October 18, 2006

ROMNEY, HEALEY: TAKE DOWN TOLLS ON WESTERN TURNPIKE

Governor Mitt Romney and Lieutenant Governor Kerry Healey today endorsed removing all tolls from the western portion of the Massachusetts Turnpike.

All tolls west of the Rt. 128 toll plaza will come down, subject to final approval by the Turnpike Authority’s board of directors. The repayment of the Western Turnpike debt will be made through a combination of reserves and by securitizing service plaza revenues. The state Highway Department will assume control of the road.

The plan will make possible a substantial reduction in costs, primarily by cutting the toll-collecting workforce and eliminating duplicative highway costs. Operation and maintenance are going to be shifted to the state - approximately $60 million, most of which will be picked up by the capital budget.

The move will save nearly $40 million in administrative overhead and toll collection costs.

“The Turnpike Authority is a mess, with an expensive cost structure and no ability to sustain itself except through higher and higher toll increases in perpetuity. This is not fair to the residents who live west of Boston and are bearing a disproportionate share of the cost of the Big Dig,” Romney said. “It’s time we start to dismantle this highly inefficient system.”

Said Healey: “Turnpike drivers have been paying too much, for too long, for too little in return. Knocking down the tolls west of Rt. 128 and eliminating this unnecessary cost burden on commuters is long overdue.”

“The Romney-Healey Administration has made toll relief a priority, and gaining control of the Turnpike Authority several months ago has allowed us to take some creative approaches to realize this goal,” said Turnpike Board Chairman John Cogliano. “This is great news for people who ride the Western Turnpike.”

The plan to take down the western tolls was contained in a report by Eric Kriss, former Secretary of Administration and Finance, who led a task force that looked at Turnpike operations. His report concluded the Turnpike “cannot continue ‘as is’ and must implement significant operational and fiscal changes as soon as possible.”

After evaluating different options, the report recommended that the Turnpike west of the Rt. 128 toll plaza cease operation as a toll road by June 30, 2007.

The Turnpike Authority board has the legal authority to act on its own, without legislative approval, and today the board voted unanimously to begin the process.

Driving the decision are two main factors: 1) the inefficiency of toll collection, where the revenue collected is not justified by the high costs, and 2) the unfairness of asking western Turnpike toll payers to subsidize the eastern portion, the so-called “Metropolitan Highway System” that consists of the Central Artery, the airport tunnels and the Boston Extension.

The report also suggests the next Governor and Legislature go one step further and consider ending all tolls east of the Rt. 128 toll plaza, except on the airport tunnels. In that case, the Turnpike Authority would need specific legislation to accomplish what is a more complicated task.

The report noted the economic, public safety and environmental benefits of eliminating tolls. Tolls lead to longer commuting times and more smog through idling. Furthermore, studies show that barrier toll plazas create a higher risk of accidents, putting the public in danger.

“No matter how you look at it, whether from a financial, economic, environmental, safety or equity point of view, there is a compelling rationale for eliminating tolls,” said Kriss.

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