DES MOINES, Iowa (AP) — Gov. Terry Branstad released a report Tuesday saying state transportation officials have identified $50 million in savings that can be used to bolster highway funding in the state.
Of the savings, $33 million are annual savings, while $17 million is in one-time savings. They range from streamlining the process of issuing permits to partnering with local governments for road projects.
A commission named by the governor recommended increasing the state's gasoline tax by eight to 10 cents a gallon, but Branstad said he wants to find ways to more efficiently spend $1.2 billion in road money before doing that.
"In a time when Iowans across the state are tightening their belts, state government must spend dollars we receive more efficiently and streamline operations to maximize every dollar," Branstad said.
The governor unveiled the report during a speech at an Iowa Transportation event in Des Moines and said the savings were identified by Department of Transportation Director Paul Trombino. In the report, Trombino said officials identified 13 separate programs where savings can be found, but more will have to be done to actually realize those savings
"Many of the efficiency items will need input, refinement and partnership from cities, counties, other local jurisdictions and stakeholder interest groups," said Trombino. He said meetings are being scheduled "to help identify potential efficiency measures and strategies for moving forward."
The largest single efficiency Trombino identified was $10 million he said can be found by putting in place budget management policies to deliver projects ahead of schedule.
He also said $8 million can be found by putting in place mechanisms to more efficiently collect the myriad of fees to the agency. That would include putting online renewals for driver licenses, a move that would eliminate 124,000 trips to the agency's offices every year.
Some of the changes would require approval from the legislature, while others would go before the Iowa Transportation Commission.
As part of the savings, Trombino said he would cut the current $4.2 million to maintain highway rest stations to $3.7 million. Trombino also said he wants to cut $1 million from the current $3.5 million being spent on roadside maintenance. Another $1 million can be brought in by selling right of ways the state has purchased but no longer needs, he said.
Trombino delivered his report this week to Branstad, who said he's confident the savings will eventually be found.
"I recognize some of these measures will require legislative action, approval of the Iowa Transportation Commission or cooperation with other federal, state and local agencies," the governor said.
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