The state’s tolling director said Thursday he expects at least a $1 increase for tolls on the Tacoma Narrows Bridge – the first increase in four years – as revenues remain flat and expenses continue to increase.
Craig Stone said his staff is preparing scenarios for review by the bridge’s citizen advisory committee starting next week that would raise tolls at booths between $1.50 and $2. Good to Go! tolls could go up $1.50 to $1.75.
The options are a starting point for the committee, and it could consider others. It’s scheduled to make a recommendation to the Washington Transportation Commission in March. A public hearing is set for Feb. 8.
The new rate would take effect as early as June 1, not quite five years after the bridge opened.
“It’s going to be more than a dollar,” Stone said after his presentation at a Gig Harbor Chamber of Commerce forum. “Definitely.”
The state sold bonds to finance the eastbound bridge’s construction under the assumption that a series of toll increases would cover rising principal and interest payments.
In addition, the state deferred payment of the sales tax on bridge construction. It must pay $5.75 million a year for 10 years starting in December.
Sen. Derek Kilmer, D-Gig Harbor, plans to introduce a bill when the legislative session begins next week to push off the start of that repayment.
Asked about the chances of getting that legislation passed, Rep. Larry Seaquist, D-Gig Harbor, responded, “We’ll try our best.”
Randy Boss, a vocal opponent of bridge tolls, asked Stone if postponing payments on the sales-tax deferral would negate the need for a toll increase. Stone said such legislation would be a “helpful element,” but he didn’t rule out the need for a toll hike.
Warren Zimmerman, president of the Gig Harbor Chamber of Commerce, said after the presentation the expected toll increase doesn’t “come as a total surprise” but “the numbers seem a little bit higher than I recall from previous conversations.”
“The businesses up and down the peninsula are all very concerned,” Zimmerman said. “This is a time where we’re just starting to see some turnaround in the economy on the peninsula. This probably couldn’t come at a worse time.”
The weak economy has taken a toll on bridge use, and fewer vehicles mean less revenue. The state has revised the estimated number of vehicles making round trips on the bridge in 2012 from 16 million to 14 million.
The bridge is projected to take in $46.2 million in revenue this year, but debt payments, operation and maintenance are expected to cost $50.3 million, according to Stone’s presentation.
The state has been drawing down its reserves to cover earlier shortfalls and forgo an earlier toll increase. In March 2010, the state transportation commission left tolls unchanged after state lawmakers postponed repayment of a $5.3 million start-up loan from the state’s gas tax account. Stone said that loan needs to be repaid.
State policy requires an $8 million reserve to pay bridge expenses for 45 days in case of emergency. Without new revenue, ongoing expenses are projected to empty the reserve in November, Stone said.
“We cannot continue down the path we’re on at this point,” he said.
The commission last raised tolls on the bridge by $1 in 2008.
Current tolls are $2.75 for customers who pre-pay electronically with Good to Go! accounts and $4 for drivers who pay cash at the tollbooths.
On Dec. 3, the state began offering a third way to pay: photo tolling, in which drivers are billed in the mail. Those who cross without stopping at a tollbooth or signing up for Good to Go! get a $5.50 bill; those who sign up for Good to Go! but don’t put the transponder on their car pay $3.
Christian Hill: 253-274-7390 christian.hill @thenewstribune.com Twitter: @TNTchill
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