WEBVTT

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So we have been recording, just so you know.

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Okay. Let's go ahead and get started since you

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are a no -nonsense guy today for whatever reason.

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Welcome to County Connection. the official podcast

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of the Washington State Association of Counties,

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where we dive into the legislative issues shaping

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the future of our communities. From budgets to

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public safety, infrastructure to elections, we'll

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break down what's happening in Olympia and how

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it impacts counties from across the Evergreen

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State. Stay informed, stay engaged, and join

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us as we amplify the voice of Washington's 39

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counties. Welcome, everybody, to the County Connection

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podcast, the official podcast of the Washington

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State Association of Counties. It is officially

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the start of week three here at the legislative

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session. I'm Paul Jewell, your legislative director

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and host for the podcast. And we've got Axel

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Swanson, our managing director for the Washington

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State Association of County Engineers. Welcome

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back, Axel, your first podcast of the session,

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if I'm not mistaken. You're correct, Paul. Thanks

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for having me here, and I'm looking forward to

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the conversation and talking about how Session

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has gotten started and how it's going so far.

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Well, Axel, you are the everything transportation

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guru. You're the roads and bridges guy, and I

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know you keep a pretty sharp eye on what's going

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on in the budgets, especially the transportation

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budget, because let's face it, without... funding.

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We're not doing new projects. We're not doing

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maintenance. We're not making sure that our roads

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are safe out there. Aside from what they are

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now, we're certainly not improving the traffic

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situation in Washington State, which is horrid,

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as we all know. Anybody who's ever tried to drive

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to Olympia on a weekday, especially during rush

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hour, certainly has suffered along with the rest

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of us. So what's going on in the budgets this

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year? What can we look forward to? Yeah. So,

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you know, thanks for the assessment. And I think

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the assessment is true both. Sorry about that.

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It's okay. It's not hard on county roads. Let's

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be clear. Well, we'll get into that. So the state

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obviously owns a good chunk of the transportation

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system. But we focus, as you mentioned, on the

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county -owned portion of the system. And we work,

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I think, really well in conjunction with our

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city partners also. And, you know, just for a

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little bit of context for the listener, just

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go quickly over the system so they kind of can

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picture maybe in their mind what we're talking

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about. But it is a large percentage, the majority

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of the transportation system is owned by local

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jurisdictions. Counties have 78 ,000 lane miles.

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We own over 3 ,300 bridges. So for lane miles,

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that's over 60 % or roughly 60 % of all the roads

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in Washington state are owned by counties. And

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in terms of bridges, we own about half, about

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45 % of all bridges are owned by counties. And

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then we also have four county owned and operated

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ferry systems. So we are in the ferry business

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like the state. So a huge chunk of this system

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is owned, operated, managed by us at the county

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level and the city level as well. So when you're

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talking about the portion that counties own though,

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and how we own 60 % of the lane miles, et cetera,

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that is 60 % of the entire system. And so we

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actually are responsible for and own more than

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the cities and the state combined. Is that right?

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Yeah, I think that's correct. I mean, it depends

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on what you're talking about in terms of lane

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miles, yes. So we own 60%. So that would be more

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than half and more than both those combined.

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Now, what we always have to acknowledge is there's

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different types of system. infrastructure. And

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so certainly the state is going to own the, you

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know, larger freeways, the, the, the big bridges,

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the high capacity stuff. And so they have more

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average daily traffic on their portion of the

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system and their system admittedly. while less

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is very expensive. Yeah, I mean, it's not hard

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to make that connection, right? When you look

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at I -5, especially during rush hour traffic,

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like I mentioned, versus, say, a county road,

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even a county road that's fairly busy, it's just

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no comparison with the number of cars that are

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going to be on that pavement day after day, minute

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after minute, hour after hour. Yep. And we I

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think I mentioned our relationship with the cities.

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I think we've been getting along very well with

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who we work with more kind of a staff level,

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although we've been fortunate and got to have

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some meetings with the new secretary of transportation.

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And so the regional our regional partners at

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Washed Out, I think we all work together, you

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know, and we'll get into this maybe a little

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bit with a December storm that occurred, I think.

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During emergencies, I think you always have that

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opportunity to see the best in folks and how

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they respond and work together. And so I heard

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several accounts in the last weeks and months

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about how the jurisdictions were pulling together

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and working together during that storm event.

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It feels like that's actually getting better,

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too. Like that whole system of collaboration

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and sharing of resources, especially during emergencies,

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has been getting better. Really, you know, it

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feels like we've been making a lot of progress

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maybe over the last two or three decades. You

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know, I can remember not that long ago a lot

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of stories about different jurisdictions kind

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of fighting, right, over authorities and territory

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and, you know, whose job is what when some of

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those really big issues or emergencies would

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happen. And it feels like a lot of that's being

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set aside right now for collaboration and that

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the system's getting better. Are you getting

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the same sense? Yeah, I think so. You know, and

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you and I have both been around for similar amounts

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of time kind of working for counties. And so

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it's hard to, you know, you know what you know.

