Road Merger Goes Nowhere

A legislative plan to merge the Tampa-Hillsborough Expressway Authority, the Orlando-Orange County Expressway Authority and the Mid-Bay Bridge Authority with the Florida Turnpike Enterprise has failed to gain headway.

Representatives of all three agencies lobbied strenuously against the plan spearheaded by state Sen. Don Gaetz, a Republican from Niceville in north Florida.

Gaetz’ plan first ran into controversy when it included the Santa Rosa Bay Bridge Authority, which is expected to have a bond payment default in June. Gaetz denied that he was attempting to bail out Santa Rosa, and withdrew it from the proposal.

Another controversial aspect of the bill was the proposed removal of discounts traditionally granted to users of electronic transponders to collect tolls, a provision eventually dropped from the measure.

Along with the mergers, the bill would have abolished several other defunct road agencies, including the Southwest Florida Expressway Authority, which lost ridership potential for its bond-financed project because of the recession.

Gaetz, who is expected to become the next president of the Senate, forwarded the merger plan, saying it would save millions by eliminating the duplication each agency represents because each hires its own staff and consultants. All three entities also owe the Florida Department of Transportation millions for operation and maintenance costs of their toll roads.

Currently, the bill is not moving forward as part of an agreement on the state’s fiscal 2012 budget, which had stalled until Tuesday when leaders of both chambers worked out a compromise over funding allocations and closing a $4 billion gap.

“Our allocations ensure that we preserve our bond ratings by maintaining adequate reserves. Most importantly, we do not take money out of the struggling Florida economy by increasing taxes or fees,” House Speaker Dean Cannon, R-Winter Park, said Tuesday in announcing a settlement of major sticking points.

Both chambers appointed budget conferees who were expected to begin final deliberations on the budget this week.

Though the merger bill hit a roadblock, there is a potential for some facets of it to be added to other legislation before the session ends May 6.

For reprint and licensing requests for this article, click here.
Transportation industry
MORE FROM BOND BUYER