate bridge maintenance funding, CLICK HERE.
- For the Council Bill 119951, CLICK HERE. Please note that the Council’s Legistar system is limited in that it does NOT display all amendment votes; therefore, the unfortunate (yet pivotal) 5 to 4 vote to reject investing the funds directly into bridges (Council Budget Action BLG-042-A-001) and to delay the decision on how to spend the money (Council Budget Action BLG-042-B-001) after consulting advocacy groups can be found only by watching the November 18, 2020 Budget Committee meeting on Seattle Channel (start at 1:18).
November 13 and November 17, 2020:
Dear Friends and Neighbors,
We have an important opportunity during the remaining week of our annual budget process to support our city’s bridge infrastructure. Our Budget Committee is meeting again November 18 and 19.
In a city defined by its many waterways and ravines, our bridges connect us and we must ensure they are maintained to stay safe and strong. Vital for all modes of travel and our regional economy, bridges require ample maintenance not only to ensure they remain safe but also to avoid costly and disruptive shutdowns and replacements.
The recent independent audit of Seattle’s bridges proves city government must do a better job investing in this basic infrastructure, including bridges that serve public transit. The audit concluded that our city government has been substantially under-investing in the maintenance of our bridges. The result of underfunding our bridge infrastructure increases the risk of harm and disruption — failing to invest at adequate levels today means taxpayers might have to bear even larger replacement costs later. Pay now or pay more later. The sudden closure of the West Seattle Bridge should be a wake up call that we must take care of our city’s infrastructure to keep our residents and our local economy moving.
During our budget deliberations in November, City Council received broad input from residents, business leaders, and labor unions (including Laborers, Carpenters, and Ironworkers) calling for more maintenance of our vital bridges.
While the Mayor’s budget team worked hard to preserve the amount of spending for bridge maintenance despite budget deficits, we should do more as additional funding options become available.
For both 2020 and the Mayor’s proposed 2021 budget, the bridge maintenance items identified by the City Auditor total approximately $12 million, though approximately $2 million is for reimbursable work on other projects resulting in a current net investment of only $10 million.
To achieve the increased spending levels for bridge maintenance recommended by the City Auditor’s 2020 report, Councilmembers Pedersen, Herbold, and Lewis proposed adding $24 million to the 2021 budget (“Form B”: Council Budget Action SDOT-008-A-001) which gained initial support from Councilmembers Juarez, Sawant, and Strauss on October 30, 2020.
The $24 million increase for bridge maintenance would have achieved a total of $34 million for 2021, which is still on the low-end of the City Auditor’s recommendation of $34 million to $102 million annually (equivalent to 1% to 3% of total replacement costs).
While the Budget Chair’s balancing package was able to restore or fund several transportation projects including those for transit, pedestrians, and bikes, it added only $4 million from the $24 million request for bridge maintenance.
More funding options are needed now to address the bridge maintenance gap with the urgency it deserves.
Vehicle License Fees (VLF) (a.k.a. car tabs)
Thanks to the Supreme Court overturning the harmful Initiative 976, the City Council now has the flexibility to adjust the Vehicle License Fee (VLF) to $40 as authorized by RCW 36.73.065 and RCW 82.80.140. While residents currently pay $80 which would otherwise drop to $20 in 2021, the RCW permits the Council to “increase” it by another $20 (for a total of $40) in 2021.
Councilmembers Alex Pedersen (Chair Council’s Transportation Committee), Lisa Herbold (West Seattle) and Andrew Lewis (downtown, Queen Anne, Magnolia) have introduced Council Bill 119951 to adjust the vehicle license fee to $40. (Residents currently pay $80 for the city portion each year, but it is scheduled to drop to $20.)
or at least 2021, the additional vehicle license proceeds can be focused on the maintenance of Seattle bridges that support high-capacity transit or multiple modes of travel with a focus on our Frequent Transit Network.
“Underfunding our bridge infrastructure increases the risk of harm and ends up costing taxpayers more later, so let’s listen to the independent audit and increase bridge maintenance now to keep our people and economy moving,” said Councilmember Alex Pedersen, Chair of the City Council’s Transportation Committee.
“The impending decision whether to repair or replace the West Seattle Bridge highlights the importance of ongoing investment in maintenance of Seattle’s bridges,” said Councilmember Lisa Herbold (West Seattle). “Bridges are critical not only to residents and local businesses, but also to our regional economy.”
“District 7 is stitched together by bridges we depend on for reliable bus service and freight mobility for our working waterfront,” said Councilmember Andrew Lewis (downtown, Queen Anne, Magnolia). We need to step up our commitment to this critical infrastructure.”
