Infrastructure Updates and Federal Resources for Cities

June 4, 2021

For many years, GMA has worked with city officials to document the scope of municipal infrastructure needs for water, sewer, transportation, public safety, parks and recreation and other priorities.

“Data gathered from cities in GMA Capital Needs Surveys has been essential to keeping members of Georgia’s Congressional delegation informed, along with your local stories and examples of how federal funds can be used to support local resources to complete much-needed repairs and new facilities,” said GMA Director of Federal Relations and Research Becky Taylor. “Prior to the pandemic, cities estimated their five-year capital improvement needs would exceed $20 billion. COVID-19 required local leaders to adjust local priorities to address unanticipated, urgent public health and economic issues, causing many cities to scale back or postpone infrastructure projects. Those needs haven’t gone away, and GMA and city leaders are eager for Congress to agree on federal legislation that will allow cities of all sizes to take care of critical capital improvements.”

Georgia Report Card and a Closer Look at Transportation

According to the latest American Society of Civil Engineers (ASCE) Report Card for Georgia, the state received a C+ overall, with a C- for parks, recreation and trails; D+ for wastewater; and D+ for transit. The state’s score for roads increased to a C+ thanks to the Georgia General Assembly passing the Transportation Funding Act of 2015.

“There is still a need to improve pavement conditions statewide and relieve congestion, particularly in the metro Atlanta region,” Taylor said, citing the November 2020 TRIP national transportation research report, which shows Georgia only spent 52% of the amount needed on roads, highways and bridges; only 12% of county-maintained roadways in need of resurfacing were resurfaced in 2020; and only 8% of county roads in need of reconstruction were reconstructed in 2020. At the same time, Georgia’s population is continuing to grow, placing more demands on the transportation system—with an estimated 18% increase in vehicle miles traveled in Georgia from 2014-2018. Investments in transportation improvements in Georgia play a critical role in the state’s economy.

Rebuilding for the Economy

A report by the American Road and Transportation Builders Association found that the design, construction and maintenance of transportation infrastructure supports the equivalent of about 110,000 full-time jobs across all sectors of the state’s economy, earning these workers nearly $4 billion annually. Spending by employees and companies in the transportation design and construction industry supports an additional 55,000 full-time jobs in Georgia. Transportation construction in Georgia contributes an estimated $703 million annually in state and local income, corporate and unemployment insurance taxes and the federal payroll tax. About 1.9 million full-time jobs in Georgia in key industries like tourism, retail sales, agriculture and manufacturing are dependent on the quality, safety and reliability of the state’s transportation infrastructure network.

Skin in the Game: Local Governments Investing in Themselves

Georgia’s local governments are investing in themselves. Since 2001, local voters have approved 94% of SPLOST referenda, choosing to increase their own taxes to pay for roads, water, parks and other local priorities. Between 2016 and 2020, $7.1 billion dollars in SPLOST revenues were distributed to Georgia cities and counties to pay for voter-approved capital projects. A total of 28 counties have a single-county TSPLOST, and four regions have implemented a regional TIA; nearly 60% of Georgia’s counties now have either TSPLOST or TIA. According to Taylor, local governments also invest significant amounts in loans to ensure infrastructure can be maintained and expanded. Local funds will not be enough—a long-term, strong local-state-federal partnership is needed to address our state’s infrastructure needs.

Federal Infrastructure Funding

On March 31, President Joe Biden announced the American Jobs Plan to rebuild the country’s economy and create good-paying jobs for workers in America’s cities through investments in infrastructure and workforce development. The administration’s proposed framework would include two recovery packages, with the first focused on traditional infrastructure needs and supporting the workforce to complete these projects; and a second focused on additional recovery priorities, including but not limited to helping families with challenges such as health care costs, childcare, paid leave and education.

“Infrastructure investment has bipartisan support and GMA looks forward to Congress and the Administration developing a bipartisan solution that will help the country rebuild and create jobs to strengthen the economy,” said Taylor. “This injection of federal funds on the heels of the pandemic will be important to leverage local dollars going towards infrastructure needs.”

In addition to the infrastructure package, the American Rescue Plan (ARP) will provide some opportunities for necessary investments in water, sewer or broadband infrastructure. Additional details will be released soon through Treasury’s guidance on the ARP.

Transportation Reauthorization in 2021

In addition to the federal infrastructure bill that’s in the works, Congress is also working on reauthorization of the federal transportation bill. During early 2021, city leaders weighed in with their members of Congress on local priorities and emphasized the need to get funds directly to cities.

“Local leaders know best where federal transportation dollars can be put to work most quickly,” Taylor said.

Recently, city leaders had the opportunity to meet virtually with Rep. Hank Johnson, Rep. Nikema Williams and Rep. Carolyn Bourdeaux, the three members of the Georgia Congressional Delegation who serve on the House Transportation and Infrastructure Committee, to discuss transportation needs from Districts 4, 5 and 7, and how the new transportation bill can support these efforts. During the discussion, participants emphasized the importance of a long-term solution that addresses a broad scope of transportation infrastructure needs and supports sustainable and equitable investments in public infrastructure.

As the nation emerges from the pandemic, city leaders are focused on rebuilding and ensuring the best possible future and quality of life for residents and businesses in our communities.

“Now is the time for city officials to talk with your members of Congress about your local infrastructure needs and why your city needs access to federal resources,” Taylor said.

This story originally appeared in the May/June 2021 edition of Georgia’s Cities magazine.

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