Act 89 Funding Plan
On November 25, 2013, House Bill 1060 was signed into law, creating Pennsylvania's most comprehensive piece of state transportation legislation in decades. This legislation invests an additional $2.3 billion to $2.4 billion into transportation by the fifth year of the plan. Partial funding for the new transportation package is being derived from the elimination of the flat 12-cent gas tax and modernizing an outdated transportation financing structure through the uncapping of the wholesale, Oil Company Franchise Tax. The act also increased resources for transit and created a dedicated Multimodal Fund (PDF) for non-highway modes' capital needs.
Learn more about the plan in the Transportation Funding Plan Summary (PDF) created when the law was passed. To see projects made possible or in development because of the plan, visit the department's Projects website.
The plan was based on many recommendations from the then Transportation Funding Advisory Commission (PDF). The commission's recommendations are outlined in a Final Report (PDF) and the department has implemented many of the recommendations.
In 2017, the department kicked off its Road Maintenance and Preservation (Road MaP) program (PDF), which will invest $2.1 billion in maintenance and highway and bridge capital projects over the next 10 years. Of the investments, $1 billion will go to roadway maintenance and $1.1 billion will go to highway and bridge capital projects. Of the capital projects, $500 million will be allocated to an Interstate preservation and reconstruction program, bringing that total program, begun in 2016, to $1 billion over the next 10 years. Another $600 million will go toward rehabilitation and reconstruction needs identified through the department's district and regional planning efforts.
The program is possible due to legislative action in 2016 that caps the expenditures from the Motor License Fund going toward the State Police budget beginning with the 2018-19 budget and concluding with the 2027-28 budget.