WEBVTT 00:00.000 --> 00:12.111 MAINTENANCE WILL BE TOP PRIORITY IN THE NEXT FIVE YEARS. 00:12.113 --> 00:14.413 IN THE NEXT FIVE YEARS. ROUGHLY, THE MONEY WE HAVE PUT 00:14.415 --> 00:17.750 ROUGHLY, THE MONEY WE HAVE PUT INTO THE TRANSPORTATION SYSTEM 00:17.752 --> 00:21.220 INTO THE TRANSPORTATION SYSTEM IS ABOUT $8.5 BILLION. 00:21.222 --> 00:23.322 IS ABOUT $8.5 BILLION. WE FEEL IT IS OUR DUTY TO 00:23.324 --> 00:23.956 WE FEEL IT IS OUR DUTY TO PROTECTION THAT. 00:23.958 --> 00:26.692 PROTECTION THAT. >> NOW FOR THE BAD NEWS, THERE 00:26.694 --> 00:29.261 >> NOW FOR THE BAD NEWS, THERE IS A NEED FOR NEW FUNDING 00:29.263 --> 00:29.595 IS A NEED FOR NEW FUNDING SOURCES. 00:29.597 --> 00:31.663 SOURCES. >> THE WAY OF FUNDING IT THROUGH 00:31.665 --> 00:33.799 >> THE WAY OF FUNDING IT THROUGH THE GAS TAX IS NO LONGER 00:33.801 --> 00:34.133 THE GAS TAX IS NO LONGER WORKING. 00:34.135 --> 00:35.234 WORKING. IT CAN'T KEEP UP WITH THE 00:35.236 --> 00:36.502 IT CAN'T KEEP UP WITH THE CHANGES WE HAVE MADE IN OUR 00:36.504 --> 00:36.869 CHANGES WE HAVE MADE IN OUR VEHICLES. 00:36.871 --> 00:40.606 VEHICLES. WE HAVE TO FIND A DIFFERENT WAY 00:40.608 --> 00:43.542 WE HAVE TO FIND A DIFFERENT WAY OF FUNDING. 00:43.544 --> 00:48.380 OF FUNDING. >> OUR TRANSPORTATION SYSTEM. 00:48.382 --> 00:51.016 >> OUR TRANSPORTATION SYSTEM. IT'S ARIZONA WEEK. 00:51.018 --> 00:52.451 IT'S ARIZONA WEEK. >> MADE POSSIBLE IN PART BY A 00:52.453 --> 00:56.288 >> MADE POSSIBLE IN PART BY A GRANT FROM -- 00:56.290 --> 00:58.023 GRANT FROM -- THANK YOU FOR YOUR CONTINUED 00:58.025 --> 00:58.357 THANK YOU FOR YOUR CONTINUED SUPPORT. 00:58.359 --> 01:02.828 SUPPORT. ONCE AGAIN, YOUR MODERATOR -- 01:02.830 --> 01:04.530 ONCE AGAIN, YOUR MODERATOR -- >> EVERY YEAR STATE 01:04.532 --> 01:07.132 >> EVERY YEAR STATE TRANSPORTATION OFFICIALS UPDATE 01:07.134 --> 01:10.202 TRANSPORTATION OFFICIALS UPDATE PRY YORTS BASED ON NEEDS AND 01:10.204 --> 01:10.536 PRY YORTS BASED ON NEEDS AND FUNDING. 01:10.538 --> 01:14.373 FUNDING. THE STATE IS SEEKING CUTS OF 01:14.375 --> 01:15.941 THE STATE IS SEEKING CUTS OF $350 MILLION FROM PREVIOUSLY 01:15.943 --> 01:17.709 $350 MILLION FROM PREVIOUSLY PLANNED PROJECTS BY 2017. 01:17.711 --> 01:21.013 PLANNED PROJECTS BY 2017. WE LOOK AT A SERIES OF ISSUES IN 01:21.015 --> 01:25.150 WE LOOK AT A SERIES OF ISSUES IN INTERVIEWS STARTING WITH THE 01:25.152 --> 01:26.552 INTERVIEWS STARTING WITH THE DEPARTMENT OF TRANSPORTATION 01:26.554 --> 01:26.919 DEPARTMENT OF TRANSPORTATION DIRECTOR. 01:26.921 --> 01:30.989 DIRECTOR. >> YOUR AGENCY ANNOUNCED YOUR 01:30.991 --> 01:36.161 >> YOUR AGENCY ANNOUNCED YOUR AGENCY IS UNDERGOING CHANGES IN 01:36.163 --> 01:40.766 AGENCY IS UNDERGOING CHANGES IN HOW TO PRIORITIES FOR HIGHWAY. 01:40.768 --> 01:44.503 HOW TO PRIORITIES FOR HIGHWAY. >> ARIZONA HAS BEEN A STATE OF 01:44.505 --> 01:44.970 >> ARIZONA HAS BEEN A STATE OF INFRASTRUCTURE. 01:44.972 --> 01:46.672 INFRASTRUCTURE. NOW OUR REVENUES ARE SHRINKING 01:46.674 --> 01:48.340 NOW OUR REVENUES ARE SHRINKING AND WE ARE NO LONGER ABLE TO 01:48.342 --> 01:49.775 AND WE ARE NO LONGER ABLE TO EXPAND AT THE RATES THAT WE HAD 01:49.777 --> 01:51.710 EXPAND AT THE RATES THAT WE HAD PREVIOUSLY DONE SO. 01:51.712 --> 01:53.479 PREVIOUSLY DONE SO. ESSENTIALLY WE ARE ADOPTING A 01:53.481 --> 01:55.314 ESSENTIALLY WE ARE ADOPTING A FIX IT FIRST PROGRAM TO BE SURE 01:55.316 --> 01:58.317 FIX IT FIRST PROGRAM TO BE SURE WE MAINTAIN AND PRESERVE THE 01:58.319 --> 01:59.451 WE MAINTAIN AND PRESERVE THE INFRASTRUCTURE WE HAVE ON THE 01:59.453 --> 01:59.785 INFRASTRUCTURE WE HAVE ON THE GROUND. 01:59.787 --> 02:01.386 GROUND. >> I WOULD LIKE TO RETURN TO THE 02:01.388 --> 02:02.921 >> I WOULD LIKE TO RETURN TO THE MAINTENANCE ISSUES IN A MINUTE 02:02.923 --> 02:05.491 MAINTENANCE ISSUES IN A MINUTE OR TWO, BUT FIRST, THE STATE WE 02:05.493 --> 02:09.728 OR TWO, BUT FIRST, THE STATE WE ARE IN, IT'S A FINANCIAL ISSUE. 02:09.730 --> 02:13.232 ARE IN, IT'S A FINANCIAL ISSUE. >> THERE ARE THREE SOURCES. 02:13.234 --> 02:15.100 >> THERE ARE THREE SOURCES. ONE THAT VIEWERS ARE PROBABLY 02:15.102 --> 02:16.869 ONE THAT VIEWERS ARE PROBABLY MOST FAMILIAR WITH, GASOLINE 02:16.871 --> 02:17.169 MOST FAMILIAR WITH, GASOLINE TAX. 02:17.171 --> 02:18.937 TAX. THERE IS A STATE AND FEDERAL 02:18.939 --> 02:19.204 THERE IS A STATE AND FEDERAL TAX. 02:19.206 --> 02:21.840 TAX. THERE IS ALSO A VEHICLE LICENSE 02:21.842 --> 02:25.844 THERE IS ALSO A VEHICLE LICENSE TAX WHICH YOU PAY AT THE TIME OF 02:25.846 --> 02:26.278 TAX WHICH YOU PAY AT THE TIME OF REGISTRATION. 02:26.280 --> 02:28.313 REGISTRATION. THOSE ARE PROBABLY THE TWO 02:28.315 --> 02:29.982 THOSE ARE PROBABLY THE TWO BIGGEST SOURCES AND THEN THERE 02:29.984 --> 02:32.985 BIGGEST SOURCES AND THEN THERE ARE FEDERAL FUNDS FROM THE 02:32.987 --> 02:35.521 ARE FEDERAL FUNDS FROM THE FEDERAL GASOLINE TAXES COLLECTED 02:35.523 --> 02:38.657 FEDERAL GASOLINE TAXES COLLECTED AND OTHER MINOR FEES PEOPLE PAY. 02:38.659 --> 02:41.326 AND OTHER MINOR FEES PEOPLE PAY. >> WHAT DO THOSE ADD UP TO? 02:41.328 --> 02:44.496 >> WHAT DO THOSE ADD UP TO? >> THIS FISCAL YEAR PROBABLY 02:44.498 --> 02:45.030 >> THIS FISCAL YEAR PROBABLY $1.2 BILLION. 02:45.032 --> 02:47.866 $1.2 BILLION. >> NOW WE ARE SEEING THAT POOL 02:47.868 --> 02:50.435 >> NOW WE ARE SEEING THAT POOL OF MONEY SHRINK FOR A VARIETY OF 02:50.437 --> 02:50.769 OF MONEY SHRINK FOR A VARIETY OF REASONS. 02:50.771 --> 02:52.037 REASONS. WOULD YOU TALK ABOUT THAT? 02:52.039 --> 02:53.272 WOULD YOU TALK ABOUT THAT? >> CERTAINLY. 02:53.274 --> 02:57.809 >> CERTAINLY. LET ME TAKE GASOLINE TAX FIRST. 02:57.811 --> 02:59.211 LET ME TAKE GASOLINE TAX FIRST. ARIZONA'S GASOLINE TAX RIGHT 02:59.213 --> 03:02.181 ARIZONA'S GASOLINE TAX RIGHT SIDE NOT INDEXED WHICH MEANS 03:02.183 --> 03:04.249 SIDE NOT INDEXED WHICH MEANS THEY ARE SUBJECT TO INFLATION. 03:04.251 --> 03:06.818 THEY ARE SUBJECT TO INFLATION. THE RATE WAS SET IN 1992, AND IT 03:06.820 --> 03:08.887 THE RATE WAS SET IN 1992, AND IT HAS NOT BEEN RAISED SINCE. 03:08.889 --> 03:12.457 HAS NOT BEEN RAISED SINCE. WHEN YOU FACTOR IN INFLATION 03:12.459 --> 03:16.762 WHEN YOU FACTOR IN INFLATION BECAUSE THE NEW FEDERAL CAFE 03:16.764 --> 03:19.331 BECAUSE THE NEW FEDERAL CAFE STANDARDS IN 2015 IS 55 MILES 03:19.333 --> 03:22.668 STANDARDS IN 2015 IS 55 MILES PER GALLON AND THE FACT THAT 03:22.670 --> 03:25.003 PER GALLON AND THE FACT THAT PEOPLE ARE TURNING TO 03:25.005 --> 03:28.373 PEOPLE ARE TURNING TO ALTERNATIVE FUELS TO POWER 03:28.375 --> 03:30.342 ALTERNATIVE FUELS TO POWER VEHICLES, GAS CONSUMPTION HAS 03:30.344 --> 03:31.977 VEHICLES, GAS CONSUMPTION HAS BEEN SHRINKING. 03:31.979 --> 03:35.280 BEEN SHRINKING. THE LICENSED DRIVER, WE SAW THAT 03:35.282 --> 03:37.816 THE LICENSED DRIVER, WE SAW THAT FALLING WITH THE ECONOMY IN 2007 03:37.818 --> 03:39.651 FALLING WITH THE ECONOMY IN 2007 AND 2008. 