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So I think back to like some of the things we've

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had to work through with the state and or cities

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like the recession, COVID. And, you know, so

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maybe there's some things where, you know, people

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like us who are, you know, still working and

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in our career and we've worked, you know. We've

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had those opportunities where there was no choice

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but to pull together. So I guess the lines of

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communication are there and some of the people

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are there and remember that. And I think that's

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good. You know, we haven't had a podcast since

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that December storm happened. that you've been

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on and so if we could i just want to maybe ask

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a couple of quick questions about about that

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or maybe get an assessment from you on that how

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would you how would you rate that event compared

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to other kind of seasonal major storms that we've

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seen in the past i mean you've been around for

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a while you were a county commissioner for uh

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at least one term you've worked for counties

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ever since whether it's you know, for Wasak or

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for Clark County or for Cowlitz County. So you've

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been, this isn't your first rodeo, so to speak,

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and you've certainly been in the transportation

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business for a while. How would you rate kind

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of the impact and the damage that counties faced

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during that storm? Is it kind of typical for

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an event that size or was it more severe, do

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you think? Well, as you know, they're all different.

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And you're right, I have been around for a while,

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and particularly as it relates to where I live

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and close to home. So I'm in southwest Washington.

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I live near the Cowlitz River. It rains a little

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bit down there. It rains a lot down there. And

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that river is heavily influenced by, still influenced

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by the 1980 eruption of Mount St. Helens. And

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so a big part of my job for a lot of my career

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was paying attention to flood protection levels.

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and understanding, you know, what might happen

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during different events. And so I guess when

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that system came in, it hit southwest Washington

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really hard for, you know, almost 48 hours. So

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Lewis County, you know, you kind of saw a lot

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of impacts there. A lot of power outages. Where

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I lived. Lock roads, flooding. Standing water

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and kind of a grim outlook. And then the system

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pushed north. And you saw probably what was impacted

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worse was our colleagues and friends up in Snohomish

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County, Whatcom County. And it stayed there a

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little bit longer, and it got really scary. The

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levels that you were seeing for potential crests

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up there were records, and we didn't see records

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down our way in southwest Washington. When you

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say crest, you're talking about the river levels.

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Yeah, where it was predicted to crest in terms

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of historic crests. And those are important when

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we're talking about flood impacts, potential

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flood impacts, things like that. Yeah. And that's

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what I'll always look for. You know, so there's

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river gauges on all of our rivers. And so you

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can kind of. check if you're interested it's

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kind of interesting to me but you know go back

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and check what the historic crests have been

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versus kind of where the predicted model's going

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and that's kind of how you can try to see 24

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hours to 72 hours out at where things are going

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to be or you know if they're going to keep going

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up or coming down so yeah that was a it was a

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very spooky uh forecasted storm because it started

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in the southwest and moved up into northwest

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washington it kind of split And I don't think

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we ended up as bad as we could have if it had

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just stayed in one position or location for the,

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you know, four or five days. It would have been

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really awful. And also, I think we've done a

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lot of good work over time to sort of build resiliency

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and infrastructure and, you know, to make the

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infrastructure that we have as we put it back

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better. And I think you saw some of that stuff,

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particularly up in Skagit County, you know, some

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of the... some of the things that were done to

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protect the community. So bad storm in places,

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it was historic. In other places, I think they

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avoided the worst. And, you know, we can get

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into some specific damage numbers, but I've really

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appreciated the response by everybody to include

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the transportation chairs. And they're interested

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and had us actually present on this last week,

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last Thursday night in Senate. Transportation

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Committee and asked us to survey the membership

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for how they were doing and what their storm

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damage costs were and what their needs are. And

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so we continue to work on that. And I think that's

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appreciated. Yeah. And it's nice that the state

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legislature is engaged in that conversation as

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well and kind of considering that. I'm glad we

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had a chance to talk about that. You know, in

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today's world, we just have more people in Washington

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state. We have more stuff in the way. And so

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there's always going to be those impacts as well,

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because. Maybe there wasn't a road there before.

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Maybe people weren't living in a particular area

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before. But with population growth and development,

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a lot of that has changed. So it's just good

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to kind of calibrate, I guess, on how bad the

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impacts really were. So I appreciate that perspective.

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What do you want to talk about next? Do you want

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to talk about what you're seeing in the budget

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as far as kind of, you know, informing our listeners

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on what the state's thinking about transportation

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investments in the next couple of years. Well,

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I guess right now we're just looking at next

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year. Yep. It's a short session supplemental

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budget. So we've got a two -year transportation

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budget. So we're, I mean, you know how this works.

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Maybe listeners aren't as familiar with the process,

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but we're not taking big swings here or trying

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to, you know, really change something. substantial.

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We're trying to build upon what's in there and

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then adjust things that we've noticed might be

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a problem or an error. Well, we're already a

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third of the way through the process at this

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point too, right? It happens fast, right? No

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matter how many times you do this, I haven't

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done this, when I say this, the legislative process

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and being sort of on the advocacy side specifically,

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it's hard to... It's hard to explain the pace

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a short session particularly happens at. Yeah.

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And you kind of, you go in thinking about that

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and you remember, but then it happens and you're

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like, you know, it just, it is. It's like trauma

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in your life. You bury it in the back of your

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mind until the next one comes along. There's

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just so many things happening at once that are

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important and nobody wants to, you know, look

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like they don't know what they're talking about.

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And these are. complicated topics and you're

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racing around and people are asking for information

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and you're trying to respond. It is a tremendous

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pace. So that being said, back to your question,

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there are some really important things in terms

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of conversations for the transportation budget.

