A Policymaker's Guide

 

NE DOT Director's Office 2024

 

 

 

 

Surface Transportation Funding

 

Budgeted Expenditures

 

Year-to-year, NDOT budgeted expenditures are generally:

  • Maintenance Program (patching, snow removal, striping, etc.) – 19%
  • Construction Program (preservation/construction/reconstruction/resurfacing) – 74%
  • Support Services & Administration – 4%
  • Aeronautics Programs - 3%
  • Other Programs (public transportation assistance, rail planning, capital facilities, highway safety, etc.) – 2%

 

 

 

 

 

 

 

 

 

 

 

NDOT's Revenue Sources

 

Nebraska’s state highway system is paid for by a mix of state and federal funds. State funds primarily come in the form of highway user taxes and fees. The three major sources of revenue are:

 

(1) motor fuel tax,

(2) motor vehicle registrations and related fees, and

(3) sales tax on motor vehicles, trailers and semi-trailers.

 

Nebraska’s major highway user revenue is shared between the state, counties and cities.  Additionally, NDOT receives funding from motor vehicle registration fees and vehicle sales tax (53.3% to NDOT and 23.3% each to cities and counties) and Aviation fuel taxes provide revenue to support the Aeronautics Division.

 

 

Additional Funding Streams

 

Build Nebraska Act (BNA)

The Build Nebraska Act (BNA), enacted in 2011, dedicates ¼ cent of general state sales tax receipts for expansion of the expressway system, federally designated high priority corridors, and preservation of the existing transportation system.

 

Transportation Innovation Act (TIA)

The Transportation Innovation Act (TIA), enacted in April 2016, directed NDOT’s share of the revenue generated by LB610 (2015) and authorized new programs and tools to increase mobility, freight, economic growth and safety in Nebraska. The purpose of TIA is to accelerate highway capital improvement, promote innovative solutions for deficient county bridges, and help finance transportation improvements that connect new and growing businesses.

 

To see how money flows to the NDOT from our various funding sources, click here.

 

 

 

Motor Fuel Receipt

Breakdown

Motor fuel receipts (numbers may vary slightly each year):

  • 16.3¢ Fixed tax (9.5¢ to NDOT and 6.8¢ to cities and counties)
  • 12.5¢ Wholesale gasoline tax, currently 8.3¢ to NDOT and 4.2¢ to cities and counties
  • Variable Fuel tax, currently 0.3¢ (100% percent to NDOT)

 

 

Responsibilities

 

 

 

Motor Vehicle Infrastructure

 

The Nebraska Department of Transportation (NDOT) is responsible for the state highway system. This includes:

  • Planning
  • Development
  • Design
  • Construction
  • Maintenance
  • Administration

The goals of the Department are to preserve the $8 billion state highway system, making the highways safe and efficient, and accomplishing this in a timely and cost-effective manner.

 

Aviation/Aeronautics:

 

  • Maintains a system of 79 public use airports across the state, nine of them offering airline service and three owned and operated by NDOT;
  • Works with the FAA to target federal grant funding at the projects that will provide the greatest benefit to the National Airspace System; and
  • Provides services to airport commissions to help them plan, design, maintain, and improve infrastructure and to maximize the federal funding coming to Nebraska.

 

 

 

 

 

Rural Transit Assistance Program

 

There are 59 rural systems and nearly 90 organizations that provide specialized transportation for the elderly and disabled. In fiscal year 2017, the rural public transportation systems traveled nearly 3 million miles to transport passengers to medical appointments, employment, shopping, etc. This program consists of both state and federal funds.

Commissions

 

NDOT is also required by statute to provide assistance to two quasi-independent boards; the State Highway Commission and the State Aeronautics Commission. Commissioners for both boards are appointed by the Governor and confirmed by the Legislature. These Commissioners act as liaisons between the public and NDOT and also provide directional advice for NDOT.

 

 

NDOT’s Infrastructure Network

 

NDOT oversees and maintains an infrastructure network that includes:

The state highway system carries 63.5% of all vehicle miles traveled in the state. Municipal streets carry 25.6% and the county road network carries 10.9%. Also, about 83.7% of heavy truck travel in Nebraska is on the state highway system.

 

 

View NDOT projects in legislative districts here

 

 

How NDOT Manages Assets

 

The Department uses a Pavement Management System to evaluate all state highway pavements. Each section of highway is inspected and rated annually based on smoothness and the amount of cracking, rutting or faulting. These ratings are used to determine the timing of projects and type of work necessary to keep the highway system in good repair. With pavement having a life span ranging from 15 to 30 years, the Department will have to resurface 500 miles per year to keep the highway system in good condition.

 

The fleet is inspected and rated annually. The asset management system tracks all repairs and usage, all equipment is assigned a life cycle that includes age, maximum usage in hours and miles and percent of repair cost to purchase cost. A report is generated annually each piece of equipment that has met its useful life cycle for replacement dependent on available funding.

 

All buildings are inspected annually and rated for condition and functionality by a District team. Those buildings rated low or non-functional are presented to a Capitol Facilities scoping committee for ranking and possible inclusion into the building remodel, addition or replacement program based upon available funding.

 

All bridges in Nebraska are safety inspected every two years and their conditions are assessed based on Federal Standards. The condition information is used by the Bridge Management Section to determine cost-effective strategies to keep bridges in good repair. The necessary work may include preservation, repair, maintenance, e-decking, rehabilitation or replacement.

 

 

 

NDOT CONTACTS

 

To view NDOT contacts, click here

 

 

 

Reports

 

To view NDOT reports, click here

 

 

 

Questions?

 

If you have questions concerning NDOT, please contact:

 

Ryan Balluck

Legislative Coordinator

ryan.balluck@nebraska.gov | (402) 479-3791