DOUBLE TAX: TxDOT buyout of private toll road draws ire

Link to article here.

TxDOT Toll Road $1.7 Billion Purchase Plan Draws More Complaints from Elected Officials, Candidates

Officials and candidates see the move as a form of double taxation.

A Texas state senator, a House member, and several House candidates have joined in expressing concerns about the Texas Department of Transportation’s (TxDOT) decision to purchase the Highway 288 toll road in Harris County for $1.7 billion and continue charging tolls for its users.

Rep. Briscoe Cain (R-Deer Park) raised questions about the decision and how much it will ultimately cost taxpayers.

“How much will this cost taxpayers to pay for this existing highway, given that TXDOT plans to issue bonds at today’s rates to pay itself back for the purchase of the road?” Cain inquired in his letter posted on X.

 

Sen. Mayes Middleton (R-Galveston) also sent a letter to Chairman Bruce Bugg of TxDOT expressing his concerns about the plan to continue charging tolls on Highway 288 even after purchasing it with taxpayer dollars.

“This is a form of double taxation and is antithetical to Texas’ tax-friendly reputation,” Middleton stated in his letter.

He also pointed out that the tolls that will be charged after the purchase have the  “same built-in profit rate as the private toll operator,” which Middleton said is “far above maintenance costs.” He called on TxDOT to eliminate the tolls on the road completely.

 

Joining Cain’s and Middleton’s concerns about the purchase are nine Republican nominees for the Texas House. They include Shelley Luther, Mike Olcott, Trey Wharton, Wes Virdell, AJ Louderback, Andy Hopper, Katrina Pierson, Helen Kerwin, and David Lowe.

In their letter, the nominees recited the Republican Party platform plank that states, “We call on the Texas Legislature to abolish existing toll roads.”

While the group of nominees acknowledges that abolishing existing toll roads may require the use of public money, they decry TxDOT’s plan to continue charging tolls, saying it sets “an alarming precedent” and “amounts to nothing less than double taxation.”

The toll road was constructed by BlueRidge Transportation Group and extends about 10 miles from Blodgett Street in Harris County southward, ending approximately at the county line between Harris and Brazoria counties. According to TxDOT, “The highway serves as an important thoroughfare into Houston and the primary express artery to the world’s largest medical complex, the Texas Medical Center.”

When The Texan previously asked about the total cost of the purchase, including finance costs, TxDOT spokesperson Adam Hammons said it is “too soon for TxDOT to make specific public disclosures of debt at this time.”

About the continuing toll charges, Hammons said that TxDOT anticipates reducing toll rates in the future, but that “during the contractually required transition period,” tolling policies that require some of the toll rates to increase each year based on inflation data on January 1 will continue.


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