The 2018 Report confirms previous report predictions. With existing revenues (including SB 1), cities and counties can improve the local transportation infrastructure, reduce the funding shortfall, and provide Californians with safer and more efficient mobility options that support a strong economy, meet transit needs, comply with environmental policies and improve quality of life. Without these essential revenues, the system will fall into an even greater state of disrepair and cost Californians billions of dollars more in the long run.

Three funding scenarios were analyzed in the 2018 update, including one to determine the impacts of SB1 (RMRA) over the next decade. Approximately $1 billion is available for pavements, with the remainder for essential components. Note that these are in constant 2018 dollars.

1) Existing funding levels ($3.083 billion/year) – this is the current funding level and includes SB1 funds together with cost savings from paving technologies. The results are positive; for the first time in 10 years, cities and counties are able to essentially maintain pavements at their current levels. In addition, the percentage of good pavements will increase to 66.2 percent (see table).(Note that of the $1.5 billion available from SB1, approximately $1 billion was allocated to paving; the remainder was allocated for other transportation components.)

2) Existing funding without SB1 ($2.090 billion/year) – this is the funding level if SB1 were to be repealed. As expected, reduced funding would result in the PCI decreasing to 57 by 2028 and the percent of good pavements will decrease to less than half.

3) Funding required to reach BMP ($6.824 billion/year) – the optimal scenario is to bring all pavements into a state of good repair so that best management practices can prevail. To reach BMP levels (PCI = 87), $68.24 billion is needed over the next 10 years. After that, it will only require $2.5 billion a year to maintain the pavements at that level.

Scenarios Annual Budget ($B) PCI in 2028 Condition Category % Pavements in Poor/Failed

Condition % Pavements in Good Condition Current Condition (2018) – 65 At Risk 24.9% 54.7% 1. Existing Funding with SB 1 $3.083 64 At Risk 21.0% 66.2% 2. Existing Funding without SB 1 $2.090 57 At Risk 28.4% 49.6% 3. Best Management Practices $6.824 87 Excellent 0.0% 100.0%

Needs ($B) 2016 Transportation Asset 2008 2010 2012 2014 Needs Funding Shortfall Pavement $67.6 $70.5 $72.4 $72.7 $70.0 $19.8 $(50.2) Essential Components $32.1 $29.0 $30.5 $31.0 $32.1 $11.0 $(21.1) Bridges – $3.3 $4.3 $4.3 $4.3 $3.0 $(1.7) Totals $99.7 $102.8 $107.2 $108.0 $106.7 $33.7 $(73.0)

PCI by County