Patrick McSweeney


 

To Tax or Not to Tax

 

McSweeney defends earlier columns advocating a greater private-sector role in addressing Virginia's transportation woes.


 

My most recent columns on transportation, which advocated more privatization and bolder thinking ("Liberate Transportation", March 28, 2005), apparently struck a nerve. Two responses in particular warrant attention.

 

The first was from Stephen D. Haner, vice-president for public policy at the Virginia Chamber of Commerce, who opposes my suggestion. Does it seem strange to anyone but me that a representative of the Chamber of Commerce would favor higher taxes and more government over privatization? This is not your daddy’s Chamber of Commerce.

 

Haner devotes most of his response to proving that transportation isn’t a government monopoly. No one, to my knowledge, has argued that it is. And we should all be thankful that government doesn’t have a monopoly.

 

What I wrote was that transportation facilities tend to be owned, developed and maintained by government. Haner insists it is the role of government to build and maintain public rights of way. I believe we should let private entrepreneurs take on more of that role.

 

Haner’s fear is that if rights of way are privately owned, the public would be denied access. That is an absurd argument. First, no profit-seeking entrepreneur would turn customers away. Second, government can and should mandate open access to rights of way even if they are nominally in private ownership.

 

The second response was from Robert O. Chase, president of the Northern Virginia Transportation Alliance, whose principal objection is that I don’t support another massive tax increase to build more roads. He also challenges my contention that the state’s road-building program has caused the total vehicle miles traveled to increase dramatically. He says that is akin to arguing that building more schools is responsible for increasing student enrollments, building more intensive-care beds is responsible for more people being critically ill and building more prisons is responsible for more people breaking the law.

 

The fact that Chase, of all people, doesn’t understand the difference may explain why Northern Virginia’s transportation conditions are worsening, not improving. There is a causal linkage between the kind of transportation system we build and the number and length of trips people take each day. No such cause-and-effect relationship exists between schools and students, sick beds and patients, and prisons and lawbreakers.

 

Anyone with a passing familiarity with transportation planning knows of the phenomenon of induced travel demand. How, when and where we build highways can dramatically increase our dependence on automobiles, the average length of trips and the number of trips taken. Just compare New York City and Los Angeles.

 

What is beyond dispute is that the increase in total vehicle miles traveled in Virginia has dramatically outstripped the increase in Virginia’s population since 1987, the year the Baliles transportation tax hike went into effect. And the gap will continue to widen. The Commonwealth recently projected minimum funding requirements for road-building through 2025 at $74.2 billion. Combined funding needs for all transportation modes through 2025 are $108.4 billion. If history is an accurate guide, the state’s projection for roads is substantially understated.

 

Both Haner and Chase insist that the 1986 Baliles transportation tax program was not a failure. Clearly, it failed by the standard that Gov. Gerald Baliles himself set when he promised that his tax increase would take Virginia into the 21st century.

 

Gov. Mark R. Warner and House Speaker William Howell believe we need greater privatization to meet our transportation needs. The choice is either more of the same, as Haner and Chase suggest, or a bold departure.

 

That deserves an election year debate.

 

-- April 11, 2005

 

 

 
 

 

 

 

 

 

 

Contact Information

 

McSweeney & Crump

11 South Twelfth Street
Richmond, VA 23219
(804) 783-6802

pmcsweeney@

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