03:39.653 --> 03:40.986 AND 2008. ARIZONANS WERE BUYING NEARLY 03:40.988 --> 03:43.522 ARIZONANS WERE BUYING NEARLY HALF A MILLION CARS A YEAR. 03:43.524 --> 03:45.657 HALF A MILLION CARS A YEAR. NOW THEY ARE BUYING 50% OF THAT. 03:45.659 --> 03:47.693 NOW THEY ARE BUYING 50% OF THAT. THAT, COUPLED WITH THE FACT THAT 03:47.695 --> 03:57.536 THAT, COUPLED WITH THE FACT THAT VEHICLE LICENSE TAX DEPREESH 03:57.538 --> 03:58.904 VEHICLE LICENSE TAX DEPREESH YATES EVERY YEAR DEPLETES THE 03:58.906 --> 03:59.271 YATES EVERY YEAR DEPLETES THE MONEY. 03:59.273 --> 04:01.807 MONEY. AND THE THIRD SOURCE WE HAD 04:01.809 --> 04:03.809 AND THE THIRD SOURCE WE HAD MENTIONED, THE FEDERAL FUNDS, WE 04:03.811 --> 04:06.578 MENTIONED, THE FEDERAL FUNDS, WE ARE SEEING BECAUSE OF THE 04:06.580 --> 04:08.413 ARE SEEING BECAUSE OF THE HIGHWAY TRUST FUND PROBLEMS ON 04:08.415 --> 04:10.983 HIGHWAY TRUST FUND PROBLEMS ON THE FEDERAL LEVEL, WE SEE LESS 04:10.985 --> 04:13.118 THE FEDERAL LEVEL, WE SEE LESS FEDERAL APPROPRIATIONS TO THE 04:13.120 --> 04:13.452 FEDERAL APPROPRIATIONS TO THE STATES. 04:13.454 --> 04:15.954 STATES. >> THE ANSWER SEEMS SIMPLE, 04:15.956 --> 04:19.658 >> THE ANSWER SEEMS SIMPLE, RAISE THE GASOLINE TAX OR RAISE 04:19.660 --> 04:25.797 RAISE THE GASOLINE TAX OR RAISE THE INDEX TO INFLAITION BUT IT 04:25.799 --> 04:27.332 THE INDEX TO INFLAITION BUT IT ISN'T THAT SIMPLE. 04:27.334 --> 04:29.067 ISN'T THAT SIMPLE. >> GASOLINE TAX ISN'T THE 04:29.069 --> 04:30.902 >> GASOLINE TAX ISN'T THE WORKHORSE IT USED TO BE. 04:30.904 --> 04:33.739 WORKHORSE IT USED TO BE. IT WAS ESTABLISHED BACK IN THE 04:33.741 --> 04:35.340 IT WAS ESTABLISHED BACK IN THE 1950s TO HELP BUILD THE 04:35.342 --> 04:36.742 1950s TO HELP BUILD THE INTERSTATE SYSTEM AND THAT 04:36.744 --> 04:38.443 INTERSTATE SYSTEM AND THAT FUNDING TOOL WORKED PRETTY WELL 04:38.445 --> 04:38.744 FUNDING TOOL WORKED PRETTY WELL THEN. 04:38.746 --> 04:41.513 THEN. BUT YOU CAN'T TAKE A 1950s MODEL 04:41.515 --> 04:44.683 BUT YOU CAN'T TAKE A 1950s MODEL INTO THE NEW CENTURY AND EXPECT 04:44.685 --> 04:47.653 INTO THE NEW CENTURY AND EXPECT THAT GASOLINE TAX WITH THE FUEL 04:47.655 --> 04:54.559 THAT GASOLINE TAX WITH THE FUEL ECONOMY AND THE FACT THAT THE 04:54.561 --> 04:57.162 ECONOMY AND THE FACT THAT THE STATE FAIR FROM THAT. 04:57.164 --> 04:59.564 STATE FAIR FROM THAT. >> ARE THERE ANY STATES LOOKING 04:59.566 --> 05:02.901 >> ARE THERE ANY STATES LOOKING AT ALTERNATIVE FUNDING FOR 05:02.903 --> 05:04.202 AT ALTERNATIVE FUNDING FOR TRANSPORTATION OR WHAT DO YOU 05:04.204 --> 05:06.171 TRANSPORTATION OR WHAT DO YOU SEE AS ALTERNATIVES TO WHAT WE 05:06.173 --> 05:07.105 SEE AS ALTERNATIVES TO WHAT WE DO IN ARIZONA NOW. 05:07.107 --> 05:09.308 DO IN ARIZONA NOW. >> I THINK WE WILL LOOK AT A 05:09.310 --> 05:10.742 >> I THINK WE WILL LOOK AT A VARIETY OF DIFFERENT FUNDING 05:10.744 --> 05:12.244 VARIETY OF DIFFERENT FUNDING SOURCES AND THEY WILL HAVE TO BE 05:12.246 --> 05:12.577 SOURCES AND THEY WILL HAVE TO BE DIVERSE. 05:12.579 --> 05:13.712 DIVERSE. WHAT WE HAVE SEEN IS THAT 05:13.714 --> 05:15.113 WHAT WE HAVE SEEN IS THAT BECAUSE OF THE ECONOMY AND WHAT 05:15.115 --> 05:17.416 BECAUSE OF THE ECONOMY AND WHAT IT DOES, BOTH THE VEHICLE 05:17.418 --> 05:19.384 IT DOES, BOTH THE VEHICLE LICENSE TAX AND GAS TAX, THAT 05:19.386 --> 05:21.119 LICENSE TAX AND GAS TAX, THAT THOSE FUNDS ARE NOT NECESSARILY 05:21.121 --> 05:22.821 THOSE FUNDS ARE NOT NECESSARILY SOMETHING WE CAN COUNT ON TO 05:22.823 --> 05:24.923 SOMETHING WE CAN COUNT ON TO WEATHER THROUGH GOOD TIMES AND 05:24.925 --> 05:25.490 WEATHER THROUGH GOOD TIMES AND BAD. 05:25.492 --> 05:27.326 BAD. SO WHAT SOME STATES HAVE BEGUN 05:27.328 --> 05:30.195 SO WHAT SOME STATES HAVE BEGUN TO EXPLORE, SUCH AS OREGON AND 05:30.197 --> 05:33.432 TO EXPLORE, SUCH AS OREGON AND WASHINGTON STATE, THEY HAVE BEEN 05:33.434 --> 05:35.600 WASHINGTON STATE, THEY HAVE BEEN RUNNING SOME PILOT VEHICLES ON 05:35.602 --> 05:36.568 RUNNING SOME PILOT VEHICLES ON TRAVEL TAX. 05:36.570 --> 05:38.303 TRAVEL TAX. IN ESSENCE YOU PAY A CERTAIN 05:38.305 --> 05:40.038 IN ESSENCE YOU PAY A CERTAIN AMOUNT BASED ON THE NUMBER OF 05:40.040 --> 05:40.839 AMOUNT BASED ON THE NUMBER OF VEHICLES YOU DRIVE. 05:40.841 --> 05:42.741 VEHICLES YOU DRIVE. THAT HAS BEEN LOOKED AT BY A 05:42.743 --> 05:44.943 THAT HAS BEEN LOOKED AT BY A NUMBER OF STATES AND ACROSS THE 05:44.945 --> 05:45.410 NUMBER OF STATES AND ACROSS THE COUNTRY. 05:45.412 --> 05:46.945 COUNTRY. THAT'S ONE POSSIBLE SOLUTION. 05:46.947 --> 05:48.280 THAT'S ONE POSSIBLE SOLUTION. OTHER STATES HAVE GONE TO A 05:48.282 --> 05:50.349 OTHER STATES HAVE GONE TO A COMBINATION OF RAISING GASOLINE 05:50.351 --> 05:52.651 COMBINATION OF RAISING GASOLINE TAXES, USING PERHAPS SOME SORT 05:52.653 --> 05:54.853 TAXES, USING PERHAPS SOME SORT OF SALES TAX OR COMBINATION OF 05:54.855 --> 05:56.388 OF SALES TAX OR COMBINATION OF DIFFERENT TYPES OF VEHICLE 05:56.390 --> 05:56.888 DIFFERENT TYPES OF VEHICLE REGISTRATION FEES. 05:56.890 --> 05:59.358 REGISTRATION FEES. >> SO THE REALITY IS THAT 05:59.360 --> 06:00.459 >> SO THE REALITY IS THAT FUNDING IS AN ISSUE. 06:00.461 --> 06:02.327 FUNDING IS AN ISSUE. WHAT DO YOU SEE AS FAR AS 06:02.329 --> 06:04.463 WHAT DO YOU SEE AS FAR AS CHANGES IN THE FUNDING FORMULA 06:04.465 --> 06:04.763 CHANGES IN THE FUNDING FORMULA GOES? 06:04.765 --> 06:06.465 GOES? >> WELL, I THINK IN ARIZONA 06:06.467 --> 06:07.899 >> WELL, I THINK IN ARIZONA THERE IS A LOT OF DISCUSSION 06:07.901 --> 06:12.671 THERE IS A LOT OF DISCUSSION BASED ON THE FACT THAT THE STATE 06:12.673 --> 06:16.708 BASED ON THE FACT THAT THE STATE IS REALLY AT A PIVOTAL POINT 06:16.710 --> 06:19.978 IS REALLY AT A PIVOTAL POINT BASED ON THE TRADE AND ECONOMY 06:19.980 --> 06:21.813 BASED ON THE TRADE AND ECONOMY AND THE FACT PEOPLE WANT GOOD 06:21.815 --> 06:23.215 AND THE FACT PEOPLE WANT GOOD JOBS AND ECONOMY. 06:23.217 --> 06:25.283 JOBS AND ECONOMY. THE TRANSPORTATION SYSTEM IS 06:25.285 --> 06:26.318 THE TRANSPORTATION SYSTEM IS CENTRAL TO HAVING THAT. 06:26.320 --> 06:27.819 CENTRAL TO HAVING THAT. I THINK THERE IS A LOT OF 06:27.821 --> 06:29.054 I THINK THERE IS A LOT OF DISCUSSION ABOUT WHETHER 06:29.056 --> 06:32.691 DISCUSSION ABOUT WHETHER GASOLINE TAX IS THE APPROPRIATE 06:32.693 --> 06:35.494 GASOLINE TAX IS THE APPROPRIATE MECHANISM, WHETHER A VEHICLE 06:35.496 --> 06:39.831 MECHANISM, WHETHER A VEHICLE MILES TRAVELED IS APPROPRIATE. 06:39.833 --> 06:43.135 MILES TRAVELED IS APPROPRIATE. I KNOW SENATOR FARLEY HAS 06:43.137 --> 06:43.835 I KNOW SENATOR FARLEY HAS CREATED A BILL. 06:43.837 --> 06:45.871 CREATED A BILL. >> WHEN YOU HAVE TOLD 06:45.873 --> 06:47.005 >> WHEN YOU HAVE TOLD LEGISLATORS WHAT YOU ARE DOING 06:47.007 --> 06:48.707 LEGISLATORS WHAT YOU ARE DOING AND HOW YOU ARE CHANGING 06:48.709 --> 06:49.574 AND HOW YOU ARE CHANGING PRIORITIES, WHAT KIND OF 06:49.576 --> 06:51.243 PRIORITIES, WHAT KIND OF REACTION DID YOU GET FROM THEM? 06:51.245 --> 06:52.711 REACTION DID YOU GET FROM THEM? >> I THINK THEY UNDERSTAND, 06:52.713 --> 06:56.782 >> I THINK THEY UNDERSTAND, BECAUSE I THINK THE LEDGE LATD 06:56.784 --> 06:57.382 BECAUSE I THINK THE LEDGE LATD TO 06:57.384 --> 07:00.218 TO LEGISLATURE HAS BEEN AT THE 07:00.220 --> 07:05.056 LEGISLATURE HAS BEEN AT THE FOREFRONT OF DECLINING REVENUES. 