HAMPTON ROADS TRANSPORTATIONACCOUNTABILITY COMMISSION

Economic Vitality and Quality of Life Unlocking Hampton Roads

HRTAC Background and Project OverviewKevin B. Page

Executive Director

5/15/2019

CONGESTION/FUTURE CONNECTIVITY2040 Population

2040 Employment

2

The Stage is set for Regional Transportation Solution Consensus Building 

• For two decades the Region has identified these projects  

Unlocking

 Ham

pton

 Roads

3

MOVING THEREGIONFORWARDHRTAC/HRTFOverview

• Hampton Roads Transportation Fund created 2013 Acts of Assembly HB2313

• HRTAC  created 2014 Acts of Assembly HB1253 – Hired Executive Director August 2015

• Empowered to procure, finance, build and operate highway, bridge, tunnel, rail and transit projects in Hampton Roads

• Authorized to use HRTF monies and tolls for new  construction projects on new or existing highways, bridges and tunnels and to issue bonds using revenues to support bond debt

• Regional Collaboration ‐Works closely with the Hampton Roads Transportation Planning Organization (HRTPO) who determines Project Prioritization for the region

Unlocking

 Ham

pton

 Roads

4

19 Voting members

4 Non‐Voting Ex‐officio membersCommonwealth Transportation Board MemberVirginia Department of TransportationVirginia Department of Rail and Public TransportationVirginia Port Authority

• June 21, 2017 ‐Michael Hipple elected Chair and Linda Johnson elected Vice‐Chair• HRTAC is a political subdivision of the Commonwealth• Primarily funded with HB 2313 revenue (Hampton Roads Transportation Fund) 

approved by the 2013 General Assembly

10 Cities 4 CountiesChesapeake Isle of WightFranklin James CityHampton SouthamptonNewport News YorkNorfolkPoquoson 5 VA General Assembly MembersPortsmouth Two Members of the SenateSuffolk Three Members of the House of 

DelegatesVirginia BeachWilliamsburg

HRTACMembership

Unlocking

 Ham

pton

 Roads

5

Legislation:CongestionReliefHRTAC (HB 1253, 2014)• “…shall give priority to those projects that are expected to provide the greatest impact on reducing congestionfor the greatest number of citizens  residing within Planning District 23…”

Statewide Prioritization Process (HB 2, 2014)• “…Hampton Roads highway construction districts…shall ensure that congestion mitigation…is weighted highest among the factors in the prioritization process…”• 45% weighted factor in Hampton Roads 6

Unlocking

 Ham

pton

 Roads

• Allows investment and provides liability protections• Allows counties to designate a representative• Allows all localities to have representation at the meetings if Chief Elected Officer or County Designee is unable to attend. Notice must be given 48 hours before meeting if regular member is unable to attend

• Administrative and operating expenses shall be paid by HRTAC Revenues

GeneralAssembly– 2016HRTACOmnibusBillHB1111

FineTuningHRTAC

7

Unlocking

 Ham

pton

 Roads

GeneralAssemblyActions– 2016Tolling

• Language within the State budget establishes new toll policy restricting CTB, VDOT, HRTAC, and NVTA from tolling existing un‐tolled lanes without General Assembly approval except on:• HOV/HOT Lanes• New Lane capacity• New bridges • Short segments of highways between existing toll 

facilities• Legislation was adopted allowing better collection of unpaid toll bills 

from other states• HRTAC now has state guidance on tolling

8

Unlocking

 Ham

pton

 Roads

DefiningtheRolesoftheHRTPOandHRTAC

Unlocking

 Ham

pton

 Roads

9

EVOLUTION OFHRTACProjects

• HRTPO Long Range Transportation Plan identifies priority projects in the constrained plan or vision plan as under study/development/construction 

• HRTAC develops a six‐year and long range plans of finance to guide in project funding for development and construction – HRTAC feeds LRTP funding plans

• HRTAC allocates funds to specific projects, asks that the HRTPO add them to the TIP

• The CTB selects the Local Preferred Alternative, maintains Statewide Transportation Improvement Program, allocates state funding to projects in Six Year Improvement Program – awards Smart Scale funding

• VDOT assists in project readiness and construction through HRTAC/VDOT MOA and HRTAC project construction agreements

