What’s happening: The North Carolina Department of Transportation (NCDOT) is $13.3 billion short of what it needs for planned projects, new 10-year cost estimates show.
Why it matters: The shortfall threatens long-term construction projects. A state commission tasked with finding new ways to fund transportation projects in January issued a report saying North Carolina needs an additional $20 billion over 10 years. Some of the commission’s proposed revenue-raising measures include:
- increasing the state sales tax;
- taxing rideshare companies such as Uber and Lyft;
- increasing the state electric vehicle fee; and
- taxing people based on how far they drive.
NCDOT is also meeting with local leaders to find ways to scale back projects to save money without eliminating them.
What’s next: NCDOT officials are in the early stages of modifying planned projects. They say there is time to resolve the funding shortfalls and that projects with a 12- to 36-month timeline will remain untouched. The next update to the state transportation plan is due in December 2022.