07:05.058 --> 07:10.162 FOREFRONT OF DECLINING REVENUES. THERE HAVE BEEN A LOT OF TOUGH 07:10.164 --> 07:11.863 THERE HAVE BEEN A LOT OF TOUGH QUESTIONS IN FUNDING ISSUES. 07:11.865 --> 07:14.132 QUESTIONS IN FUNDING ISSUES. THERE IS UNDERSTANDING ON THEIR 07:14.134 --> 07:15.133 THERE IS UNDERSTANDING ON THEIR PART, BUT THEY ARE CAUTIOUS 07:15.135 --> 07:16.735 PART, BUT THEY ARE CAUTIOUS ABOUT WHAT KIND OF FUNDING 07:16.737 --> 07:18.737 ABOUT WHAT KIND OF FUNDING SOURCES WE MAY UTILIZE IN THE 07:18.739 --> 07:20.071 SOURCES WE MAY UTILIZE IN THE FUTURE AND WHETHER THOSE WOULD 07:20.073 --> 07:21.306 FUTURE AND WHETHER THOSE WOULD BE SOMETHING THEY WOULD ENACT 07:21.308 --> 07:21.807 BE SOMETHING THEY WOULD ENACT INTO LAW. 07:21.809 --> 07:24.009 INTO LAW. >> LET'S TALK ABOUT THOSE 07:24.011 --> 07:24.810 >> LET'S TALK ABOUT THOSE MAINTENANCE ISSUES. 07:24.812 --> 07:26.077 MAINTENANCE ISSUES. WHAT IS INVOLVED THERE AS YOU 07:26.079 --> 07:28.914 WHAT IS INVOLVED THERE AS YOU MAKE THIS CHANGE FROM EXPANSION, 07:28.916 --> 07:31.650 MAKE THIS CHANGE FROM EXPANSION, AS YOU CALL IT, TO MUCH MORE 07:31.652 --> 07:33.251 AS YOU CALL IT, TO MUCH MORE EMPHASIS ON MAINTENANCE OF 07:33.253 --> 07:33.552 EMPHASIS ON MAINTENANCE OF ROADS? 07:33.554 --> 07:35.120 ROADS? >> WELL, I THINK IF YOU ARE 07:35.122 --> 07:37.589 >> WELL, I THINK IF YOU ARE TALKING IN LAY MILES, WE 07:37.591 --> 07:41.760 TALKING IN LAY MILES, WE PROBABLY HAVE 27,000 LANE MILES 07:41.762 --> 07:43.895 PROBABLY HAVE 27,000 LANE MILES OF HIGHWAY SYSTEM TO TAKE CARE 07:43.897 --> 07:44.162 OF HIGHWAY SYSTEM TO TAKE CARE OF. 07:44.164 --> 07:46.531 OF. IT IS AN EXTENSIVE SYSTEM AND WE 07:46.533 --> 07:49.301 IT IS AN EXTENSIVE SYSTEM AND WE HAVE A VARIED WEATHER SYSTEM IN 07:49.303 --> 07:49.634 HAVE A VARIED WEATHER SYSTEM IN ARIZONA. 07:49.636 --> 07:51.403 ARIZONA. THERE IS THE ISSUE OF THAT. 07:51.405 --> 07:53.505 THERE IS THE ISSUE OF THAT. BUT WHAT IT COMES BACK TO IS THE 07:53.507 --> 07:56.675 BUT WHAT IT COMES BACK TO IS THE FACT THAT 76% OF OUR PROGRAM 07:56.677 --> 07:58.410 FACT THAT 76% OF OUR PROGRAM ROUGHLY USED TO BE AN EXPANSION 07:58.412 --> 07:59.177 ROUGHLY USED TO BE AN EXPANSION OF THE SYSTEM. 07:59.179 --> 08:01.379 OF THE SYSTEM. NOW WE ARE SEEING ABOUT THAT 08:01.381 --> 08:03.515 NOW WE ARE SEEING ABOUT THAT SAME PERCENTAGE GOING INTO 08:03.517 --> 08:05.283 SAME PERCENTAGE GOING INTO MAINTENANCE IN ORDER TO PRESERVE 08:05.285 --> 08:07.486 MAINTENANCE IN ORDER TO PRESERVE THE INVESTMENT ON THE GROUND. 08:07.488 --> 08:08.820 THE INVESTMENT ON THE GROUND. ROUGHLY, THE INVESTMENT WE HAVE 08:08.822 --> 08:10.789 ROUGHLY, THE INVESTMENT WE HAVE PUT INTO THE TRANSPORTATION 08:10.791 --> 08:13.358 PUT INTO THE TRANSPORTATION SYSTEM HERE IN ARIZONA, IT'S 08:13.360 --> 08:15.894 SYSTEM HERE IN ARIZONA, IT'S ABOUT 18.5 BILLION FOR THE 08:15.896 --> 08:16.928 ABOUT 18.5 BILLION FOR THE HIGHWAY SYSTEM. 08:16.930 --> 08:20.198 HIGHWAY SYSTEM. WE FEEL IT IS OUR RESPONSIBILITY 08:20.200 --> 08:23.368 WE FEEL IT IS OUR RESPONSIBILITY TO THE TAXPAYERS TO PROTECT THAT 08:23.370 --> 08:23.768 TO THE TAXPAYERS TO PROTECT THAT INVESTMENT. 08:23.770 --> 08:29.975 INVESTMENT. >> NOW TO HOW WE FUND HIGHWAYS 08:29.977 --> 08:33.044 >> NOW TO HOW WE FUND HIGHWAYS AND ROADS. 08:33.046 --> 08:38.917 AND ROADS. WE HAVE A REPRESENTATIVE AND A 08:38.919 --> 08:39.618 WE HAVE A REPRESENTATIVE AND A PRESCOTT REPUBLICAN. 08:39.620 --> 08:42.487 PRESCOTT REPUBLICAN. THE STATE IS IN THE MIDDLE OF 08:42.489 --> 08:44.956 THE STATE IS IN THE MIDDLE OF UPDATING THEIR FUNDING PLAN. 08:44.958 --> 08:47.826 UPDATING THEIR FUNDING PLAN. THERE IS NOT ENOUGH FUNDS TO 08:47.828 --> 08:50.862 THERE IS NOT ENOUGH FUNDS TO MEET THE PROJECT BECAUSE THE 08:50.864 --> 08:52.597 MEET THE PROJECT BECAUSE THE FUNDING FORMULA HASN'T CHANGED 08:52.599 --> 08:53.265 FUNDING FORMULA HASN'T CHANGED IN DECADES. 08:53.267 --> 08:55.634 IN DECADES. DO YOU SEE A NEED TO CHANGE 08:55.636 --> 08:55.934 DO YOU SEE A NEED TO CHANGE THAT? 08:55.936 --> 08:58.803 THAT? >> ABSOLUTELY. 08:58.805 --> 09:05.443 >> ABSOLUTELY. THE FORMULA IS INADEQUATE. 09:05.445 --> 09:08.313 THE FORMULA IS INADEQUATE. WE HAVE HAD THE 19 CENTS GAS TAX 09:08.315 --> 09:10.048 WE HAVE HAD THE 19 CENTS GAS TAX FOR ALMOST 25 YEARS. 09:10.050 --> 09:13.919 FOR ALMOST 25 YEARS. THE SITUATION WITH OUR CARS 09:13.921 --> 09:16.588 THE SITUATION WITH OUR CARS BEING MORE FUEL ECONOMY DRIVEN, 09:16.590 --> 09:19.124 BEING MORE FUEL ECONOMY DRIVEN, THEY ARE NOT PAYING AS MUCH INTO 09:19.126 --> 09:20.692 THEY ARE NOT PAYING AS MUCH INTO THAT GAS TAX. 09:20.694 --> 09:21.860 THAT GAS TAX. THAT'S NOT NECESSARILY A BAD 09:21.862 --> 09:23.728 THAT'S NOT NECESSARILY A BAD THING, BUT THE FUNDING IS 09:23.730 --> 09:27.232 THING, BUT THE FUNDING IS RELIANT ON THAT GAS TAX. 09:27.234 --> 09:28.266 RELIANT ON THAT GAS TAX. IF THAT'S NOT THERE, THEN WE 09:28.268 --> 09:31.670 IF THAT'S NOT THERE, THEN WE DON'T HAVE THE MONEY. 09:31.672 --> 09:32.604 DON'T HAVE THE MONEY. THAT'S A PROBLEM. 09:32.606 --> 09:35.941 THAT'S A PROBLEM. >> IT'S A PROBLEM BECAUSE THE 09:35.943 --> 09:37.943 >> IT'S A PROBLEM BECAUSE THE REVENUES ARE DECREASING WITH 09:37.945 --> 09:38.743 REVENUES ARE DECREASING WITH MORE EFFICIENT CARS. 09:38.745 --> 09:41.513 MORE EFFICIENT CARS. WE WILL HAVE TO WORK THOON WITH 09:41.515 --> 09:43.014 WE WILL HAVE TO WORK THOON WITH THE PRIVATE SECTOR. 09:43.016 --> 09:44.583 THE PRIVATE SECTOR. THE STATE CAN'T SAY THIS IS WHAT 09:44.585 --> 09:45.584 THE STATE CAN'T SAY THIS IS WHAT WE ARE GOING TO DO. 09:45.586 --> 09:47.118 WE ARE GOING TO DO. WE NEED TO BE WORKING WITH 09:47.120 --> 09:47.452 WE NEED TO BE WORKING WITH PEOPLE. 09:47.454 --> 09:50.021 PEOPLE. THERE WAS A BILL INTRODUCED TO 09:50.023 --> 09:55.627 THERE WAS A BILL INTRODUCED TO HELP PEOPLE START WORKING ON 09:55.629 --> 09:56.227 HELP PEOPLE START WORKING ON THAT. 09:56.229 --> 09:59.297 THAT. IT WAS UNWIELDING, THE SIZE OF 09:59.299 --> 09:59.564 IT WAS UNWIELDING, THE SIZE OF IT. 09:59.566 --> 10:01.232 IT. BUT WE NEED TO WORK TOGETHER AND 10:01.234 --> 10:02.934 BUT WE NEED TO WORK TOGETHER AND COME UP WITH SOME SOLUTIONS. 10:02.936 --> 10:06.237 COME UP WITH SOME SOLUTIONS. I THINK WE CAN DO THAT. 10:06.239 --> 10:07.639 I THINK WE CAN DO THAT. HOW, I DON'T KNOW WHAT IT WILL 10:07.641 --> 10:09.374 HOW, I DON'T KNOW WHAT IT WILL BE, BUT OUR ROADS ARE 10:09.376 --> 10:10.508 BE, BUT OUR ROADS ARE DETERIORATING AND WE NEED TO BE 10:10.510 --> 10:13.511 DETERIORATING AND WE NEED TO BE ON TOP OF THAT. 10:13.513 --> 10:17.482 ON TOP OF THAT. ESPECIALLY IN RURAL ARIZONA, 10:17.484 --> 10:21.052 ESPECIALLY IN RURAL ARIZONA, LIKE I HAVE TO GO 100 MILES JUST 10:21.054 --> 10:30.996 LIKE I HAVE TO GO 100 MILES JUST TO GET FROM PRESCOTT TO HERE. 10:30.998 --> 10:33.098 TO GET FROM PRESCOTT TO HERE. >> IS THAT THE KEY ISSUE? 