Maryland DOT Draft Budget Charts Impact of COVIDemail@example.com September 11, 2020 0 COMMENTS
The Maryland Department of Transportation is reducing outlays within its Draft Fiscal Year 2021– 2026 Consolidated Transportation Program or CTP by $2.9 billion compared to its previous plan to account for the revenue impacts of the COVID-19 pandemic.
[Above photo by the Maryland DOT.]
The agency noted in a statement that the reduction reflects a capital budget reduction of $1.9 billion necessitated by revenue declines associated with the COVID-19 outbreak, along with “project cash flow changes and completions.” The Maryland DOT is also reducing its FY 2021 operating budget by $98 million in response to the COVID-19 induced revenue decline.
“While the numbers are starting to come back, our current six-year CTP estimates Transportation Trust Fund revenue declines across the board,” explained Gregory Slater, Maryland DOT secretary.
He said motor fuel tax collections are projected to decline by $636 million, with corresponding falloffs in vehicle titling taxes (down $190 million), corporate income tax (down $183 million), Maryland Transit Administration operating revenue (down $174 million), Maryland Aviation Authority operating revenue (down $146 million), all added to further a $100 million decline other revenues.
Over the six-year forecast period, the Maryland DOT is forecasting a total six-year revenue decline of $1.4 billion and a decrease in bond sales of $1.5 billion for a total $2.9 billion impact on the Transportation Trust Fund.
“The impact of COVID has hit every single revenue source to the Transportation Trust Fund and most revenues are not expected to return to their pre-COVID 2019 levels until fiscal 2023 or beyond,” Slater added.