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The governor's proposal came out, so we evaluated

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that. The highlight in there for counties is...

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In this two -year budget, we were able – so preservation

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and maintenance of the system, we started with

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that, right? We have the biggest, largest chunk

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of the statewide system. We've got to maintain

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it. We've got to keep it in good working order.

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I feel like we're always talking about that.

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We are. It's always going to be our priority

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besides just transportation safety and trying

00:13:21.500 --> 00:13:23.899
to improve the safety of it. But I'll tell you,

00:13:23.919 --> 00:13:27.080
the preservation of the system, it's getting

00:13:27.080 --> 00:13:30.509
– to a point where it's creating safety problems,

00:13:30.610 --> 00:13:32.029
and certainly you hear that from the Department

00:13:32.029 --> 00:13:38.669
of Transportation. So we had Chair Fye, the House

00:13:38.669 --> 00:13:43.090
Transportation Committee chair, he will remind

00:13:43.090 --> 00:13:45.409
us often that there were no new programs. It

00:13:45.409 --> 00:13:48.029
was a tough budget last year for them. There

00:13:48.029 --> 00:13:50.809
were no new programs with new money put into

00:13:50.809 --> 00:13:53.830
the budget except for... a new program at the

00:13:53.830 --> 00:13:55.590
County Road Administration Board. So we were

00:13:55.590 --> 00:13:57.330
proud of that. We were proud of the recognition

00:13:57.330 --> 00:14:00.649
that the legislature gave to the county side

00:14:00.649 --> 00:14:04.950
of the system. And they put a new program for

00:14:04.950 --> 00:14:07.789
local access roads into the budget. They didn't

00:14:07.789 --> 00:14:10.629
fund it until 27. So it's not funded until the

00:14:10.629 --> 00:14:13.870
next biennium at $20 million a year. The governor's

00:14:13.870 --> 00:14:17.649
proposal approved a decision package by the county

00:14:17.649 --> 00:14:19.769
road administration board to put 2 .2 million

00:14:19.769 --> 00:14:22.029
into 26 so that we could get the program started

00:14:22.029 --> 00:14:24.769
so you know you gotta You've got to have somebody

00:14:24.769 --> 00:14:26.769
manage the program. You've got to solicit for

00:14:26.769 --> 00:14:29.830
designs and kind of get that first call for projects

00:14:29.830 --> 00:14:32.149
out there. So last year they approved the program,

00:14:32.309 --> 00:14:35.269
which if anyone's interested, we did a deep dive

00:14:35.269 --> 00:14:39.009
on that, both with you and with Jane Wall from

00:14:39.009 --> 00:14:42.330
Crab. If you want to go back to our library of

00:14:42.330 --> 00:14:45.169
episodes earlier last year, you can find some

00:14:45.169 --> 00:14:47.090
more information on that. But that program was

00:14:47.090 --> 00:14:48.769
passed. You're saying they didn't fund it until

00:14:48.769 --> 00:14:51.820
2027, but the governor has said. Let's get it

00:14:51.820 --> 00:14:54.000
started. Here's some, would you call it seed

00:14:54.000 --> 00:14:57.600
money? Yeah, sure. Startup funds maybe? Yeah.

00:14:57.919 --> 00:15:00.759
And that's how much? 2 .6 million? 2 .2 million.

00:15:00.799 --> 00:15:04.700
2 .2 million. Would be available in 26. And that

00:15:04.700 --> 00:15:07.480
was that local, like local access roads, right?

00:15:07.639 --> 00:15:10.419
Local roads, yeah. And that's important because

00:15:10.419 --> 00:15:12.960
that's the vast majority of our... county -owned

00:15:12.960 --> 00:15:15.080
roads, and there is no current grant program

00:15:15.080 --> 00:15:17.059
through the state or the federal government for

00:15:17.059 --> 00:15:18.960
those roads. So you're just completely relying

00:15:18.960 --> 00:15:22.100
on your local road fund. And so that'd be a big

00:15:22.100 --> 00:15:25.299
win. And for those of you or those listeners

00:15:25.299 --> 00:15:26.879
who maybe aren't as familiar with some of the

00:15:26.879 --> 00:15:29.620
road terms, roads are classified into different

00:15:29.620 --> 00:15:32.159
categories like main arterials and things like

00:15:32.159 --> 00:15:36.019
that. What is a local access road? Just really

00:15:36.019 --> 00:15:39.559
quickly. Yeah, I don't want to get too much into

00:15:39.559 --> 00:15:43.019
the tiers and the R1s and the different things.

00:15:43.100 --> 00:15:46.259
But you would think of it as like not necessarily

00:15:46.259 --> 00:15:50.559
like a – it could be up to like a small collector

00:15:50.559 --> 00:15:52.980
but like more of a neighborhood kind of a road.