10:33.100 --> 10:35.266 >> IS THAT THE KEY ISSUE? >> NOT THE KEY ISSUE, BUT ONE 10:35.268 --> 10:35.800 >> NOT THE KEY ISSUE, BUT ONE ISSUE. 10:35.802 --> 10:38.303 ISSUE. THERE IS INTERSTATE 15 THAT GOES 10:38.305 --> 10:41.072 THERE IS INTERSTATE 15 THAT GOES ACROSS THE NORTHWEST CORNER OF 10:41.074 --> 10:41.406 ACROSS THE NORTHWEST CORNER OF ARIZONA. 10:41.408 --> 10:43.041 ARIZONA. THERE IS 20 SOME BRIDGES. 10:43.043 --> 10:44.309 THERE IS 20 SOME BRIDGES. THERE IS NO COMMERCE. 10:44.311 --> 10:46.478 THERE IS NO COMMERCE. THOSE BRIDGES ARE DETERIORATING. 10:46.480 --> 10:48.480 THOSE BRIDGES ARE DETERIORATING. THEY WERE ORIGINALLY BUILT WITH 10:48.482 --> 10:49.581 THEY WERE ORIGINALLY BUILT WITH FEDERAL MONEY. 10:49.583 --> 10:51.983 FEDERAL MONEY. NOW IT IS UP TO THE STATE TO 10:51.985 --> 10:54.052 NOW IT IS UP TO THE STATE TO MAINTAIN THOSE BRIDGES AND PUT 10:54.054 --> 10:57.455 MAINTAIN THOSE BRIDGES AND PUT THEM IN A BETTER STATE OF 10:57.457 --> 10:58.523 THEM IN A BETTER STATE OF REPAIR. 10:58.525 --> 11:01.259 REPAIR. >> WHAT KIND OF PERCENTAGE, USER 11:01.261 --> 11:02.193 >> WHAT KIND OF PERCENTAGE, USER FEE OR TAX? 11:02.195 --> 11:05.830 FEE OR TAX? >> I WANT ME TO USE THE "T" 11:05.832 --> 11:06.131 >> I WANT ME TO USE THE "T" WORD? 11:06.133 --> 11:07.432 WORD? I DON'T KNOW THAT WE NEED TO 11:07.434 --> 11:09.367 I DON'T KNOW THAT WE NEED TO CHANGE THE SYSTEM THE WAY IT IS. 11:09.369 --> 11:11.670 CHANGE THE SYSTEM THE WAY IT IS. I THINK WE NEED TO LOOK FOR 11:11.672 --> 11:13.772 I THINK WE NEED TO LOOK FOR OTHER ALTERNATIVES. 11:13.774 --> 11:15.874 OTHER ALTERNATIVES. WHAT I WOULD LIKE TO SEE IS THAT 11:15.876 --> 11:19.177 WHAT I WOULD LIKE TO SEE IS THAT WE HAVE A TASK FORCE, A STUDY 11:19.179 --> 11:21.780 WE HAVE A TASK FORCE, A STUDY GROUP THAT WE ACTUALLY BRING 11:21.782 --> 11:23.748 GROUP THAT WE ACTUALLY BRING PEOPLE TOGETHER AND LOOK AT WHAT 11:23.750 --> 11:27.986 PEOPLE TOGETHER AND LOOK AT WHAT DO WE NEED TO MAKE IMPROVEMENTS. 11:27.988 --> 11:29.854 DO WE NEED TO MAKE IMPROVEMENTS. THE WAY WE ARE FUNDING IT IS NO 11:29.856 --> 11:30.855 THE WAY WE ARE FUNDING IT IS NO LONGER WORKING. 11:30.857 --> 11:32.457 LONGER WORKING. IT CAN'T KEEP UP WITH THE 11:32.459 --> 11:33.692 IT CAN'T KEEP UP WITH THE CHANGES WE HAVE MADE IN OUR 11:33.694 --> 11:35.160 CHANGES WE HAVE MADE IN OUR VEHICLE, SO WE HAVE TO FIND A 11:35.162 --> 11:38.963 VEHICLE, SO WE HAVE TO FIND A DIFFERENT WAY OF FUNDING OUR 11:38.965 --> 11:39.798 DIFFERENT WAY OF FUNDING OUR INFRASTRUCTURE IMPROVEMENT. 11:39.800 --> 11:41.533 INFRASTRUCTURE IMPROVEMENT. >> WE HAVE TO MAINTAIN WHAT WE 11:41.535 --> 11:44.636 >> WE HAVE TO MAINTAIN WHAT WE HAVE AND FIND A WAY OF DOING NEW 11:44.638 --> 11:45.470 HAVE AND FIND A WAY OF DOING NEW ROADS. 11:45.472 --> 11:47.505 ROADS. FOR EXAMPLE, THERE IS PUBLIC 11:47.507 --> 11:49.674 FOR EXAMPLE, THERE IS PUBLIC PRIVATE PARTNERSHIPS ON A NEW 11:49.676 --> 11:51.142 PRIVATE PARTNERSHIPS ON A NEW FREEWAY. 11:51.144 --> 11:53.478 FREEWAY. IT'S INTERSTATE 11 THAT WOULD 11:53.480 --> 11:55.013 IT'S INTERSTATE 11 THAT WOULD CONNECT PHOENIX TO LAS VEGAS. 11:55.015 --> 11:58.750 CONNECT PHOENIX TO LAS VEGAS. THEY ARE LOOKING AT NEW WAYS TO 11:58.752 --> 11:59.684 THEY ARE LOOKING AT NEW WAYS TO FUND THAT. 11:59.686 --> 12:03.822 FUND THAT. DOWN FROM TUCSON DOWN TO NOGALES 12:03.824 --> 12:09.094 DOWN FROM TUCSON DOWN TO NOGALES TO THE MARIPOSA PORT OF ENTRY. 12:09.096 --> 12:15.600 TO THE MARIPOSA PORT OF ENTRY. WE NEED TO LOOK AT WAYS TO 12:15.602 --> 12:16.968 WE NEED TO LOOK AT WAYS TO FUNNELED TH 12:16.970 --> 12:18.002 FUNNELED TH FUNNELFUND 12:18.004 --> 12:19.537 FUNNELFUND THAT ROAD SO THAT VEGETABLES CAN 12:19.539 --> 12:25.410 THAT ROAD SO THAT VEGETABLES CAN GET OUT OF NOGALES. 12:25.412 --> 12:26.611 GET OUT OF NOGALES. 60% OF ARIZONA'S WINTER 12:26.613 --> 12:28.179 60% OF ARIZONA'S WINTER VEGETABLES COME IN THAT PORT AND 12:28.181 --> 12:31.950 VEGETABLES COME IN THAT PORT AND GO TO INTERSTATE 10 OR 12:31.952 --> 12:35.120 GO TO INTERSTATE 10 OR INTERSTATE 40 EAST-WEST. 12:35.122 --> 12:36.588 INTERSTATE 40 EAST-WEST. THERE ARE GOOD PEOPLE HERE WITH 12:36.590 --> 12:37.956 THERE ARE GOOD PEOPLE HERE WITH GOOD MINDS AND WE WILL FIND WAYS 12:37.958 --> 12:38.690 GOOD MINDS AND WE WILL FIND WAYS TO DO THAT. 12:38.692 --> 12:41.259 TO DO THAT. >> WHEN YOU MENTIONED 12:41.261 --> 12:42.594 >> WHEN YOU MENTIONED PUBLIC-PRIVATE PARTNERSHIP FOR 12:42.596 --> 12:45.697 PUBLIC-PRIVATE PARTNERSHIP FOR INTERSTATE 11 WHICH WOULD 12:45.699 --> 12:47.065 INTERSTATE 11 WHICH WOULD CONNECT PHOENIX AND LAS VEGAS, 12:47.067 --> 12:50.335 CONNECT PHOENIX AND LAS VEGAS, ARE YOU TALKING ABOUT A TOLL 12:50.337 --> 12:52.170 ARE YOU TALKING ABOUT A TOLL ROAD OF SOURTS SORTS. 12:52.172 --> 12:53.738 ROAD OF SOURTS SORTS. >> IT COULD BE. 12:53.740 --> 12:56.474 >> IT COULD BE. PEOPLE GET ALARMED WHEN YOU SAY 12:56.476 --> 12:59.177 PEOPLE GET ALARMED WHEN YOU SAY TOLL ROAD, BUT THIS WOULD BE A 12:59.179 --> 13:02.313 TOLL ROAD, BUT THIS WOULD BE A WHOLE NEW ROAD AND A WAY TO 13:02.315 --> 13:05.250 WHOLE NEW ROAD AND A WAY TO FUNNELED IT FUND IT. 13:05.252 --> 13:07.418 FUNNELED IT FUND IT. OVER A PERIOD OF TIME IT BECOMES 13:07.420 --> 13:08.119 OVER A PERIOD OF TIME IT BECOMES PUBLIC AGAIN. 13:08.121 --> 13:09.788 PUBLIC AGAIN. THE ECONOMY IS BAD. 13:09.790 --> 13:12.657 THE ECONOMY IS BAD. IT'S A WAY FOR US TO FUNCTION. 13:12.659 --> 13:15.426 IT'S A WAY FOR US TO FUNCTION. >> IT'S THE EQUIVALENT OF A USE 13:15.428 --> 13:17.395 >> IT'S THE EQUIVALENT OF A USE TAX BECAUSE THE USERS ARE USING 13:17.397 --> 13:17.662 TAX BECAUSE THE USERS ARE USING IT. 13:17.664 --> 13:20.031 IT. >> I DON'T WANT TO CALL IT A 13:20.033 --> 13:22.801 >> I DON'T WANT TO CALL IT A TAX, BUT IT'S A FEETO FOR THE 13:22.803 --> 13:24.135 TAX, BUT IT'S A FEETO FOR THE RIGHT TO USE THE ROAD. 13:24.137 --> 13:34.813 RIGHT TO USE THE ROAD. >> YOU TALK ABOUT A FORMATION OF 13:34.815 --> 13:35.814 >> YOU TALK ABOUT A FORMATION OF A ROAD. 13:35.816 --> 13:39.551 A ROAD. >> THERE IS NO LEGISLATION 13:39.553 --> 13:41.419 >> THERE IS NO LEGISLATION INTRODUCE THIS HAD YEAR THAT 13:41.421 --> 13:44.088 INTRODUCE THIS HAD YEAR THAT ADDRESSES THE FUNDING FOR 13:44.090 --> 13:46.925 ADDRESSES THE FUNDING FOR INFRASTRUCTURE IMPROVEMENTS. 13:46.927 --> 13:48.693 INFRASTRUCTURE IMPROVEMENTS. >>> CONSISTENTLY BUSINESSES SAY 13:48.695 --> 13:51.362 >>> CONSISTENTLY BUSINESSES SAY ONE OF THE TOP NEEDS IS A GOOD 13:51.364 --> 13:52.330 ONE OF THE TOP NEEDS IS A GOOD TRANSPORTATION SYSTEM. 13:52.332 --> 13:59.971 TRANSPORTATION SYSTEM. THE CEO TELLS WHY. 13:59.973 --> 14:01.773 THE CEO TELLS WHY. HOW IMPORTANT IS THE 14:01.775 --> 14:02.907 HOW IMPORTANT IS THE TRANSPORTATION SYSTEM FOR THE 14:02.909 --> 14:03.708 TRANSPORTATION SYSTEM FOR THE BUSINESS COMMUNITY? 14:03.710 --> 14:04.843 BUSINESS COMMUNITY? >> IT'S CRITICAL. 14:04.845 --> 14:06.845 >> IT'S CRITICAL. THERE ARE A LOT OF FACETS TO 14:06.847 --> 14:07.412 THERE ARE A LOT OF FACETS TO THAT ANSWER. 