To read their press release from Nov 13, 2020, CLICK HERE.
The adjustment of the underlying vehicle license fee (VLF) to $40, if adopted by the City Council, is anticipated to raise an additional $3.6 million in 2021, and an additional $7.2 million in subsequent years. (The difference in amounts is explained by the fact that it will take the Washington State Department of Licenses six months to update the new fee in 2021.) Therefore, the additional $20 VLF ($3.6 million in 2021) could nearly double the Council’s additive investment to $8 million for 2021, with more dollars available in later years. That would bring the grand total for 2021 bridge maintenance to nearly $18 million for 2021.
Seattle will need additional sources of revenue to support our network of aging bridges, but dedicating a portion of additional Vehicle License Fees is an immediate downpayment that responds to the time-sensitive concerns raised by the recent bridge audit.
To support our environment and address climate change, it is also critical to continue to prioritize transit and related projects that ensure the reliability of transit:
- We are thankful to Seattle voters for approving Seattle Proposition 1 in November 2020 to authorize a six-year 0.15% sales tax for the Seattle Transportation Benefit District (STBD), which focuses on supplementing the bus service from King County Metro as well as providing free transit passes for those most in need.
- IN ADDITION TO that new 6-year STBD measure (approximately $30 million in 2021 increasing to $41 million in 2022), the City Council Budget Chair was able to work with colleagues to restore funding for several transit/bike/ped projects for 2021.
- IN ADDITION, there are still over $23 million in reserves remaining for transit from the 2014 STBD measure, all of which will benefit from input from the Transit Advisory Board.
- IN ADDITION, our proposal for the VLF for bridge maintenance will focus on bridges serving our Frequent Transit Network.
Billy Hetherington, Political Director for Laborers Local 242, said “We know that in this world of COVID-19, the movement of goods and services have been essential to our daily lives as we try our best to work from home and social distance from our fellow citizens. We have seen the impacts a shutdown of a major bridge can have on the lives of Seattle’s residents. The West Seattle bridge is nowhere near the oldest in the city nor was it considered in “Poor” condition at the time of its shutdown. The Auditor’s reports calls for $34 to $100 million to adequately fund the preservation of SDOT’s bridge infrastructure, so this measure represents the bare minimum. Preservation and maintenance of our roads and bridges, throughout the state, has been overlooked for decades so I am happy to see Councilmembers making a stand to show this is a priority moving forward.”
Heather Kurtenbach, Political Director for Ironworkers Local 86, said, “Seattle’s bridges are in need of extra care and attention. Using funds from Vehicle Licensing Fees will allow the city to begin reinvesting in the maintenance of our bridges.”
Pedro Espinoza of Pacific NW Regional Council of Carpenters said, “May 23, 2013, was a perfect example of how bridge closures can impact our lives. A span of the bridge carrying Interstate 5 over the Skagit River collapsed, severely impacting the movement of Washington State goods and services. We need more funding for bridge maintenance in order to avoid events like this in the future.”
Erin Goodman Executive Director of the SODO Business Improvement Area said, “SODO is the industrial heart of Seattle, and during COVID-19 we have seen how many essential businesses are located here including food and supply distribution, PPE manufacturing, and more vital activities. Increased funding for bridge maintenance is necessary to support these essential businesses and their operations throughout our region.”
Background:
- The specific budget line items identified by the City Auditor as “bridge maintenance” include Bridge Load Rating (capital), Bridge Painting (capital), Bridge Structures Engineering (operating), and Bridget Structure Maintenance (operating). It may make sense to add a new line item for Structures (for capital improvements).
- Chapter 36.73 RCW provides for the establishment of Transportation Benefit Districts (TBD) by cities and counties and to levy and impose various taxes and fees to generate revenues to support transportation improvements within the TBD. In 2010, the City Council passed Ordinance 123397 which established the Seattle Transportation Benefit District (“District”). The District imposed an initial vehicle license fee of $20 pursuant to RCW 36.73.065 by adopting Seattle Transportation Benefit District Resolution 1.
- In 2014, Seattle voters approved Seattle Transportation Benefit District Proposition 1, which imposed an additional $60 vehicle license fee pursuant to RCW 36.73.065 and resulted in a combined vehicle license fee of $80. In 2016, the City Council passed Ordinance 125070 which absorbed the Seattle Transportation Benefit District, and vested the City Council with the District’s duties and authority, including the authority to collect a $20 vehicle license fee and the voter-approved $60 vehicle license fee. The voter-approved $60 vehicle license fee expires on December 31, 2020.