Plan

•HRTPO  (Long‐Range Transportation Plan with HRTAC Input)•Prioritizes Projects Based on Project Readiness with HRTAC Input

Program•HRTAC (Six‐Year and Long Range Plans of Finance)•CTB (Six‐Year Improvement Program)•HRTPO (Adds HRTAC Projects to Transportation Improvement Program)

Finance & Deliver•HRTAC (Regional Tax Funding/Bonding, Toll Revenues/Bonding, and Smart Scale  Grants – Contracts with VDOT or Others to Deliver Projects)•VDOT – Smart Scale Funding (Constructs Projects Contracted by HRTAC)

Unlocking

 Ham

pton

 Roads

10

2040LRTP: RegionalPriorityProjects

• I‐64 Peninsula Widening• I‐64/I‐264 InterchangeI• I‐64 Southside Widening/High‐Rise Bridge ‐ Phase 1II

•Hampton Roads Crossing:  Alternative A ‐ HRBTIII

• I‐64 Southside Widening/High‐Rise Bridge ‐ Phase 2IV

• I‐64/Fort Eustis Blvd Interchange•US Route 460/58/13 Connector•Bowers Hill Interchange

V

‘Sequencing Based on Project Readiness’

A major step forward in Regional Consensus Building ‐ February 18, 2016

11

19 Voting members

4 Non‐Voting Ex‐officio membersCommonwealth Transportation Board MemberVirginia Department of TransportationVirginia Department of Rail and Public TransportationVirginia Port Authority

• June 21, 2017 ‐Michael Hipple elected Chair and Linda Johnson elected Vice‐Chair• HRTAC is a political subdivision of the Commonwealth• Primarily funded with HB 2313 revenue (Hampton Roads Transportation Fund) 

approved by the 2013 General Assembly

10 Cities 4 CountiesChesapeake Isle of WightFranklin James CityHampton SouthamptonNewport News YorkNorfolkPoquoson 5 VA General Assembly MembersPortsmouth Two Members of the SenateSuffolk Three Members of the House of 

DelegatesVirginia BeachWilliamsburg

HRTACMembership

Unlocking

 Ham

pton

 Roads

12

I‐64 Peninsula Widening:  Segment 1 Project Cost:  $114 Million $100 Million Federal/State Funds $14 Million HRTAC Completed and Opened to the Public 

December 1, 2017

I‐64 Peninsula Widening:  Segment 2 Estimated Project Cost:  $176 Million Under Construction Estimated Completion: May 2019 $176 Million HRTAC

I‐64 Peninsula Widening:  Segment 3 Estimated Project Cost:  $244 Million Under Construction Estimated Completion:  2021 $121 Million Federal/State Funds $123 Million HRTAC

I‐64/HRBT Widening Estimated Project Cost:  $3.862 Billion Under Construction Estimated Completion:  2025 $3.562 Billion HRTAC

I‐64/I‐264 Interchange Improvements Phase 1 ‐ Under Construction:  $157 Million Estimated Completion:  2019 Phase 2 – Under Construction:  $195 Million Estimated Completion:  2021 Phase 3 ‐ Design Funded:  $10 Million $69 Million Federal/State Funds $2.8 Million Local $290 Million HRTAC

I‐64 Southside/High‐Rise Bridge Widening Phase 1 – Construction Pending:  $530 Million Estimated Completion:  2021 $98 Million Federal/State Funds $432 Million HRTAC

Hampton Roads Regional Connectors Study Study Funded:  $3 Million $3 Million HRTAC (+ $4 Million HRTAC Contingency)

April 2019

Hampton Roads Regional Transportation Priority Projects“Moving Projects Forward – HRTAC Investments”

Projects Planned and Prioritized by HRTPO, Powered by HRTAC

Bowers Hill Interchange Estimated Project Cost:  $659 Million Study Funded:  $4 Million $4 Million HRTAC

I‐64 Peninsula Widening:                          Ft. Eustis Blvd. Interchange

Estimated Project Cost:  $320 Million Included in 2040 LRTP

Hampton Roads Regional Priority ProjectsESTIMATED OPENINGYEAR

PROJECT ESTIMATED PROJECT COST ($MILLIONS)

