Posted: | April 17, 2013 11:19 AM |
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From: | Senator Donald C. White |
To: | All Senate members |
Subject: | PennDot-Municipality Reimbursement |
In the near future, I will introduce legislation requiring the Pennsylvania Department of Transportation (PENNDOT) to develop a new reimbursement program for municipal authorities who are required to move water and sewer lines as a direct result of PENNDOT road and bridge projects. Currently I have municipal authorities in my district required to move water lines that are only 10 years old to accommodate a road realignment project. Unfortunately, PENNDOT has a current policy of reimbursing only 50% of the cost for relocation, regardless of the age and condition of the lines. As we discuss transportation funding enhancements, the issue of utility relocation reimbursement is likely to increase significantly, resulting in greater financial pressure on municipal authorities to relocate water and sewer lines that are not in need of repair. Ultimately, the authority ratepayers must pick up the tab for half the cost of relocation because they are mandated to do so by PENNDOT. My legislation will require PENNDOT to reimburse municipal authorities based on the age of the lines to be relocated. While there is no benefit to an authority that must replace a line that is new, there should also be a recognition that PENNDOT should not have to carry the burden of replacing a line that is in need of repair regardless of the highway project. Therefore, under my legislation, PENNDOT would be required to reimburse municipal authorities for line relocations based on the age of the lines at the following levels: Utility lines less than 10 years old – 95% Utility lines between 10 and 20 years old – 80% Utility lines between 20 and 30 years old – 65% Utility lines between 30 and 40 years old – 50% Utility lines older than 40 years – 35% |