14:07.414 --> 14:09.848 THAT ANSWER. CERTAINLY WHEN YOU TALK ABOUT 14:09.850 --> 14:11.382 CERTAINLY WHEN YOU TALK ABOUT WORKFORCE, THAT'S ONE AREA WHERE 14:11.384 --> 14:13.818 WORKFORCE, THAT'S ONE AREA WHERE A GOOD TRANSPORTATION SYSTEM IS, 14:13.820 --> 14:14.953 A GOOD TRANSPORTATION SYSTEM IS, FRONT AND CENTER. 14:14.955 --> 14:17.288 FRONT AND CENTER. YOU NEED TO GET NOT ONLY CUSS 14:17.290 --> 14:18.823 YOU NEED TO GET NOT ONLY CUSS MEFT TO YOUR DOOR, BUT YOU NEED 14:18.825 --> 14:21.526 MEFT TO YOUR DOOR, BUT YOU NEED TO GET YOUR WORKFORCE TO THE 14:21.528 --> 14:21.826 TO GET YOUR WORKFORCE TO THE DOOR. 14:21.828 --> 14:23.661 DOOR. I CAN THINK OF A FEW COMPANIES 14:23.663 --> 14:25.396 I CAN THINK OF A FEW COMPANIES IN THE VALLEY WHEN THEY THINK 14:25.398 --> 14:26.831 IN THE VALLEY WHEN THEY THINK ABOUT WHERE THEY WANT TO BE, 14:26.833 --> 14:29.434 ABOUT WHERE THEY WANT TO BE, THEY PINPOINT THEIR COMPANY AND 14:29.436 --> 14:32.003 THEY PINPOINT THEIR COMPANY AND DRAW A RADIUS AROUND THAT 14:32.005 --> 14:33.905 DRAW A RADIUS AROUND THAT BECAUSE THEY KNOW THAT'S WHERE 14:33.907 --> 14:37.542 BECAUSE THEY KNOW THAT'S WHERE TEAM CAN COME IN. 14:37.544 --> 14:40.645 TEAM CAN COME IN. BEYOND THAT, THEY AREN'T GOING 14:40.647 --> 14:42.413 BEYOND THAT, THEY AREN'T GOING GET PEOPLE IN. 14:42.415 --> 14:44.883 GET PEOPLE IN. SO TO GET PEOPLE IN AS A 14:44.885 --> 14:46.684 SO TO GET PEOPLE IN AS A CUSTOMER AND TO THE BUSINESS 14:46.686 --> 14:47.352 CUSTOMER AND TO THE BUSINESS COMMUNITY, THAT'S IMPORTANT. 14:47.354 --> 14:50.822 COMMUNITY, THAT'S IMPORTANT. THERE IS AN ECONOMIC PROPONENT 14:50.824 --> 14:51.923 THERE IS AN ECONOMIC PROPONENT TO THAT. 14:51.925 --> 14:53.691 TO THAT. OUR LIGHT RAIL SYSTEM, WE WERE 14:53.693 --> 14:54.459 OUR LIGHT RAIL SYSTEM, WE WERE LATE TO THE GAME. 14:54.461 --> 14:56.494 LATE TO THE GAME. THERE IS A TRANSPORTATION PLAY 14:56.496 --> 14:58.263 THERE IS A TRANSPORTATION PLAY THERE. 14:58.265 --> 14:59.631 THERE. WHERE THAT CORRIDOR HAS GONE, 14:59.633 --> 15:01.266 WHERE THAT CORRIDOR HAS GONE, WHERE YOU HAVE SEEN THOSE TRACKS 15:01.268 --> 15:03.935 WHERE YOU HAVE SEEN THOSE TRACKS LAID HAS HAD A HUGE IMPACT IN 15:03.937 --> 15:05.069 LAID HAS HAD A HUGE IMPACT IN TERMS OF DEVELOPMENT WHICH IS 15:05.071 --> 15:06.271 TERMS OF DEVELOPMENT WHICH IS SOMETHING I DON'T THINK PEOPLE 15:06.273 --> 15:08.806 SOMETHING I DON'T THINK PEOPLE HAVE FOCUSED ON. 15:08.808 --> 15:11.576 HAVE FOCUSED ON. SAME THING WITH PEOPLE IN THE 15:11.578 --> 15:12.543 SAME THING WITH PEOPLE IN THE OUTLYING AREAS. 15:12.545 --> 15:14.412 OUTLYING AREAS. AS FREEWAYS CAME IN, BUSINESSES 15:14.414 --> 15:16.714 AS FREEWAYS CAME IN, BUSINESSES CAME IN AND YOU SAW A LOT OF 15:16.716 --> 15:18.016 CAME IN AND YOU SAW A LOT OF ECONOMIC DEVELOPMENT AND A LOT 15:18.018 --> 15:19.083 ECONOMIC DEVELOPMENT AND A LOT OF GOOD ACTIVITY. 15:19.085 --> 15:23.955 OF GOOD ACTIVITY. >> SO IS THE INFRASTRUCTURE FOR 15:23.957 --> 15:25.657 >> SO IS THE INFRASTRUCTURE FOR TRANSPORTATION IN THE PHOENIX 15:25.659 --> 15:27.926 TRANSPORTATION IN THE PHOENIX METRO AREA KEEPING PACE WITH 15:27.928 --> 15:28.593 METRO AREA KEEPING PACE WITH BUSINESS NEEDS? 15:28.595 --> 15:29.894 BUSINESS NEEDS? >> I THINK IT IS. 15:29.896 --> 15:34.632 >> I THINK IT IS. I THINK IN 2004 THERE WAS A 15:34.634 --> 15:35.566 I THINK IN 2004 THERE WAS A SALES TAX INCREASE. 15:35.568 --> 15:36.868 SALES TAX INCREASE. THAT WAS THE CHAMBER AT THE 15:36.870 --> 15:37.168 THAT WAS THE CHAMBER AT THE TIME. 15:37.170 --> 15:39.404 TIME. THE CHAMBER SUPPORTED THAT. 15:39.406 --> 15:41.706 THE CHAMBER SUPPORTED THAT. WE WERE BIG SUPPORTERS OF THAT. 15:41.708 --> 15:45.109 WE WERE BIG SUPPORTERS OF THAT. WE NEED TO MAKE THAT INVESTMENT. 15:45.111 --> 15:46.844 WE NEED TO MAKE THAT INVESTMENT. FROM THAT PERSPECTIVE WE ARE 15:46.846 --> 15:47.679 FROM THAT PERSPECTIVE WE ARE DOING WELL. 15:47.681 --> 15:49.814 DOING WELL. IN AN OVERALL PERSPECTIVE, WE 15:49.816 --> 15:51.950 IN AN OVERALL PERSPECTIVE, WE ARE RUNNING INTO PROBLEMS. 15:51.952 --> 15:55.219 ARE RUNNING INTO PROBLEMS. IF YOU LOOK AT THE DIRECTOR, ONE 15:55.221 --> 15:57.388 IF YOU LOOK AT THE DIRECTOR, ONE OF THE PROBLEMS IS WE HAD A GAS 15:57.390 --> 16:02.794 OF THE PROBLEMS IS WE HAD A GAS TAX SET BACK IN THE '80S, 17 16:02.796 --> 16:04.329 TAX SET BACK IN THE '80S, 17 CENTS PER GALLON. 16:04.331 --> 16:06.197 CENTS PER GALLON. THAT WAS DIFFERENT THEN THAN 16:06.199 --> 16:06.497 THAT WAS DIFFERENT THEN THAN TODAY. 16:06.499 --> 16:09.600 TODAY. WITH INFLATION THAT EQUALS ABOUT 16:09.602 --> 16:11.402 WITH INFLATION THAT EQUALS ABOUT 8 CENTS PER GALLON TODAY. 16:11.404 --> 16:14.305 8 CENTS PER GALLON TODAY. SO YOU HAVE INFLATION AND MORE 16:14.307 --> 16:15.273 SO YOU HAVE INFLATION AND MORE FUEL EFFICIENT VEHICLES. 16:15.275 --> 16:17.308 FUEL EFFICIENT VEHICLES. IN TERMS OF TRANSPORTATION 16:17.310 --> 16:18.443 IN TERMS OF TRANSPORTATION DOLLARS, WHAT WE ARE ABLE TO DO 16:18.445 --> 16:20.278 DOLLARS, WHAT WE ARE ABLE TO DO IS MUCH LESS THAN WHAT WE NEED. 16:20.280 --> 16:21.646 IS MUCH LESS THAN WHAT WE NEED. I WOULD SAY WE ARE MAINTAINING, 16:21.648 --> 16:23.381 I WOULD SAY WE ARE MAINTAINING, SAFE, BUT IN TERMS OF THE 16:23.383 --> 16:25.683 SAFE, BUT IN TERMS OF THE FUTURE, WE ARE GOING TO REALLY 16:25.685 --> 16:27.986 FUTURE, WE ARE GOING TO REALLY LOOK AT THIS AND SAY HOW DO WE 16:27.988 --> 16:29.821 LOOK AT THIS AND SAY HOW DO WE EXPAND IT AND LOOK AT FUTURE 16:29.823 --> 16:31.522 EXPAND IT AND LOOK AT FUTURE GROWTH AND PLAN FOR TODAY SO WE 16:31.524 --> 16:33.624 GROWTH AND PLAN FOR TODAY SO WE CAN HAVE A SYSTEM THAT WORKS FOR 16:33.626 --> 16:33.992 CAN HAVE A SYSTEM THAT WORKS FOR TOMORROW. 16:33.994 --> 16:36.461 TOMORROW. >> AS YOU SAY, BASED ON ECONOMIC 16:36.463 --> 16:37.495 >> AS YOU SAY, BASED ON ECONOMIC DEVELOPMENT AND GROWTH AND 16:37.497 --> 16:39.330 DEVELOPMENT AND GROWTH AND THAT'S THE BIG PUSH IN ARIZONA 16:39.332 --> 16:42.300 THAT'S THE BIG PUSH IN ARIZONA AND EVERYWHERE COMING OUT OF THE 16:42.302 --> 16:43.901 AND EVERYWHERE COMING OUT OF THE RECEPTION, WHAT ARE WE GOING TO 16:43.903 --> 16:50.541 RECEPTION, WHAT ARE WE GOING TO BE ABLE TO DO TO SUPPORT A 16:50.543 --> 16:52.977 BE ABLE TO DO TO SUPPORT A TRANSPORTATION MODELING SYSTEM? 16:52.979 --> 16:54.712 TRANSPORTATION MODELING SYSTEM? >> WE PARTIALLY NEED TO LOOK AT 16:54.714 --> 16:57.448 >> WE PARTIALLY NEED TO LOOK AT WHAT WE NEED TO DO NOT ONLY IN 16:57.450 --> 17:03.988 WHAT WE NEED TO DO NOT ONLY IN CHANGING IT, BUT WHAT THE THEY 17:03.990 --> 17:07.892 CHANGING IT, BUT WHAT THE THEY HAVE BEEN LOOKING AT, DUE TO THE 17:07.894 --> 17:10.495 HAVE BEEN LOOKING AT, DUE TO THE BUDGET CRISIS, A LOT OF THOSE 17:10.497 --> 17:12.330 BUDGET CRISIS, A LOT OF THOSE DOLLARS HAVE BEEN SHIFTED OR 17:12.332 --> 17:14.732 DOLLARS HAVE BEEN SHIFTED OR REDIRECTED AND NOT GONE TO 17:14.734 --> 17:16.567 REDIRECTED AND NOT GONE TO TRANSPORTATION, WHICH HAS BEEN A 17:16.569 --> 17:17.568 TRANSPORTATION, WHICH HAS BEEN A BIG PROBLEM. 