00:15:53.440 --> 00:15:57.480
And you know what we should do? We should kind

00:15:57.480 --> 00:16:00.120
of pause this section because I think you should

00:16:00.120 --> 00:16:03.740
have Jane come back in. And she does a wonderful

00:16:03.740 --> 00:16:07.659
presentation. In fact – I've seen her give the

00:16:07.659 --> 00:16:09.200
presentation recently to the Senate Transportation

00:16:09.200 --> 00:16:11.600
Commission, but talk about how they're going

00:16:11.600 --> 00:16:15.059
to set up and establish. this program and we

00:16:15.059 --> 00:16:16.740
can talk about maybe some of the other things,

00:16:16.820 --> 00:16:18.639
but it probably makes sense for the listeners

00:16:18.639 --> 00:16:20.460
just to hear it right from the County Road Administration

00:16:20.460 --> 00:16:22.679
Board. Yeah, that sounds good. Because they've

00:16:22.679 --> 00:16:25.059
got it all laid out and some great visual aids

00:16:25.059 --> 00:16:27.299
as well that show just how many of these roads

00:16:27.299 --> 00:16:29.600
are all over the state. Well, believe it or not,

00:16:29.700 --> 00:16:32.019
the episode with Jane Wall last year was one

00:16:32.019 --> 00:16:35.559
of the more popular. I don't know if your members

00:16:35.559 --> 00:16:38.539
all jumped in on the downloads or whatever it

00:16:38.539 --> 00:16:43.139
was, or if Jane just has that. podcast charisma.

00:16:43.320 --> 00:16:45.299
I don't know, but we'll try to get her back in

00:16:45.299 --> 00:16:47.179
here and we'll talk about that. I'm sure that's

00:16:47.179 --> 00:16:48.980
the one thing she'll want to talk about. Yeah.

00:16:49.399 --> 00:16:51.820
So you, so there's some funding for that in the

00:16:51.820 --> 00:16:54.620
budget. What else is there funding for? And so

00:16:54.620 --> 00:16:56.559
a couple of other things that we'll be looking

00:16:56.559 --> 00:16:59.320
for in budget. So I, as mentioned, I, I, we're

00:16:59.320 --> 00:17:01.120
talking a lot about transportation roads, but

00:17:01.120 --> 00:17:03.399
I focus on the capital budget as well in some

00:17:03.399 --> 00:17:06.920
different areas. You can't have 78 ,000 miles

00:17:06.920 --> 00:17:10.170
of roads and not have a lot of fish. barriers

00:17:10.170 --> 00:17:12.029
so those are culverts running you know we have

00:17:12.029 --> 00:17:15.029
to try to keep the the water moving underneath

00:17:15.029 --> 00:17:18.369
the roadway and in the past over time we've got

00:17:18.369 --> 00:17:20.490
you know we haven't done that so well and we've

00:17:20.490 --> 00:17:23.690
got a lot of corrections to made so make so we

00:17:23.690 --> 00:17:26.029
focus a lot on the funding that goes to local

00:17:26.029 --> 00:17:30.000
governments to repair and replace Those culverts

00:17:30.000 --> 00:17:32.440
that are fish barriers, and so we focus on the

00:17:32.440 --> 00:17:35.299
Brian Abbott fish barrier removal boards, prioritized

00:17:35.299 --> 00:17:38.200
list. We'll be looking for that. It was funded

00:17:38.200 --> 00:17:40.039
in the biennium at $30 million, but they need

00:17:40.039 --> 00:17:42.859
$70 million to get down the list. And so we'd

00:17:42.859 --> 00:17:44.900
like to see an additional $40 million come to

00:17:44.900 --> 00:17:47.180
the board there to do those prioritized projects.

00:17:47.619 --> 00:17:50.839
Boy, an additional $40 is a big ask in a short

00:17:50.839 --> 00:17:53.619
session, especially given the fiscal constraints

00:17:53.619 --> 00:17:56.200
that the state is dealing with. What do you think

00:17:56.200 --> 00:18:00.970
your chances are? Hard to say. But what I would

00:18:00.970 --> 00:18:04.970
tell anyone who will listen is, I don't want

00:18:04.970 --> 00:18:06.349
to be flippant about it, like I say, it's not.

00:18:06.549 --> 00:18:10.170
But if you look at the gain and the benefit of

00:18:10.170 --> 00:18:13.130
those projects and the amount of habitat that

00:18:13.130 --> 00:18:17.690
those projects will open up compared to where

00:18:17.690 --> 00:18:20.740
we're spending much more. not in my opinion,

00:18:20.779 --> 00:18:24.339
in reality, than $40 million around the state

00:18:24.339 --> 00:18:27.960
on important projects that are barriers, but

00:18:27.960 --> 00:18:30.059
much more expensive and opening up much less

00:18:30.059 --> 00:18:32.740
habitat or potentially having blockages upstream

00:18:32.740 --> 00:18:34.619
and downstream. You're talking about some of

00:18:34.619 --> 00:18:36.579
the WSDOT projects that are going on right now

00:18:36.579 --> 00:18:40.440
to fulfill the court order around the lawsuit

00:18:40.440 --> 00:18:45.059
that, what was that, 2018, 2019? Yeah, correct.

00:18:45.220 --> 00:18:47.900
So there is a mediation going on to hopefully

00:18:47.900 --> 00:18:50.200
open up, I don't know, I'm not involved in that,

00:18:50.240 --> 00:18:52.279
but, you know, to open up some flexibility on

00:18:52.279 --> 00:18:55.259
where the remainder of funds, you know, that

00:18:55.259 --> 00:18:59.059
would go to replace the existing blockages that

00:18:59.059 --> 00:19:01.599
are still subject to the court order, where that

00:19:01.599 --> 00:19:03.960
would go. We're interested in that because we

00:19:03.960 --> 00:19:05.680
have a lot of these barriers, so do the cities.