2017‐2022 I‐64 Peninsula – Segments 1, 2, and 3 $534

2019‐2021 I‐64/I‐264 Interchange – Phases I and II $352

2019 I‐64/I‐264 Interchange – Phase III Study $10

2021 I‐64 Southside/High‐Rise Bridge – Phase I $530

2025 I‐64/Hampton Roads Bridge‐Tunnel $3,862

2037 I‐64 Southside/High‐Rise Bridge – Phase II $1,700

2037 Bowers Hill Interchange $659

2038 I‐64/Fort Eustis Blvd Interchange $320

Vision PlanI‐564/I‐664 Connector (Patriots Crossing)I‐664/Monitor‐Merrimac Memorial Bridge‐TunnelVA 164/164 Connector

Unlocking

 Ham

pton

 Roads

13

MOVING THEREGIONFORWARDSIGNIFICANTPROGRESS

• Current HRTAC Projects Under Agreement:• ~ $5.17B total value $4.64B HRTAC Funded

• Recent HRTAC Accomplishments:• Cut Ribbon on I‐64 Peninsula Widening Segment 1 project 

• Broke Ground I‐64 Southside Widening/High Rise Bridge Project Phase I ‐ January 2018

• Inaugural HRTAC/HRTF Bond Offering ‐ January 2018

• Adopted HRTAC Short and Long‐Range funding plans – June 2018

• Confirmed $3.562B HRBT Expansion Project Funding Plan/TIP Amendment – December 2018

• April 2019 – HRTAC/VDOT Executed HRBT Project Agreement 

Unlocking

 Ham

pton

 Roads

14

Description: Widen 5.4 miles of I‐64 to include new general purpose lane and widening of 6 existing bridges. 

Images source: VDOT

Jefferson Ave. exit 255 to Rte. 238 exit 247

Cost: $114 million

Status: Completed and open to the 

Public(December 1 , 2017)

I-64 Peninsula Widening – Segment 1

15

Description: Widen 6.7 miles of I‐64 to include new general purpose lane, reconstruction of existing lanes, and widening of 9 existing bridges. 

Images source: VDOT

Rte. 238 exit 247 to Rte. 199 exit 242

Cost: $176 million

Status: Notice to Proceed (NTP) February 2016(est. completion date May 2019)

I-64 Peninsula Widening – Segment 2

16

16

Description: Widen 8.2 miles of I‐64 to include new general purpose lane, replacing two existing bridges, and widening of 4existing bridges. 

Image source: VDOT

Rte. 199 exit 242 to Rte. 199 exit 234

Cost: $244 million

Status: Notice to Proceed (NTP) January 2018

(est. completion date Sept. 2021)

I-64 Peninsula Widening – Segment 3

17

Description: Widen WB I‐264 between Twin Bridges and I‐264, construct new 2‐lane flyover ramp, 2‐lane EB I‐264 CD road, exit ramp from WB I‐64 to new CD road. 

I‐64/I‐264 Ramp Improvements

Cost: $157 million

Status: Project Notice to Proceed (NTP) October 2016

(est. completion date October 2019)

I-64/I-264 Interchange – Phase 1 Source: VDOT

Source: VDOT

18

Description: Extend CD road from Newtown Rd. to Witchduck Rd., reconfigure Newtown Rd. & Witchduck Rd. Interchanges, Construct Greenwich Rd. flyover.

I‐264/Newtown Rd. to I‐264/Witchduck Rd. Interchanges 

Cost: $195 million

Status: Notice to Proceed (NTP) February 

2018(est. completion date September 2021)

I-64/I-264 Interchange – Phase 2 Source: VDOT

Source: VDOT

19

Description: Widen 8.75 miles of I‐64 to include new managed lane and left shoulder, widen six existing bridges, replace one existing bridge, and construct new High Rise Bridge – Phase 1.

Widen from I‐64/I‐464 to  I‐64/I‐264/I‐664 at Bowers Hill

Cost: $532 million

Status: Phase I Notice to Proceed (NTP) November 2017

(est. completion date July 2021)

I-64 Southside Widening/High Rise Bridge – Phase 1Source: VDOT

Source: VDOT

20

Description: Expand the Hampton Roads Bridge Tunnel and provide 6‐lane capacity on I‐64 from the Settlers Landing Rd. Interchange to the I‐564 Interchange.

