RTA Faces $149 Million Shortfall, Tucson Council’s Future Vote in Jeopardy

The Regional Transportation Authority (RTA) faces a significant funding shortfall of $146 million, jeopardizing the completion of key projects like the East Grant Road expansion and the modernization of North First Avenue. The RTA’s ongoing efforts to balance its financial resources amid rising costs and previous economic downturns have led to these complications.

The initial half-cent transportation plan, approved by voters in 2006, aimed to generate over $2 billion. However, the economic fallout from the Great Recession drastically reduced revenue streams. Additionally, the costs of numerous projects surged by as much as 50% post-pandemic, further complicating the RTA’s fiscal landscape.

As a consequence, four RTA projects are now on the back burner, set to be included in the upcoming RTA Next proposal, which seeks voter approval for a new half-cent sales tax extension in November 2025. This extension aims to last an additional twenty years, but skepticism lingers among city leaders, particularly in Tucson, which is expected to receive a disproportionately smaller share of funding despite contributing significantly to the revenue.

Tucson City Council’s response reflects growing frustration. Notably, Councilmember Nikki Lee criticized the notion of simply allowing the city to resolve its financial challenges independently, labeling it as insufficient. The city, grappling with the implications of two unfinished major projects, seeks clarity and assurance of fair funding moving forward.

The RTA’s Executive Director Farhad Moghimi, faced with scrutiny, assured that the funding gap has been recognized and discussed over the past five years. However, the relationship between the Tucson City Council and the RTA administration remains tense, with trust issues complicating collaborative efforts.

During a recent meeting, RTA Board Chairman Ted Maxwell reiterated the urgency of addressing the funding issues before proposing plans to voters. He acknowledged the delicate balance of interests that must be maintained and expressed optimism that solutions would be found.

Potential strategies discussed include utilizing contingency funds or adjusting revenue forecasts, but specifics remain uncertain, causing anxiety among council members. As preparations for the public review of the draft plan continue, time is of the essence. The RTA’s future credibility hinges on its ability to effectively manage this financial hurdle and assure voters of a sound transportation strategy.

In summary, the RTA must navigate financial complexities while addressing varying jurisdictional concerns to ensure the viability of its transportation initiatives and maintain public confidence. The coming months will be crucial in determining how these challenges are reconciled.