00:19:06.440 --> 00:19:10.400
And, you know, there's an urgency to this, right,

00:19:10.460 --> 00:19:12.119
because there's limited time and there's limited

00:19:12.119 --> 00:19:15.480
money. And it just keeps getting more expensive.

00:19:15.799 --> 00:19:20.519
And it does. And what's good is our inventory

00:19:20.519 --> 00:19:24.059
is getting better. We know more about the barriers

00:19:24.059 --> 00:19:27.519
and where they're at. We have prioritized watersheds.

00:19:28.440 --> 00:19:31.460
And so our data and information is getting better.

00:19:31.599 --> 00:19:34.539
And my hope is that we can start prioritizing

00:19:34.539 --> 00:19:38.799
and directing more funds downstream to get some

00:19:38.799 --> 00:19:40.880
of this stuff, some of this habitat opened up.

00:19:40.960 --> 00:19:46.339
So anyhow. Going back to the fish boards prioritized

00:19:46.339 --> 00:19:49.140
list of projects, I think it's a good list. I

00:19:49.140 --> 00:19:52.480
think that those projects are, you know, likely

00:19:52.480 --> 00:19:56.680
more heavily vetted for criteria, you know, than

00:19:56.680 --> 00:19:59.500
any other projects around the state currently.

00:19:59.700 --> 00:20:02.059
So I just, I think it's 40 million, you're right.

00:20:02.180 --> 00:20:05.059
It looks like a big number. But in terms of,

00:20:05.079 --> 00:20:08.019
I think, value add for fish and for the habitat

00:20:08.019 --> 00:20:10.940
and getting fish upstream, I think they're great

00:20:10.940 --> 00:20:17.690
projects. Also, the governor's proposal, so other

00:20:17.690 --> 00:20:20.829
infrastructure, we obviously care a lot about

00:20:20.829 --> 00:20:25.190
water and sewer and just kind of that basic foundational

00:20:25.190 --> 00:20:27.549
infrastructure that's important to everything.

00:20:27.950 --> 00:20:30.170
So the Public Works Assistance Account and the

00:20:30.170 --> 00:20:32.650
Public Works Board's traditional program is something

00:20:32.650 --> 00:20:35.630
we always focus in on. Unfortunately, in the

00:20:35.630 --> 00:20:37.890
governor's proposed operating budget, there's

00:20:37.890 --> 00:20:41.690
an additional $75 million. So what they'll do

00:20:41.690 --> 00:20:43.849
is if they see a fund balance there in the public

00:20:43.849 --> 00:20:47.470
works assistance account, which is the four dedicated

00:20:47.470 --> 00:20:50.769
revenues that fund the public works board's traditional

00:20:50.769 --> 00:20:54.309
loan programs, they'll take that balance. And

00:20:54.309 --> 00:20:58.869
so they've used $75 million additional from that

00:20:58.869 --> 00:21:01.009
account to help balance the operating budget

00:21:01.009 --> 00:21:03.509
for the state. Now, is that in addition to the

00:21:03.509 --> 00:21:05.910
$288 million that they took last year from that

00:21:05.910 --> 00:21:08.579
account? Last year's two -year budget for the

00:21:08.579 --> 00:21:11.660
Public Works Board, we ended up being pretty

00:21:11.660 --> 00:21:13.740
good with it. We would like to see it. Wasn't

00:21:13.740 --> 00:21:16.180
it around $300 million or so? Yeah, it was over

00:21:16.180 --> 00:21:19.019
that. It was closer to $350 million. And they

00:21:19.019 --> 00:21:22.440
were able to fund their way through the traditional

00:21:22.440 --> 00:21:27.160
program. And so we ended up in an okay spot with

00:21:27.160 --> 00:21:29.660
the budget in terms of the traditional program

00:21:29.660 --> 00:21:32.519
and what it could do. But, of course, our request

00:21:32.519 --> 00:21:34.519
is always that. you know, leave those dedicated

00:21:34.519 --> 00:21:37.680
revenues where they are. There's, there's, you

00:21:37.680 --> 00:21:39.799
know, it's, it's an over solicited program. There's

00:21:39.799 --> 00:21:43.900
a need out there for infrastructure. So, you

00:21:43.900 --> 00:21:46.539
know, and, and, and the thing, I think there's

00:21:46.539 --> 00:21:48.779
just a lot of, I think people could understand

00:21:48.779 --> 00:21:51.839
this more and then, you know, it would be a little

00:21:51.839 --> 00:21:54.599
bit easier of an ask each year, but the programs

00:21:54.599 --> 00:21:57.740
pay themselves back. Nobody's ever defaulted.

00:21:57.759 --> 00:21:59.619
And so these are loan programs. Yeah. For the

00:21:59.619 --> 00:22:01.339
most part. I mean, they've opened it up a little

00:22:01.339 --> 00:22:05.150
bit to grants, but. For the vast majority of

00:22:05.150 --> 00:22:08.470
these projects, you're really just helping out

00:22:08.470 --> 00:22:12.970
smaller towns and communities largely to get

00:22:12.970 --> 00:22:16.930
a very low interest rate to maintain and replace

00:22:16.930 --> 00:22:19.250
and repair their critical infrastructure, water

00:22:19.250 --> 00:22:24.559
and sewer. This is essentially public money for

00:22:24.559 --> 00:22:26.720
public projects that just kind of rinses and

00:22:26.720 --> 00:22:28.839
repeats, right? You know, I'm a town. I need

00:22:28.839 --> 00:22:32.160
a sewer line project or I need a new lift station

00:22:32.160 --> 00:22:35.200
or I need, I don't know, a bridge. It could be

00:22:35.200 --> 00:22:36.740
a bridge project. It could be all kinds of things.