I‐64 from Settlers Landing Rd. Interchange to I‐564 Interchange

Estimated Cost:  $3.8 billion

Status: April 2019, HRTAC/VDOT executed funding agreement.  DB contract signed by VDOT (estimated  completion 2025)  

I-64/HRBT Widening Source: VDOT

Source: VDOT

*Estimates are expressed in Year of Expenditure (YOE) in order to account for inflation  

21

22

HRBT Project Cost and HRTAC Cost Share• Total project cost is $3.862B – Including South Trestle Bridges

• $3.300B DB contract and $562M other costs

• South Trestle costs: $95M DB price and $14M other costs, totaling $109Mo Allocable project development and contingency costs to South Trestle is 

based on its share in the $3.300B DB price.

• $3.753B net of South Trestles is the adjusted total value of the HRBT capacity improvement project.

• Options not included in the project total include I‐564 Direct Connectors and Bridge Repair Option Work (not deemed as Deferred/Preventive Maintenance Work).

inmillions

HRBTProjectCost SouthTrestle NetofSouthTrestle(New

Capacity Project)

ProjectDevelopment(PE&CEI) $122 $4 $118

Right‐of‐Way $15 $15

Design‐BuildContract(NottoExceed) $3,300 $95 $3,205

NoExcusesIncentive $90 $90

Contingency $335 $10 $325

Total $3,862 $109 $3,753

23

HRBT Maximum HRTAC Financial Commitment

• HRTAC’s Maximum HRTAC Financial Commitment is $3.562B ‐ which includes $345M of anticipated toll revenue funding and will be reduced dollar‐for‐dollar in receipt of additional non HRTF funding.

• After subtracting $345M of anticipated toll revenue, HRTF funding will not exceed $3.217B.

• Any SMART SCALE or other non‐HRTF funding awards (USDOT INFRA grant funds) will reduce the $3.217B HRTF commitment dollar‐for‐dollar.

Unlocking

 Ham

pton

 Roads

24

HRBT Financing in the FY2020 ‐ FY2026 Program of Projects• Assume HRTAC receives $345M toll revenue debt proceeds for construction of 

HRBT (toll revenue leveraging under discussion with VDOT).

• Assume $200M SMART SCALE is awarded.

• Maximum $3.217B HRTF funding; cost savings and other non‐HRTF grant awards will reduce HRTF funding and release the commitment at close out. 

• Approximately half of the maximum $3.217B HRTF funding will be provided with HRTF debt proceeds and the remaining half with HRTF paygo cash. 

• In addition, HRTF paygo cash is expected to fund debt service reserve funds of  approximately $100M (the funds earn interest and can be used towards the last debt service payment). 

Proposed HRBT Project in the Program of Projects

HRTAC HRTF HRTAC Toll Revenue VDOT Total

Project Budget $3,017M $345M $200M $3,562M

HRTAC HRTF Commitment (released at close out pending savings or other non-HRTF fund awards)

$200M $200M

Total $3,217M $345M $200M $3,762M

in millions

Unlocking

 Ham

pton

 Roads

25

Project Costs and Expenses & Funding Sources

TotalOperating/HRTF Fees $14 $6 $6 $6 $6 $6 $6 $6 $56 $56I-64 Peninsula Widening $416 $78 $41 $534 $313 $221I-64/I-264 Interchange Improvement $286 $44 $24 $8 $362 $290 $67 $5I-64 Southside/High Rise Bridge $254 $197 $79 $530 $432 $98Project Development $45 $1 $46 $46HRBT $76 $362 $1,115 $699 $538 $587 $346 $40 $3,762 $3,562 $200Total $1,091 $686 $1,264 $713 $544 $593 $352 $46 $5,289 $4,699 $586 $5

Funding SourcesPrior Years

FY 2020

FY 2021

FY 2022

FY 2023

FY 2024

FY 2025

FY 2026 Total

VDOT Funds $280 $64 $34 $8 $200 $586Other Local Funds $5 $5HRTAC Cost Share $805 $623 $1,230 $705 $544 $393 $352 $46 $4,699Total $1,091 $686 $1,264 $713 $544 $46 $5,289

