Governor McCrory Announces New Funding Formula for Transportation Projects

Last Updated on April 22, 2013 2:23 pm

Governor Pat McCrory unveiled a new proposal on Thursday (April 18,2013) for funding transportation projects in North Carolina. Called the “strategic mobility formula” the Governor says it will accelerate North Carolina’s infrastructure investments and encourage greater economic growth by allowing NCDOT to use existing funds more efficiently, significantly increasing the number of projects to better connect economic regions and create more jobs.

“We need a strategic way to connect all North Carolinians to greater opportunities in a way that gives us the most bang for our limited dollars,” Governor McCrory said. “We want to ensure that all of our people have access to jobs, quality education, health care and recreation.”

NCDOT estimates the strategic mobility formula will fund at least 260 projects and create more than 240,000 jobs over the next 10 years. The formula is data driven, incorporates more local feedback and allows all modes of transportation to compete for funding.

The new strategic mobility formula takes a tiered approach that aligns available funding with the state’s greatest transportation priorities. Under the new formula, 40 percent of funding over the next 10 years is allocated to the statewide level, with an additional 40 percent allocated to the regional level and the remaining 20 percent allocated to the division level.

“With our population growing rapidly and transportation revenues continuing to decline, we have to be efficient and strategic in the way we fund, distribute and prioritize projects that are aligned with commerce,” NCDOT Secretary Tony Tata said. “The strategic mobility formula increases our ability to have the highest impact and address the greatest needs.”

NCDOT is working closely with the Department of Commerce to invest in infrastructure that will help attract, retain and grow business in North Carolina.

“Collaboration across agencies is critical if we are going to transform our state’s economy,” said Commerce Secretary Sharon Decker. “We need to think differently and work together in innovative ways to make a lasting impact in all areas of our state.”

“Making impactful change requires strong collaboration,” added Governor McCrory. “Government agencies working in silos doesn’t work for the people of North Carolina.”

Statewide Level
• Projects that address traffic congestion and bottlenecks of statewide significance will receive
40% of the available revenue, totaling $6.4 billion over 10 years.
• The project selection process will be 100% data-driven, meaning the department will base its
decisions on hard facts such as crash statistics and traffic volumes.

Regional Level
• Projects that will increase access and mobility for entire regions of the state will receive 40%
of the available revenue, equaling $6.4 billion over a decade based on regional population.
Projects on this level compete within specific regions made up of two NCDOT Transportation
Divisions. The map below shows these regions. For example, Divisions 1 and 4 are paired
together to form a single region.

• NCDOT will select applicable projects for funding using two weighted factors. Data
will comprise 70% of the decision-making process and local rankings by area planning
organizations will round out the remaining 30% at this level.

Local Level
• Projects that will reduce localized congestion, improve safety concerns and increase
connectivity will receive 20% of the available revenue shared equally over NCDOT’s 14
transportation divisions. That totals $3.2 billion over 10 years.

• The department will choose projects based 50% on data and 50% on local rankings.

Several lawmakers plan to propose legislation for the strategic mobility formula this session. For more information see NCDOT Strategic Mobility Formula website

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