17:17.570 --> 17:19.637 BIG PROBLEM. WE HAVE BEEN FOCUSED ON THAT. 17:19.639 --> 17:22.840 WE HAVE BEEN FOCUSED ON THAT. IN TERMS OF WHAT IS HAPPENING IN 17:22.842 --> 17:24.442 IN TERMS OF WHAT IS HAPPENING IN MARICOPA COUNTY, WE NEED TO LOOK 17:24.444 --> 17:27.979 MARICOPA COUNTY, WE NEED TO LOOK AT THAT FROM A TAX AND STATE 17:27.981 --> 17:28.379 AT THAT FROM A TAX AND STATE PERSPECTIVE. 17:28.381 --> 17:32.517 PERSPECTIVE. WE HAVE TO LOOK AT IT 17:32.519 --> 17:32.950 WE HAVE TO LOOK AT IT STRATEGICALLY. 17:32.952 --> 17:34.185 STRATEGICALLY. I THINK PEOPLE HAVE THEIR EYE ON 17:34.187 --> 17:34.919 I THINK PEOPLE HAVE THEIR EYE ON THAT BALL. 17:34.921 --> 17:36.354 THAT BALL. I CAN TEM YOU THAT THE CHAMBER 17:36.356 --> 17:40.191 I CAN TEM YOU THAT THE CHAMBER IS GOING TO BE VERY ACTIVELY 17:40.193 --> 17:41.459 IS GOING TO BE VERY ACTIVELY ENGAGED IN THAT CONVERSATION. 17:41.461 --> 17:44.462 ENGAGED IN THAT CONVERSATION. >> YOU OBVIOUSLY HAVE A 17:44.464 --> 17:45.430 >> YOU OBVIOUSLY HAVE A TRANSPORTATION COMMITTEE ON 17:45.432 --> 17:48.299 TRANSPORTATION COMMITTEE ON THESE ISSUES WITH CITY, COUNTY 17:48.301 --> 17:49.400 THESE ISSUES WITH CITY, COUNTY AND STATE OFFICIALS? 17:49.402 --> 17:50.568 AND STATE OFFICIALS? >> ABSOLUTELY. 17:50.570 --> 17:52.303 >> ABSOLUTELY. THERE IS ENGAGEMENT WITH THE 17:52.305 --> 17:53.838 THERE IS ENGAGEMENT WITH THE CITY IN A BIG WAY. 17:53.840 --> 17:55.573 CITY IN A BIG WAY. WHEN THE LOCAL QUESTION WAS 17:55.575 --> 17:57.241 WHEN THE LOCAL QUESTION WAS ASKED OF THE VOTERS, THE CHAMBER 17:57.243 --> 17:59.677 ASKED OF THE VOTERS, THE CHAMBER WAS VERY ACTIVE IN THAT 17:59.679 --> 18:00.078 WAS VERY ACTIVE IN THAT DISCUSSION. 18:00.080 --> 18:01.779 DISCUSSION. AT THE STATE LEVEL, ANOTHER AREA 18:01.781 --> 18:07.385 AT THE STATE LEVEL, ANOTHER AREA WE ARE ACTIVELY ENGAGED, THE 18:07.387 --> 18:11.022 WE ARE ACTIVELY ENGAGED, THE GOVERNOR'S OFFICE AS WELL AS THE 18:11.024 --> 18:11.422 GOVERNOR'S OFFICE AS WELL AS THE LEGISLATURE. 18:11.424 --> 18:14.358 LEGISLATURE. THE BIGGEST FOCUS HAS BEEN HOW 18:14.360 --> 18:17.595 THE BIGGEST FOCUS HAS BEEN HOW DO WE PROTECT THOSE DOLLARS, 18:17.597 --> 18:20.198 DO WE PROTECT THOSE DOLLARS, WHICH ARE TRANSPORTATION DOLLARS 18:20.200 --> 18:23.701 WHICH ARE TRANSPORTATION DOLLARS GOING A DIFFERENT PLACE TO FUND 18:23.703 --> 18:24.202 GOING A DIFFERENT PLACE TO FUND SOMETHING ELSE. 18:24.204 --> 18:34.412 SOMETHING ELSE. WE WILL BE WORKING WITH THE 18:34.414 --> 18:35.413 WE WILL BE WORKING WITH THE COUNCIL AS WELL AS MAG. 18:35.415 --> 18:38.749 COUNCIL AS WELL AS MAG. AND WE WILL BE LOOKING AT HOW WE 18:38.751 --> 18:41.319 AND WE WILL BE LOOKING AT HOW WE CAN DO IT STRATEGICALLY NOT JUST 18:41.321 --> 18:43.354 CAN DO IT STRATEGICALLY NOT JUST FOR THE NEEDS OF TODAY, BUT 18:43.356 --> 18:43.721 FOR THE NEEDS OF TODAY, BUT TOMORROW. 18:43.723 --> 18:45.323 TOMORROW. IF WE ARE GOING TO CONTINUE TO 18:45.325 --> 18:46.858 IF WE ARE GOING TO CONTINUE TO GROW, WE WILL NEED A PLAN FOR 18:46.860 --> 18:47.458 GROW, WE WILL NEED A PLAN FOR IT. 18:47.460 --> 18:50.595 IT. >> IS THE BUSINESS COMMUNITY 18:50.597 --> 18:56.734 >> IS THE BUSINESS COMMUNITY WILLING TO PAY FOR THE 18:56.736 --> 18:57.835 WILLING TO PAY FOR THE TRANSPORTATION WE NEED? 18:57.837 --> 18:58.936 TRANSPORTATION WE NEED? >> WE HAVE BEEN. 18:58.938 --> 19:01.139 >> WE HAVE BEEN. THERE ARE NEEDS THAT AREN'T 19:01.141 --> 19:02.373 THERE ARE NEEDS THAT AREN'T NECESSARILY MEETING THE NEEDS OF 19:02.375 --> 19:04.675 NECESSARILY MEETING THE NEEDS OF THE BUSINESS COMMUNITY OR 19:04.677 --> 19:06.811 THE BUSINESS COMMUNITY OR WEREN'T WRITTEN IN THE BEST WAY 19:06.813 --> 19:08.179 WEREN'T WRITTEN IN THE BEST WAY OF THE BUSINESS COMMUNITY OR 19:08.181 --> 19:09.680 OF THE BUSINESS COMMUNITY OR LOCAL COMMUNITY. 19:09.682 --> 19:12.617 LOCAL COMMUNITY. BUT BROADER, YES. 19:12.619 --> 19:13.651 BUT BROADER, YES. THE BUSINESS COMMUNITY 19:13.653 --> 19:15.052 THE BUSINESS COMMUNITY UNDERSTANDS YOU HAVE TO INVEST 19:15.054 --> 19:16.921 UNDERSTANDS YOU HAVE TO INVEST IN ORDER TO HAVE SOME SORT OF 19:16.923 --> 19:17.255 IN ORDER TO HAVE SOME SORT OF RETURN. 19:17.257 --> 19:19.090 RETURN. >> WHAT DO YOU SEE HAPPENING IN 19:19.092 --> 19:21.559 >> WHAT DO YOU SEE HAPPENING IN THE NEAR TERM, SHORT-TERM? 19:21.561 --> 19:23.327 THE NEAR TERM, SHORT-TERM? WHAT INFLUENCE WILL THE CHAMBER 19:23.329 --> 19:26.030 WHAT INFLUENCE WILL THE CHAMBER TRY TO HAVE ON THE STATE'S 19:26.032 --> 19:27.899 TRY TO HAVE ON THE STATE'S FIVE-YEAR TRANSPORTATION PLAN 19:27.901 --> 19:29.400 FIVE-YEAR TRANSPORTATION PLAN STILL BEING DECIDED ON? 19:29.402 --> 19:32.103 STILL BEING DECIDED ON? >> WE WILL HAVE A FULL-TIME TEAM 19:32.105 --> 19:35.206 >> WE WILL HAVE A FULL-TIME TEAM DEDICATED TO THE STATE 19:35.208 --> 19:35.606 DEDICATED TO THE STATE LEGISLATURE. 19:35.608 --> 19:38.242 LEGISLATURE. THE DIRECTOR IS IN HERE ON A 19:38.244 --> 19:40.178 THE DIRECTOR IS IN HERE ON A REGULAR BASIS TALKING TO OUR 19:40.180 --> 19:41.612 REGULAR BASIS TALKING TO OUR TRANSPORTATION COMMITTEE. 19:41.614 --> 19:43.114 TRANSPORTATION COMMITTEE. THEY ARE INTERESTED IN WHAT 19:43.116 --> 19:44.615 THEY ARE INTERESTED IN WHAT HAPPENS AND INTERESTED IN HOW WE 19:44.617 --> 19:46.350 HAPPENS AND INTERESTED IN HOW WE CAN BE A PART OF THAT 19:46.352 --> 19:46.751 CAN BE A PART OF THAT DISCUSSION. 19:46.753 --> 19:48.486 DISCUSSION. WE ARE A BIG CONSUMER OF WHAT 19:48.488 --> 19:50.888 WE ARE A BIG CONSUMER OF WHAT COMES OUT OF THAT PLAN. 19:50.890 --> 19:52.623 COMES OUT OF THAT PLAN. >> ONE INDUSTRY IN PARTICULAR IS 19:52.625 --> 19:58.029 >> ONE INDUSTRY IN PARTICULAR IS PAYING ATTENTION TO THE SHIFTING 19:58.031 --> 20:00.498 PAYING ATTENTION TO THE SHIFTING PRIORITIES. 20:00.500 --> 20:05.069 PRIORITIES. THAT'S THE PAVING ASSOCIATION. 20:05.071 --> 20:06.938 THAT'S THE PAVING ASSOCIATION. RAMON SPOKE WITH ME ABOUT IT. 20:06.940 --> 20:08.439 RAMON SPOKE WITH ME ABOUT IT. >> THANKS FOR BEING WITH ME. 20:08.441 --> 20:10.875 >> THANKS FOR BEING WITH ME. >> THANKS FOR HAVING ME. 20:10.877 --> 20:12.810 >> THANKS FOR HAVING ME. >> WHAT'S THE CURRENT STATE AS 20:12.812 --> 20:14.879 >> WHAT'S THE CURRENT STATE AS FAR AS CONTRACTING IS CONCERNED? 20:14.881 --> 20:16.614 FAR AS CONTRACTING IS CONCERNED? ARE YOU IN RECOVERY? 20:16.616 --> 20:19.050 ARE YOU IN RECOVERY? >> I THINK WE ARE IN A MODEST 20:19.052 --> 20:19.450 >> I THINK WE ARE IN A MODEST RECOVERY. 20:19.452 --> 20:22.920 RECOVERY. OUR MEMBERS RELY ON PUBLIC AND 20:22.922 --> 20:24.288 OUR MEMBERS RELY ON PUBLIC AND PRIVATE SECTORS WORK. 20:24.290 --> 20:25.990 PRIVATE SECTORS WORK. WE ARE RECOVERING ON THE PRIVATE 20:25.992 --> 20:27.592 WE ARE RECOVERING ON THE PRIVATE SECTOR SIDE, SWINGING TO THAT 20:27.594 --> 20:30.194 SECTOR SIDE, SWINGING TO THAT SIDE, BUT THE PUBLIC SECTOR IS 20:30.196 --> 20:31.896 SIDE, BUT THE PUBLIC SECTOR IS THE MAJORITY OF WHERE WE ARE 20:31.898 --> 20:32.196 THE MAJORITY OF WHERE WE ARE TODAY. 