Potholes and politics

Throughout the state, Democrats are busily blaming Republicans for the generally poor condition of Maine roads. One state representative from Portland even carried the attack to a small weekly newspaper published many miles from his district. In another article, Rep. Sean Faircloth, D-Bangor, blamed Republicans for the roads in the September issue of Bangor Metro magazine. Another assault comes from state Sen. Joe Perry in the Bangor Daily News (“Maine road repairs can’t wait,” Aug. 23).

It is time to set the record straight.

Maine Democrats know that they can’t run for re-election on their record of bungled programs and financial failures. Voters remember their $450 million “borrowing package” to balance the budget, which outraged taxpayers. They know our tax burden is already the heaviest in the country and that our economy constricted last year. And voters know this is the end-product of 30 years of Democrat rule in the Maine House of Representatives.

No wonder Democrats are mounting an offensive against Republicans for our sorry roads. They obviously view this as a winning election strategy. Now, with their orchestrated attack well under way, they must be fervently hoping that the voters never learn the truth.

Sen. Perry and his ruling party have voted, time after time, to siphon money from the Highway Fund. Since Gov. John Baldacci took office, nearly $60 million has been transferred from the Highway Fund to the General Fund, according to the Legislature’s non-partisan Office of Fiscal and Program Review. If highway funds were so desperately needed, why did they take money from roadwork to further expand social programs?

The answer: Roads are not a priority to this governor and his legislative allies. That became clear at the outset of the 122nd Legislature. The governor immediately proposed a $197-million “bond package.” Republicans contended that this was too much, considering that Maine owes some $5.3 billion in debts and unfunded liabilities. Servicing and repaying those obligations already takes up about 20 percent of the state budget.

But Republicans also believe that good roads are a basic function of state government. Indeed, they should be funded in the budget, rather than through borrowing. There is no reason why Maine, with the highest taxes in the country, can’t have beautiful, well-maintained roads like our neighbor, New Hampshire, which enjoys the lowest taxes. But we don’t because, to repeat, roads are not a priority for the current administration.

In the battle over the governor’s huge bond package, Republicans dug in and said the total amount could not exceed $80 million. We proposed that $55 million go for roads and bridges. Democrats balked, preferring instead the governor’s plan for only $39 million for the roads.

Why did the Democrats reject our higher amount? They thought they could pressure Republicans into borrowing more funds for highway infrastructure at a later date, despite their irresponsibility during the budget negotiations.

In the supplemental budget passed last April, an additional $15 million was appropriated for highways – at Republican insistence. The Maine Department of Transportation pledged a $15 million match. Moreover, Maine is scheduled to receive 30 percent more federal highway funding over the next five years than in the previous transportation budget.

Finally, last May, when it seemed certain that we’d finish the fiscal year with a revenue surplus of at least $60 million, Republicans publicly proposed dedicating the entire amount to the Highway Fund.

Naturally, the Democrats rejected our idea. The governor wanted the money for the “rainy day” fund, which he is trumpeting proudly in his reelection campaign. But if “road repairs can’t wait,” as Sen. Perry writes, why would Democrats place a higher priority on a reserve fund than on fixing our battered highways?

That’s easy. Although Democratic leaders had pledged that there would be no more borrowing in this Legislature, their rank and file members claimed they were not party to that agreement and were not bound by it. In fact, they had another $60 million bond proposal waiting in the wings.

This was the so-called GARVEE bond, for Grant Anticipation Revenue Vehicle. GARVEE bonds are backed by the future highway dollars coming from Washington. This is the same kind of borrowing scheme that so outraged voters when the governor proposed selling off future lottery revenues – after he had already sold off future liquor store revenues.

It is completely inappropriate to use this type of bonding for general road and bridge maintenance. It is appropriate only for large, urgent projects, such as the Waldo-Hancock Bridge, which cannot be funded through the regular Highway Fund.

To make matters worse, GARVEE bonds are more expensive than traditional general obligation borrowing. The cost of a $60 million GARVEE would have exceeded $24 million in interest and fees.

Under the Democrats’ proposal, the GARVEE bond issue would have been on the November ballot. Even if it won approval, however, the funds would not have been available for use until sometime next spring. Thus, when Sen. Perry writes that, “We are now entering this winter with our roads much worse for the wear,” voters should keep in mind that even had the GARVEE bill passed the Legislature, we would still be “entering this winter” in the same situation.

As it turned out, the GARVEE bill was shot down. True to their word, all members of Democratic leadership in both House and Senate voted to kill the bill. We respect them for honoring their pledge. But we have less respect for those Democrats who continue to blame Republicans for the sad condition of our roads. They know they are wrong to do so. And now you know, too.

Rep. Darren Hall, a certified public accountant, is a first-term legislator from Holden. Rep. Dave Richardson, a retired educator, is a first-term legislator from Carmel.