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Act 44

In July 2007, Governor Rendell signed Act 44 into law, requiring the PTC to make payments to PennDOT for statewide transportation needs. In order to provide the payments, the PTC must increase its toll rates each year. A key part of Act 44 was the application to the Federal Highway Administration for permission to place tolls on Interstate 80 (I-80). The tolls would have funded I-80’s reconstruction and payments to PennDOT. After three years of studies, the federal government denied the application to convert I-80 to a tolled facility. The PTC, however, still must continue to make significant payments to PennDOT.

In addition to increased toll rates along the PA Turnpike, it is likely the PTC will have to cut spending on its own long-term projects and capital expenses, to maintain the mandated level of funding to PennDOT.

  • The PTC has paid $4.637 Billion to PennDOT to date.
  • The PTC must pay $450 Million each year, through the year 2022, and then $50 Million each year through 2057.
  • By the end of the 50-year lease period outlined in the law, the PTC will have provided nearly $24 billion in supplemental funding Non-Turnpike projects.

More recently a law known as Act 89 was passed in November 2013, lowering the amount of funding that the PTC provides to PennDOT under Act 44 of 2007. With the new law, the PTC's annual payments to PennDOT will remain at $450 million through June of 2022. But, starting in fiscal year 2023, the payments drop to $50 million per year until the Act 44 agreement ends in 2057. All $450 million will be allocated to support transit capital, operating, multi‐modal and other non‐highway programs.

I-80 Tolling Background

For almost three years the PTC worked to respond to questions and requests for more information from FHWA. Click here for a timeline of activities. The study efforts resulted in an All-Electronic Tolling Plan with incentives that would allow users to travel up to 60 miles without paying a toll and a $2.5 billion, 10-year I-80 rebuilding plan. See below for details.

In April 2010, FHWA denied Pennsylvania’s application to toll I-80. The FHWA interpretation of the Interstate System Reconstruction and Rehabilitation Pilot (ISRRP) Program is that the lease payments as proposed were inconsistent with the statutory requirements of the program. Specifically, the lease would have the effect of diverting toll revenues collected from the operation of I-80 to projects on other roads. To review the FHWA submissions and responses from PennDOT and the Turnpike, please feel free to peruse the documents below.