20:32.198 --> 20:34.165 TODAY. >> HAVE YOU SEEN A NUMBER OF 20:34.167 --> 20:37.068 >> HAVE YOU SEEN A NUMBER OF CHANGES THAT EXIST IN THE 20:37.070 --> 20:38.836 CHANGES THAT EXIST IN THE INDUSTRY AS A RESULT OF THE 20:38.838 --> 20:40.371 INDUSTRY AS A RESULT OF THE RECEPTION AND AFTERMATH? 20:40.373 --> 20:42.640 RECEPTION AND AFTERMATH? >> I WOULD SAY YES AND NO. 20:42.642 --> 20:44.208 >> I WOULD SAY YES AND NO. THERE ARE A LOT OF FOLKS THAT 20:44.210 --> 20:49.513 THERE ARE A LOT OF FOLKS THAT ARE STILL HERE, BUT MAY HAVE 20:49.515 --> 20:51.148 ARE STILL HERE, BUT MAY HAVE GROUPED WITH ANOTHER COMPANY. 20:51.150 --> 20:52.149 GROUPED WITH ANOTHER COMPANY. THERE ARE STILL BUSINESSES 20:52.151 --> 20:57.688 THERE ARE STILL BUSINESSES COMING OUT OF RESTHAEPCESSION TE 20:57.690 --> 21:01.993 COMING OUT OF RESTHAEPCESSION TE NOT SURE WHERE THEY WILL BE. 21:01.995 --> 21:02.660 NOT SURE WHERE THEY WILL BE. THEY ARE RELYING ON THAT. 21:02.662 --> 21:04.595 THEY ARE RELYING ON THAT. WE ARE STILL SEEING A LITTLE 21:04.597 --> 21:05.663 WE ARE STILL SEEING A LITTLE UNCERTAIN STAGE FOR THEM. 21:05.665 --> 21:08.366 UNCERTAIN STAGE FOR THEM. >> WHAT SHARE OF YOUR MEMBERSHIP 21:08.368 --> 21:13.004 >> WHAT SHARE OF YOUR MEMBERSHIP IS DEVOTED TO PUBLIC INF 21:13.006 --> 21:14.438 IS DEVOTED TO PUBLIC INF INFRASTRUCTU 21:14.440 --> 21:15.172 INFRASTRUCTU INFRASTRUCTURE, WHICH IS ROADS 21:15.174 --> 21:15.573 INFRASTRUCTURE, WHICH IS ROADS AND BRIDGES? 21:15.575 --> 21:18.576 AND BRIDGES? >> I WOULD SAY 95% OF OUR GUYS 21:18.578 --> 21:20.378 >> I WOULD SAY 95% OF OUR GUYS R. WE HAVE FOLKS WHO DO BOTH. 21:20.380 --> 21:24.181 R. WE HAVE FOLKS WHO DO BOTH. THEY RELY ON THE PUBLIC SECTOR 21:24.183 --> 21:26.484 THEY RELY ON THE PUBLIC SECTOR WORK, BUT ALSO ON THE PRIVATE 21:26.486 --> 21:27.285 WORK, BUT ALSO ON THE PRIVATE SECTOR WORK. 21:27.287 --> 21:28.552 SECTOR WORK. WE ARE IN THE STAGE WHERE WE ARE 21:28.554 --> 21:32.123 WE ARE IN THE STAGE WHERE WE ARE DOING A LOT OF PUBLIC WORK. 21:32.125 --> 21:34.091 DOING A LOT OF PUBLIC WORK. IT'S STILL ONE OF THOSE AREAS WE 21:34.093 --> 21:36.861 IT'S STILL ONE OF THOSE AREAS WE FIND THAT MEMBERS ARE TRYING TO 21:36.863 --> 21:38.696 FIND THAT MEMBERS ARE TRYING TO FIND THEMSELVES TO DO MORE 21:38.698 --> 21:40.298 FIND THEMSELVES TO DO MORE PRIVATE SECTOR WORK, BUT THE 21:40.300 --> 21:41.666 PRIVATE SECTOR WORK, BUT THE ECONOMY NEEDS TO RECOVER. 21:41.668 --> 21:43.067 ECONOMY NEEDS TO RECOVER. >> WHAT WE ARE SEEING AT THE 21:43.069 --> 21:46.404 >> WHAT WE ARE SEEING AT THE STATE LEVEL, AS WE'VE HEARD 21:46.406 --> 21:48.205 STATE LEVEL, AS WE'VE HEARD DESCRIBED BY THE TRANSPORTATION 21:48.207 --> 21:50.841 DESCRIBED BY THE TRANSPORTATION DIRECTOR IS A SWING FROM 21:50.843 --> 21:55.379 DIRECTOR IS A SWING FROM CONSTRUCTION AND EXPLANATION R 21:55.381 --> 21:56.080 CONSTRUCTION AND EXPLANATION R PAN 21:56.082 --> 21:57.181 PAN -- EXPANSION TO MAINTENANCE. 21:57.183 --> 21:59.617 -- EXPANSION TO MAINTENANCE. HOW WILL THAT AFFECT YOUR 21:59.619 --> 21:59.950 HOW WILL THAT AFFECT YOUR MEMBERS? 21:59.952 --> 22:00.985 MEMBERS? >> A LITTLE BIT. 22:00.987 --> 22:03.054 >> A LITTLE BIT. SOME OF THAT WORK WILL STILL BE 22:03.056 --> 22:04.989 SOME OF THAT WORK WILL STILL BE BID TO OUR MEMBERS, SO THEY WILL 22:04.991 --> 22:06.957 BID TO OUR MEMBERS, SO THEY WILL STILL HAVE A CHANCE TO DO WORK. 22:06.959 --> 22:07.992 STILL HAVE A CHANCE TO DO WORK. HOWEVER, BECAUSE WE ARE NOT 22:07.994 --> 22:10.261 HOWEVER, BECAUSE WE ARE NOT DOING THE HEAVY HIGHWAY 22:10.263 --> 22:12.263 DOING THE HEAVY HIGHWAY CONSTRUCTION, THE PROJECTS 22:12.265 --> 22:14.398 CONSTRUCTION, THE PROJECTS BECOME LESS VALUABLE IN TERMS OF 22:14.400 --> 22:16.100 BECOME LESS VALUABLE IN TERMS OF THE AMOUNT THEY COULD MAKE A 22:16.102 --> 22:16.467 THE AMOUNT THEY COULD MAKE A PROFIT. 22:16.469 --> 22:18.102 PROFIT. WE, UNFORTUNATELY, HAVE BEEN 22:18.104 --> 22:19.070 WE, UNFORTUNATELY, HAVE BEEN SEEING THAT SWING BECAUSE OF THE 22:19.072 --> 22:21.872 SEEING THAT SWING BECAUSE OF THE WAY THE ECONOMY HAS GONE AND THE 22:21.874 --> 22:23.908 WAY THE ECONOMY HAS GONE AND THE FUNDING THAT HAS DWINDLED OVER 22:23.910 --> 22:27.178 FUNDING THAT HAS DWINDLED OVER THE PAST COUPLE YEARS. 22:27.180 --> 22:28.045 THE PAST COUPLE YEARS. WE ARE SEEING MORE TO RECOVERY 22:28.047 --> 22:32.183 WE ARE SEEING MORE TO RECOVERY WITH ROADS, FIXING WHAT IS NOT 22:32.185 --> 22:35.286 WITH ROADS, FIXING WHAT IS NOT REPAIRED RATHER THAN ROADS WE DO 22:35.288 --> 22:35.786 REPAIRED RATHER THAN ROADS WE DO GET INVOLVED. 22:35.788 --> 22:38.789 GET INVOLVED. THAT'S A SEPARATE CONVERSATION. 22:38.791 --> 22:40.725 THAT'S A SEPARATE CONVERSATION. WE ARE STILL DOING WORK, BUT 22:40.727 --> 22:43.227 WE ARE STILL DOING WORK, BUT JUST NOT THE WORK WE DO ON A 22:43.229 --> 22:45.096 JUST NOT THE WORK WE DO ON A DAILY BASIS. 22:45.098 --> 22:49.800 DAILY BASIS. >> WHAT IMPACT DOES THAT HAVE ON 22:49.802 --> 22:51.902 >> WHAT IMPACT DOES THAT HAVE ON THE SKILLED JOBS AND JOBS? 22:51.904 --> 22:57.174 THE SKILLED JOBS AND JOBS? DO MAINTENANCE JOBS REQUIRE LSST 22:57.176 --> 22:59.009 DO MAINTENANCE JOBS REQUIRE LSST SKILL AND IS THERE A SHIFT? 22:59.011 --> 23:01.979 SKILL AND IS THERE A SHIFT? >> WE ARE LOSING SKILLED LABOR. 23:01.981 --> 23:04.048 >> WE ARE LOSING SKILLED LABOR. WE ARE GOING ELSEWHERE TO FIND 23:04.050 --> 23:04.548 WE ARE GOING ELSEWHERE TO FIND SKILLED LABOR. 23:04.550 --> 23:06.751 SKILLED LABOR. NOT ONLY THAT, WE ARE GOING TO 23:06.753 --> 23:08.185 NOT ONLY THAT, WE ARE GOING TO OTHER STATES TO DO WORK BECAUSE 23:08.187 --> 23:10.087 OTHER STATES TO DO WORK BECAUSE THAT'S WHERE THE WORK IS. 23:10.089 --> 23:11.822 THAT'S WHERE THE WORK IS. BECAUSE WE HAVE LESS SKILLED 23:11.824 --> 23:14.558 BECAUSE WE HAVE LESS SKILLED LABOR, IT'S PUTTING MORE 23:14.560 --> 23:17.061 LABOR, IT'S PUTTING MORE PRESSURE ON THE CONTRACT 23:17.063 --> 23:17.495 PRESSURE ON THE CONTRACT INDUSTRY. 23:17.497 --> 23:21.399 INDUSTRY. SOMETIMES IT RELIES NOT TO BID 23:21.401 --> 23:23.367 SOMETIMES IT RELIES NOT TO BID ON CERTAIN PROJECTS OR DO 23:23.369 --> 23:24.368 ON CERTAIN PROJECTS OR DO CERTAIN WORK BECAUSE THEY DON'T 23:24.370 --> 23:26.070 CERTAIN WORK BECAUSE THEY DON'T HAVE THE LAYUP OR EMPLOYEES TO 23:26.072 --> 23:26.570 HAVE THE LAYUP OR EMPLOYEES TO DO IT. 23:26.572 --> 23:28.472 DO IT. >> DO YOU KNOW NUMBERS OF JOBS 23:28.474 --> 23:30.074 >> DO YOU KNOW NUMBERS OF JOBS IN THE INDUSTRY THAT ARE 23:30.076 --> 23:30.875 IN THE INDUSTRY THAT ARE AFFECTED BY THIS SHIFT? 23:30.877 --> 23:32.543 AFFECTED BY THIS SHIFT? >> IT DEPENDS ON THE TYPE OF 23:32.545 --> 23:32.877 >> IT DEPENDS ON THE TYPE OF COMPANY. 23:32.879 --> 23:37.181 COMPANY. A LOT OF COMPANIES DO SPA CIVIC 23:37.183 --> 23:37.882 A LOT OF COMPANIES DO SPA CIVIC INF 23:37.884 --> 23:38.549 INF INFRASTRUCTURE WORK. 23:38.551 --> 23:40.584 INFRASTRUCTURE WORK. WHAT I'M HEARING FROM THE 23:40.586 --> 23:42.453 WHAT I'M HEARING FROM THE INDUSTRY IS THAT IN CERTAIN 23:42.455 --> 23:44.255 INDUSTRY IS THAT IN CERTAIN CASES THEY HAVE LOST 50% OF 23:44.257 --> 23:46.991 CASES THEY HAVE LOST 50% OF THEIR EMPLOYMENT SINCE LAST 23:46.993 --> 23:47.291 THEIR EMPLOYMENT SINCE LAST YEAR. 23:47.293 --> 23:49.627 YEAR. SOME OTHERS ARE STAYING STABLE. 