00:22:36.960 --> 00:22:39.960
I apply. I qualify. I get the money. I pay that

00:22:39.960 --> 00:22:42.160
back. And then that goes back into the fund for

00:22:42.160 --> 00:22:44.880
others to then take additional loans. And we

00:22:44.880 --> 00:22:46.980
get, what, a 1 % or 2 % interest rate on that?

00:22:47.420 --> 00:22:50.000
Yep, kind of can depend on a few things. There's

00:22:50.000 --> 00:22:52.079
criteria, but it's certainly going to be a lower

00:22:52.079 --> 00:22:54.500
interest rate than what you would get, you know,

00:22:54.500 --> 00:22:56.500
out on the market. Right. And that's kind of

00:22:56.500 --> 00:22:58.720
the idea here. And so I've gotten asked before,

00:22:58.779 --> 00:23:00.900
and it gets, all this stuff is, you know, a little

00:23:00.900 --> 00:23:03.259
bit complicated, but you'll get asked, like,

00:23:03.279 --> 00:23:06.400
it's, you know, well, this isn't going to increase

00:23:06.400 --> 00:23:09.380
taxes for, you know, and so sometimes we'll confuse,

00:23:09.539 --> 00:23:13.400
like, a rate with a tax. And there is an important

00:23:13.400 --> 00:23:15.730
distinction, but it... For me, what I like to

00:23:15.730 --> 00:23:17.910
tell people is, you know, if you live in a town

00:23:17.910 --> 00:23:22.349
or a community and your town or, you know, your

00:23:22.349 --> 00:23:24.990
jurisdiction has a water district, let's say,

00:23:25.089 --> 00:23:28.009
and you've got to, you know, replace a main line

00:23:28.009 --> 00:23:31.549
or a bunch of the infrastructure for that, then,

00:23:31.549 --> 00:23:35.430
correct, it's not a tax, but you're going to

00:23:35.430 --> 00:23:37.369
pay a higher rate if you have to get a higher

00:23:37.369 --> 00:23:39.089
interest loan. Well, of course you will. And

00:23:39.089 --> 00:23:42.109
so it acts, I guess, in a way like a tax. And

00:23:42.109 --> 00:23:45.150
so, you know. That's why this is a great program.

00:23:45.710 --> 00:23:49.029
It repays itself. It keeps those rates down for

00:23:49.029 --> 00:23:50.769
those people that are living in those communities,

00:23:50.789 --> 00:23:52.829
and it keeps the infrastructure good. Axel, if

00:23:52.829 --> 00:23:57.069
everybody's repaying the loans and you have dedicated

00:23:57.069 --> 00:23:59.990
funding coming into the Public Works Assistance

00:23:59.990 --> 00:24:03.809
account to make the loans, what's the long -term

00:24:03.809 --> 00:24:06.990
impact of these? of these transfers to the operating

00:24:06.990 --> 00:24:09.630
fund, do they have a long -term impact or is

00:24:09.630 --> 00:24:12.430
it just short -term on the ability for the Public

00:24:12.430 --> 00:24:16.220
Works Board to offer? more money to projects

00:24:16.220 --> 00:24:20.319
for the next year or two or three. What's kind

00:24:20.319 --> 00:24:23.059
of that net impact? I mean, it feels like with

00:24:23.059 --> 00:24:26.000
dedicated funding and the money coming back in

00:24:26.000 --> 00:24:27.759
from loans that have been made, the funds should

00:24:27.759 --> 00:24:29.539
just be getting bigger and bigger and bigger

00:24:29.539 --> 00:24:31.759
and bigger and bigger. And we should be able

00:24:31.759 --> 00:24:33.460
to put more and more and more infrastructure

00:24:33.460 --> 00:24:37.119
improvements out there. And Lord knows we need

00:24:37.119 --> 00:24:40.259
it. It's not just new stuff. You talked about

00:24:40.259 --> 00:24:42.630
preservation and maintenance. That's not just

00:24:42.630 --> 00:24:45.049
with roads, right? That's with pumps and pipes

00:24:45.049 --> 00:24:47.029
and everything else that we're doing as well.

00:24:47.690 --> 00:24:50.009
And the state wants us to increase development

00:24:50.009 --> 00:24:53.430
in more compact zones. And so you need to upgrade

00:24:53.430 --> 00:24:55.849
systems to handle that development as well as

00:24:55.849 --> 00:24:58.730
replace aging systems. All of this infrastructure

00:24:58.730 --> 00:25:01.549
that's out there, it feels like there's never

00:25:01.549 --> 00:25:04.430
enough money for it. So what is the long -term

00:25:04.430 --> 00:25:07.509
impact of the legislature actually scooping up

00:25:07.509 --> 00:25:10.589
these large amounts of money and putting it into

00:25:10.589 --> 00:25:13.890
ongoing programs? So I'm going to answer your

00:25:13.890 --> 00:25:15.890
question a little bit, and then I'm going to

00:25:15.890 --> 00:25:17.769
– it was a big football weekend this weekend,

00:25:17.869 --> 00:25:20.529
so then I'm going to punt. And I'm going to suggest

00:25:20.529 --> 00:25:22.410
– We didn't see a lot of punts this weekend.