HRTAC Project Costs and Expenses

VDOT Funds

Other Local Funds

HRTAC Cost Share

FY 2022

FY 2023

FY 2026

Prior Years

FY 2020

FY 2021

FY 2024

FY 2025

Proposed FY2020‐FY2026 Update

Unlocking

 Ham

pton

 Roads

26

HRTAC Projected Cash Flow FY 2020 to FY 2026

FY 2020 FY 2021 FY 2022 FY 2023 FY 2024 FY 2025 FY 2026 TotalHRTF .7% local Sales Tax Funds $145 $148 $152 $155 $159 $163 $167 $1,088HRTF 2.1% Fuel Tax Funds $55 $56 $56 $56 $56 $57 $57 $394

Total HRTF Revenue $200 $204 $208 $212 $215 $220 $224 $1,482

HRTAC Toll Revenues $4 $4 $4 $4 $16HRTF Interest Income $5 $15 $7 $2 $2 $2 $3 $36HRTF Investment Income $8 $5 $2 $1 $2 $19HRTAC HRTF Revenue Debt Proceeds $301 $778 $556 $378 $177 $2,190HRTAC Toll Revenue Debt Proceeds $75 $230 $40 $345

Total Available HRTAC Funding $514 $1,002 $773 $597 $472 $456 $273 $4,088

HRTAC Cost Share $623 $1,230 $705 $544 $393 $352 $46 $3,893HRTAC Debt Service $26 $34 $59 $59 $59 $84 $115 $436HRTAC Debt Service Reserve $33 $54 $20 $107

Total Annual Expenditure $681 $1,264 $764 $658 $472 $436 $161 $4,437

Carryover Balance From Previous Year $580 $414 $151 $160 $100 $100 $120Remaining HRTAC Funds Unobligated $414 $151 $160 $100 $100 $120 $231

HRTAC Projected Cash Flow

Proposed FY2020‐FY2026 Update

Unlocking

 Ham

pton

 Roads

27

Overall HRTAC Financial Plan Funding Mix 

• Funded projects including HRBT are financed with well‐balanced sources including HRTF pay‐go, HRTF bonds, HRTF TIFIA loans, toll revenue TIFIA loan, and VDOT Funds. 

Unlocking

 Ham

pton

 Roads

28

HRTAC 2045 Long Range Funding Plan Update

• Modifications include adjustments in Approved Projects to reflect amended contract values due to float down adjustments to certain projects

• Updated HRBT cost• 460/58/13 project was eliminated due to HRTPO action in FY2019

Approved Projects HRBT HRB II Bower's Hill

InterchangeFt. Eustis

InterchangeTotal FV

CostFunded by HRTF Debt

Funded by Toll Debt

Funded by HRTAC Pay-Go

Funded by VDOT and Other Pay-

Go

2045 (With Toll Revenues to HRTAC)Inflated Costs (MM) $1,415 $3,762 $1,729 $659 $320

Fiscally Constrained Construction End Year 2022 2026 2037 2037 2038

$7,885 $4,020 $345 $2,860 $660

Proposed FY2045 Update

Unlocking

 Ham

pton

 Roads

VDOT Proposed Hampton Roads Express Lanes Network – Region Needs to Weigh In

• Segment 1 – Operational

• Segment 2 – Under Construction

• Segment 3  & Segment 4 –Traffic and Revenue Study and Concept of Operations Underway

29

Source: V

A Secretary of Transpo

rtation

Source:  VA Secretary of Transportation

HRBTFundingPoints• HRTPO submitted application for $200M Smart Scale funding for HRBT ‐ HRTAC funding plan is reliant on these funds

• Current assumptions include HRTAC’s forecast of toll revenues and the Commission’s approved plans include all net toll revenues being used to support HRTAC projects – Master Tolling Agreement is a work in progress

30

Unlocking

 Ham

pton

 Roads

31

HighwayNetworkofProgress

Unlocking

 Ham

pton

 Roads

NextSteps

32

Unlocking

 Ham

pton

 Roads

• HRTAC will continue work to develop solutions and continue construction of HRTAC’s approved/funded projects and advance short and long range plans

• HRTAC will also work with the HRTPO and impacted jurisdictions to study the remaining projects not selected in the SEIS Alternative A (Regional Connectors Study)

• HRTAC will continue to support VDOT in project development efforts for the Bowers Hill Interchange and the I‐64/I‐264 environmental and preliminary engineering studies

• Continue public discussion on how to calibrate funding options, advance project readiness, and continue preparations for future bonding/financing of projects

www.hrtac.org

Unlocking

 Ham

pton

 Roads

5/15/2019

33