23:49.629 --> 23:52.263 SOME OTHERS ARE STAYING STABLE. WHAT WE ARE ALSO SEEING IS THAT 23:52.265 --> 23:54.031 WHAT WE ARE ALSO SEEING IS THAT WE ARE NOT EMPLOYING THE 23:54.033 --> 23:58.803 WE ARE NOT EMPLOYING THE EMPLOYEES AS WELL AS IN THE 23:58.805 --> 24:00.604 EMPLOYEES AS WELL AS IN THE PAST. 24:00.606 --> 24:02.506 PAST. WE CAN'T OFFER THINGS TO KEEP 24:02.508 --> 24:04.308 WE CAN'T OFFER THINGS TO KEEP THEM STABLE AND PUT MONEY BACK 24:04.310 --> 24:06.510 THEM STABLE AND PUT MONEY BACK INTO THE ECONOMY. 24:06.512 --> 24:09.747 INTO THE ECONOMY. IT VARIES WITH THE TYPE OF 24:09.749 --> 24:10.848 IT VARIES WITH THE TYPE OF COMPANY YOU ARE WITH. 24:10.850 --> 24:15.319 COMPANY YOU ARE WITH. OVERALL I WOULD SAY IT'S PRETTY 24:15.321 --> 24:15.653 OVERALL I WOULD SAY IT'S PRETTY STABLE. 24:15.655 --> 24:22.326 STABLE. WE HAVEN'T SEEN MUCH TO THE 24:22.328 --> 24:22.693 WE HAVEN'T SEEN MUCH TO THE POSITIVE. 24:22.695 --> 24:25.129 POSITIVE. >> THE ISSUE IS FUNDING AT THE 24:25.131 --> 24:27.698 >> THE ISSUE IS FUNDING AT THE STATE AND LOCAL LEVEL. 24:27.700 --> 24:28.632 STATE AND LOCAL LEVEL. YOU TOLD ME BEFORE WE CAME 24:28.634 --> 24:30.568 YOU TOLD ME BEFORE WE CAME BEFORE THE CAMERA, THAT YOU WERE 24:30.570 --> 24:33.237 BEFORE THE CAMERA, THAT YOU WERE IN PHOENIX LAST WEEK TALKING 24:33.239 --> 24:34.872 IN PHOENIX LAST WEEK TALKING ABOUT THAT WHOLE ASPECT OF IT. 24:34.874 --> 24:36.340 ABOUT THAT WHOLE ASPECT OF IT. GIVE US A BRIEFING ON WHAT YOU 24:36.342 --> 24:37.308 GIVE US A BRIEFING ON WHAT YOU FOUND OUT THERE? 24:37.310 --> 24:39.343 FOUND OUT THERE? >> OVER THE LAST 12 YEARS THE 24:39.345 --> 24:43.414 >> OVER THE LAST 12 YEARS THE STATE LEGISLATURE HAS SWEPT $1.6 24:43.416 --> 24:46.784 STATE LEGISLATURE HAS SWEPT $1.6 BILLION OF HIGHWAY REVENUE USER 24:46.786 --> 24:49.086 BILLION OF HIGHWAY REVENUE USER FUNNELED FUND. 24:49.088 --> 24:51.522 FUNNELED FUND. THAT'S COMPRISED OF GAS TAX. 24:51.524 --> 24:54.391 THAT'S COMPRISED OF GAS TAX. >> THAT'S TAKING IT AWAY -- 24:54.393 --> 24:57.695 >> THAT'S TAKING IT AWAY -- >> TAKING IT AWAY AND SWEEPING 24:57.697 --> 24:58.896 >> TAKING IT AWAY AND SWEEPING IT TO OTHER THINGS. 24:58.898 --> 25:03.067 IT TO OTHER THINGS. THE LOSS IS TO THE END USER OF 25:03.069 --> 25:04.001 THE LOSS IS TO THE END USER OF THE ROAD. 25:04.003 --> 25:06.437 THE ROAD. WHAT WE HAVE HEARD IS THAT THE 25:06.439 --> 25:08.038 WHAT WE HAVE HEARD IS THAT THE LEGISLATURE IS NOT WILLING TO 25:08.040 --> 25:09.340 LEGISLATURE IS NOT WILLING TO TAKE A STEP INTO THE DIRECTION 25:09.342 --> 25:14.812 TAKE A STEP INTO THE DIRECTION OF TRYING TO FUND 25:14.814 --> 25:15.279 OF TRYING TO FUND TRANSPORTATION. 25:15.281 --> 25:17.081 TRANSPORTATION. THEY WANT TO FIND NEW AVENUES 25:17.083 --> 25:19.617 THEY WANT TO FIND NEW AVENUES AND ARE PUTTING IT ON THE BURDEN 25:19.619 --> 25:21.085 AND ARE PUTTING IT ON THE BURDEN OF THE INDUSTRY. 25:21.087 --> 25:22.686 OF THE INDUSTRY. WE WILL PROBABLY FINDING 25:22.688 --> 25:26.390 WE WILL PROBABLY FINDING OURSELVES DOING MORE MAINTENANCE 25:26.392 --> 25:30.895 OURSELVES DOING MORE MAINTENANCE WORK THAN PROJECTS TO EXPAND OUR 25:30.897 --> 25:31.362 WORK THAN PROJECTS TO EXPAND OUR INFRASTRUCTURE. 25:31.364 --> 25:33.464 INFRASTRUCTURE. IT'S LEAVING US TO FIND WITH 25:33.466 --> 25:37.968 IT'S LEAVING US TO FIND WITH THOSE AVENUES, OTHER WORK, OTHER 25:37.970 --> 25:39.069 THOSE AVENUES, OTHER WORK, OTHER POCKETS. 25:39.071 --> 25:39.670 POCKETS. WH 25:39.672 --> 25:40.170 WH -- OTHER AVENUES. 25:40.172 --> 25:44.975 -- OTHER AVENUES. WHAT WE WILL BE DOING IS LOOKING 25:44.977 --> 25:53.017 WHAT WE WILL BE DOING IS LOOKING AT STUDIES THAT ARE NOT TIED TO 25:53.019 --> 25:55.119 AT STUDIES THAT ARE NOT TIED TO THE PURSE STRINGS THE 25:55.121 --> 25:56.220 THE PURSE STRINGS THE LEGISLATURE CONTROLS. 25:56.222 --> 25:58.489 LEGISLATURE CONTROLS. WE LOOK TO GAIN DOLLARS, PUT IT 25:58.491 --> 26:03.894 WE LOOK TO GAIN DOLLARS, PUT IT BACK INTO OUR INFRASTRUCTURE. 26:03.896 --> 26:05.429 BACK INTO OUR INFRASTRUCTURE. GET PROJECTS MOVING ON TIME. 26:05.431 --> 26:08.065 GET PROJECTS MOVING ON TIME. THERE IS A LOT OF STEPS, BUT I 26:08.067 --> 26:09.633 THERE IS A LOT OF STEPS, BUT I THINK WE WILL HAVE TO LOOK AT 26:09.635 --> 26:10.434 THINK WE WILL HAVE TO LOOK AT NEW AVENUES. 26:10.436 --> 26:13.270 NEW AVENUES. >> YOU MENTIONED THE WORD TAXES. 26:13.272 --> 26:14.905 >> YOU MENTIONED THE WORD TAXES. WE HAVE ABOUT HALF A MINUTE 26:14.907 --> 26:15.272 WE HAVE ABOUT HALF A MINUTE REMAINING. 26:15.274 --> 26:17.541 REMAINING. YOU MENTIONED THE WORD TAXES. 26:17.543 --> 26:20.311 YOU MENTIONED THE WORD TAXES. AS WE SAW, A COUPLE OF 26:20.313 --> 26:21.845 AS WE SAW, A COUPLE OF LEGISLATORS DON'T WANT TO USE 26:21.847 --> 26:23.747 LEGISLATORS DON'T WANT TO USE THE WORD OR REJECT THE USE OF 26:23.749 --> 26:26.884 THE WORD OR REJECT THE USE OF THE WORD. 26:26.886 --> 26:31.689 THE WORD. WHAT DOES IT MEAN? 26:31.691 --> 26:40.030 WHAT DOES IT MEAN? >> 50% OF OUR MONEY COMES FROM 26:40.032 --> 26:41.732 >> 50% OF OUR MONEY COMES FROM WADA WASHINGTON, D.C. 26:41.734 --> 26:45.169 WADA WASHINGTON, D.C. THE CURRENT STATE OF OUR 26:45.171 --> 26:47.338 THE CURRENT STATE OF OUR GOVERNMENT ARE NOT WILLING TO OR 26:47.340 --> 26:50.874 GOVERNMENT ARE NOT WILLING TO OR HAVE NOT BEEN WANTING TO FUND 26:50.876 --> 26:52.576 HAVE NOT BEEN WANTING TO FUND TRANSPORTATION AND 26:52.578 --> 26:53.043 TRANSPORTATION AND INFRASTRUCTURE. 26:53.045 --> 26:54.578 INFRASTRUCTURE. WE ARE GOING TO SEE IN THE 26:54.580 --> 26:55.713 WE ARE GOING TO SEE IN THE FUTURE -- WE ARE GOING TO HAVE 26:55.715 --> 26:59.083 FUTURE -- WE ARE GOING TO HAVE TO COME UP WITH NEW THINGS OUR 26:59.085 --> 27:01.285 TO COME UP WITH NEW THINGS OUR COUNCIL AND GOVERNMENT IS GOING 27:01.287 --> 27:04.088 COUNCIL AND GOVERNMENT IS GOING TO HAVE TO SWALLOW. 27:04.090 --> 27:09.193 TO HAVE TO SWALLOW. >> THE EXECUTIVE DIRECTOR OF THE 27:09.195 --> 27:09.793 >> THE EXECUTIVE DIRECTOR OF THE UTILITY ASSOCIATION. 27:09.795 --> 27:10.160 UTILITY ASSOCIATION. THANK YOU. 27:10.162 --> 27:13.297 THANK YOU. >> THANK YOU. 27:13.299 --> 27:16.166 >> THANK YOU. >> SEE A LINK TO THE FIVE-YEAR 27:16.168 --> 27:16.967 >> SEE A LINK TO THE FIVE-YEAR TRANSPORTATION PLAN. 27:16.969 --> 27:19.470 TRANSPORTATION PLAN. THAT'S OUR PROGRAM FOR FRIDAY, 27:19.472 --> 27:22.272 THAT'S OUR PROGRAM FOR FRIDAY, MARCH 22, 2013. 27:22.274 --> 27:23.707 MARCH 22, 2013. NEXT FRIDAY ANOTHER FINANCIALLY 27:23.709 --> 27:27.011 NEXT FRIDAY ANOTHER FINANCIALLY FRAUGHT TOPIC, THE PRECARIOUS 27:27.013 --> 27:29.480 FRAUGHT TOPIC, THE PRECARIOUS STATE OF PUBLIC PENSION FUNDS. 27:29.482 --> 27:33.482 >> PRODUCTION OF "ARIZONA WEEK" IS MADE POSSIBLE IN PART BY --