00:25:22.410 --> 00:25:24.890
That's right, a lot of offense. But I think I

00:25:24.890 --> 00:25:28.210
would suggest you doing this just like what we

00:25:28.210 --> 00:25:29.769
mentioned earlier on the Local Roads program

00:25:29.769 --> 00:25:31.829
with Jane, but have Maria Jawad from the Public

00:25:31.829 --> 00:25:34.009
Works Board come over here because she's going

00:25:34.009 --> 00:25:36.509
to give the listeners such a better answer on

00:25:36.509 --> 00:25:39.349
your kind of very specific technical question

00:25:39.349 --> 00:25:42.259
about how – what I can tell you is – When the

00:25:42.259 --> 00:25:45.660
legislature looks to the public works assistance

00:25:45.660 --> 00:25:48.579
account, what the revenues have brought in and

00:25:48.579 --> 00:25:50.619
what the fund balance is, and then starts making

00:25:50.619 --> 00:25:53.759
these decisions about moving that around, it

00:25:53.759 --> 00:25:57.079
creates this secondary issue, which is where

00:25:57.079 --> 00:25:59.859
we are, which is the question you just asked.

00:25:59.940 --> 00:26:02.700
How is that going to impact what's in the account

00:26:02.700 --> 00:26:05.900
for the traditional program? And how do we make

00:26:05.900 --> 00:26:09.140
that all work moving forward? Because you're

00:26:09.140 --> 00:26:12.279
right, there's... the revenues that come into

00:26:12.279 --> 00:26:15.400
the account from different places. So we're talking

00:26:15.400 --> 00:26:17.700
about kind of like a utility tax or revenue that

00:26:17.700 --> 00:26:20.160
comes in, but then there's the repayments that

00:26:20.160 --> 00:26:21.819
come in. Right. So there's kind of like this

00:26:21.819 --> 00:26:23.980
constant looking at like, okay, where, how are

00:26:23.980 --> 00:26:25.839
we going to cover things with the repayments

00:26:25.839 --> 00:26:28.420
that we expect to come in? Right. And then what

00:26:28.420 --> 00:26:30.779
additional will these revenues bring in and what's

00:26:30.779 --> 00:26:34.200
the total pot and, you know, kind of this. When

00:26:34.200 --> 00:26:37.079
these sweeps, like, oh, well, $288 million out

00:26:37.079 --> 00:26:39.339
of the biennium, and then, well, looks like things

00:26:39.339 --> 00:26:41.599
are coming in this way, so we'll add $75 million

00:26:41.599 --> 00:26:45.059
to that. It just leads to this conversation every

00:26:45.059 --> 00:26:47.539
year about the security of the program overall,

00:26:47.819 --> 00:26:51.160
let alone maybe the individual project that's

00:26:51.160 --> 00:26:53.980
been already appropriated out there and is dependent

00:26:53.980 --> 00:26:56.200
on those revenues being there. But I'll stop

00:26:56.200 --> 00:26:58.039
there. I think it would be a great discussion

00:26:58.039 --> 00:27:01.470
with Maria on that and how they're... How they

00:27:01.470 --> 00:27:03.410
work through it. Because if we're being honest,

00:27:03.490 --> 00:27:04.890
right, you and I, again, we've been around a

00:27:04.890 --> 00:27:08.930
while. Yeah. This is an every biennium, if not

00:27:08.930 --> 00:27:12.910
year thing where we're talking about. The legislature

00:27:12.910 --> 00:27:14.970
really has been looking at this as kind of like

00:27:14.970 --> 00:27:17.069
every time they have a shortfall, they kind of

00:27:17.069 --> 00:27:20.609
start looking over the fence at the public works

00:27:20.609 --> 00:27:23.089
assistance account. It feels like it is their

00:27:23.089 --> 00:27:26.529
go -to move every time. It is definitely one

00:27:26.529 --> 00:27:29.829
of the ideas that's always on the short list.

00:27:30.009 --> 00:27:32.430
Yeah. Yeah. Well, what else is going on in the

00:27:32.430 --> 00:27:37.210
budget? I think, you know, I think that that

00:27:37.210 --> 00:27:40.809
probably covers budget stuff. Well, well, there's

00:27:40.809 --> 00:27:42.390
there's a couple of other we could probably do

00:27:42.390 --> 00:27:45.410
a whole podcast, you know, and I don't know how

00:27:45.410 --> 00:27:47.250
much detail we want to go into this. But you

00:27:47.250 --> 00:27:48.970
and I have had some discussions and there's certainly

00:27:48.970 --> 00:27:53.109
discussions that are ongoing about. a motor vehicle

00:27:53.109 --> 00:27:56.549
fuel tax calculation error. So that, yeah, that

00:27:56.549 --> 00:27:59.829
dates back a long time. I feel like we need another,

00:27:59.910 --> 00:28:01.910
look at this. We're, we're making a whole list

00:28:01.910 --> 00:28:04.650
of other podcasts. I feel like we need a whole

00:28:04.650 --> 00:28:07.049
one on that one, that issue alone. There is a

00:28:07.049 --> 00:28:09.190
lot there and maybe we'll be in a place in a,

00:28:09.190 --> 00:28:11.450
in a few weeks or a month or so on that one where

00:28:11.450 --> 00:28:13.390
we could do a deeper dive. But I mean, the short

00:28:13.390 --> 00:28:16.309
story there is to, you know, to no one's fault

00:28:16.309 --> 00:28:20.299
necessarily. The gas tax formulas and distribution

00:28:20.299 --> 00:28:22.700
formulas are complicated, and so there was an

00:28:22.700 --> 00:28:25.660
error discovered, and it dates back quite a while.