- The needs for improvement, maintenance, and protection of public ways within the boundaries of Seattle’s Transportation Benefit District have grown, as evidenced by the Seattle Department of Transportation’s shut down of the West Seattle Bridge in March 2020 for public safety and the City Auditor’s 2020 report on bridge maintenance.
- For 2021, the additional vehicle license proceeds could be used for maintenance activities on Seattle bridges that support high-capacity transit or multiple modes of travel, specifically bridges serving our Frequent Transit Network (see map below). Bridges support all modes of travel. For those who are concerned that bridges are “car-centric,” all the more reason that car drivers should help to pay for added maintenance through the car tabs (vehicle license fees).
More about the Bridge Audit Results:
“In a city defined by its many waterways, our bridges connect us and this audit report proves city government must do a better job investing in this basic infrastructure,” said Transportation Chair Pedersen who requested the citywide bridge audit. “Vital for transit, freight and our regional economy, bridges require relatively large investments to build and maintain to ensure they remain safe for generations. I requested this audit of our bridges because the rapid deterioration of the West Seattle Bridge underscored the need for City officials and the general public to have a clear, thorough, and independent understanding of the condition of major bridges throughout Seattle, including the adequacy of the City’s preventative maintenance investments and practices.”
After an extensive document review and numerous exchanges by the auditor’s office with the Seattle Department of Transportation’s engineers and managers, the audit report was completed on schedule. The auditor’s report was presented to the City Council at its Transportation Committee chaired by Councilmember Pedersen Wednesday, September 16.
Pedersen initiated the audit with an April 23 letter to the City Auditor asking his office “to assess the physical conditions and maintenance investments for the major bridges owned by the Seattle Department of Transportation (SDOT).” Pedersen’s letter requested a report from the Auditor by mid-September to inform the City Council’s fall budget process.
The audit concluded the city government’s annual spending is far below what is needed to maintain its bridges and SDOT confirmed this: “SDOT estimates its annual spending is tens of millions of dollars less than what is needed to maintain its bridges.”
The audit report makes 10 recommendations for improving the City’s bridge maintenance and investment policies. According to the report, SDOT generally concurs with the report’s recommendations and plans to implement them. However, it will take action from the Mayor and City Council to fill the gap in funding. “I am hopeful City Hall will pay close attention to this audit report and respond appropriately during the 2021 budget discussions to ensure that critical infrastructure does not continue to deteriorate with potentially disastrous consequences,” said Councilmember Pedersen.
City Auditor David G. Jones added, “Our report shows that there is a large gap between what is budgeted for bridge maintenance and what is needed to keep them in good condition. Our recommendations are for activities that SDOT should do now to better inform where investments are made, and more effectively use the resources they currently have.”
Additional Resources (on both VLF and Bridges):
- Council Bill 119951 to adjust the car tab fee to $40.
- Council Budget Action to dedicate the funds to bridges (supported by Pedersen, Herbold, Juarez Lewis, but failed 4 to 5), CLICK HERE.
- Replacement Council Budget Action 042-B-001 to delay decision on the $3.6 million for 2021 and impose a “stakeholder engagement process” (supported by Gonzalez, Morales, Mosqueda, Sawant, Strauss; passed 5 to 4), CLICK HERE.
- Press release (Nov 13, 2020) from Herbold, Lewis, Pedersen to focus additional $20 VLF on bridge maintenance, CLICK HERE.
- The bridge audit report, from the City Auditor, CLICK HERE.
- For my lengthy blog post about the City Auditor’s 2020 report on bridges, CLICK HERE.
- Transportation & Utilities Committee website, CLICK HERE.
- Media reports on focusing additional $20 VLF on bridge maintenance:
- For Seattle Times initial story, CLICK HERE.
- For SCC Insight’s initial story, CLICK HERE.
- For the article from MyNorthwest, CLICK HERE.
- Media reports on the citywide bridge audit:
- For the article from MyNorthwest, CLICK HERE.
- For King 5 news, CLICK HERE.
- For Seattle Times articles, CLICK HERE and HERE.
- For Seattle Times editorial, CLICK HERE.
From the Seattle Times editorial: “New City Councilmember Alex Pedersen deserves kudos for requesting the audit after the West Seattle Bridge closure. It gives the council facts and improvements to consider, and has already prompted change at the Department of Transportation. Yet the situation demands more, including a new mindset at City Hall and an authentic effort, starting with the next budget.”
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Posted: April 4th, 2022 under Councilmember Pedersen