00:28:25.720 --> 00:28:28.599
So the question has kind of become, okay, if

00:28:28.599 --> 00:28:30.859
we settle in on an understanding of kind of what

00:28:30.859 --> 00:28:33.700
this amount was that was supposed to be distributed

00:28:33.700 --> 00:28:37.029
to counties over time. How can we, should we

00:28:37.029 --> 00:28:39.589
correct that moving forward? And so, yeah, again,

00:28:39.650 --> 00:28:42.250
probably a better conversation for a future podcast,

00:28:42.430 --> 00:28:45.390
but. But you are in talks at this point to try

00:28:45.390 --> 00:28:48.089
to find some solutions to that issue. Yeah. Are

00:28:48.089 --> 00:28:49.769
we going to see something this year, do you think?

00:28:49.829 --> 00:28:52.349
Will it be in the transportation budget? I mean,

00:28:52.369 --> 00:28:54.509
I think that would be our hope, but we've got

00:28:54.509 --> 00:28:58.470
some important communication to do, I think,

00:28:58.470 --> 00:29:01.950
before that happens, both with legislators and

00:29:01.950 --> 00:29:04.390
with our membership and, you know, just kind

00:29:04.390 --> 00:29:06.940
of. working through the concept and the idea

00:29:06.940 --> 00:29:10.880
right now, I think we're getting pretty, we're

00:29:10.880 --> 00:29:12.720
getting to a good place with like a shared understanding

00:29:12.720 --> 00:29:16.000
of the area that occurred and the amounts and

00:29:16.000 --> 00:29:19.319
the problem. So kind of more to come on that

00:29:19.319 --> 00:29:22.299
one, but it is part of sort of the overall transportation

00:29:22.299 --> 00:29:25.069
budget question. Well, Axel, I got to tell you,

00:29:25.130 --> 00:29:28.490
it feels like we've only been here for five minutes

00:29:28.490 --> 00:29:30.609
and have only started to scratch the surface,

00:29:30.769 --> 00:29:35.150
but we're actually at our time. We've actually

00:29:35.150 --> 00:29:37.710
been going at this for almost a half an hour,

00:29:37.750 --> 00:29:40.490
if you could believe it. I had no idea that transportation

00:29:40.490 --> 00:29:42.849
talk could go by so quickly. Well, we didn't

00:29:42.849 --> 00:29:44.529
even hit on any bills, so we'll have to do another

00:29:44.529 --> 00:29:47.529
one. Yeah, we'll have to have you back. We'll

00:29:47.529 --> 00:29:50.109
do another one on bills. It's been kind of a

00:29:50.109 --> 00:29:53.009
wild ride so far, and we'll just have to see

00:29:53.009 --> 00:29:54.539
what happens. what happens in the next couple

00:29:54.539 --> 00:29:56.359
weeks. Believe it or not, like I said, we're

00:29:56.359 --> 00:29:59.440
at the start of the third week already. The first

00:29:59.440 --> 00:30:02.500
policy cutoff is just around the corner. It's...

00:30:02.829 --> 00:30:05.849
Next Wednesday, I believe. So we're talking February

00:30:05.849 --> 00:30:09.589
4th. Yeah, 10 days from today, if you count today.

00:30:10.170 --> 00:30:12.430
So it's just around the corner. That's how fast

00:30:12.430 --> 00:30:15.309
things move during a short session. We'll have

00:30:15.309 --> 00:30:17.809
to get you back pretty soon, pretty quickly to

00:30:17.809 --> 00:30:20.230
update us on some bills, maybe right around the

00:30:20.230 --> 00:30:22.430
time that that cutoff is occurring. So we know

00:30:22.430 --> 00:30:24.710
what's moving forward for the rest of the session

00:30:24.710 --> 00:30:26.930
and what people need to get serious about. Yeah,

00:30:26.990 --> 00:30:28.750
I think that makes a lot of sense coming in around

00:30:28.750 --> 00:30:30.970
the cutoff. We'll talk about some transportation

00:30:30.970 --> 00:30:33.849
and some procurement. Okay. Bills. Sounds good.

00:30:33.849 --> 00:30:36.710
Well, thanks for stopping by today, Axel. And

00:30:36.710 --> 00:30:40.609
are you going to give me a Go Hawks? Go Hawks.

00:30:40.609 --> 00:30:43.589
It's Super Bowl. Go Hawks. All right. Thanks,

00:30:43.630 --> 00:30:48.410
Axel. Thanks for tuning in to County Connection.

00:30:48.549 --> 00:30:50.690
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00:30:50.690 --> 00:30:52.970
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00:30:59.710 --> 00:31:02.349
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