Some Numbers Regarding the Bridge Toll

A few numbers regarding the proposed toll on the Sakonnet:

We are aware that RIDOT and RITBA want to raise roughly $38 million a year each year for the next several years to “maintain” the four bridges to Aquidneck Island.  This amount will cover maintenance, debt service and escrow for capital improvements over the next ten years.

This will help both entities reduce their debt load.  In ten years, RIDOT will no longer be paying $97 million a year in debt service and RITBA will have paid off their bonds freeing up quite a bit of money to do bridge maintenance going forward.

The plan to generate the $38 million in revenue is to continue to get $18 million a year from the Pell and $20-$25 million a year from the Sakonnet.

However, the toll on the Sakonnet will not be pure revenue.  There will be a cost.

One cost estimate involves tourism and state taxes.  An engineer subcontracted by RIDOT said there would be a 21% diversion rate on the Sakonnet River Bridge if put in place.

The Newport Chamber and NCCVB estimate that 4 million tourists visit Aquidneck Island annually.  Of that, roughly three million go over the Pell and one million over the Sakonnet.

A report on the NCCVB website, shows that each tourist generates about $69 in state and local tax revenue.

So if a toll goes in on the Sakonnet, and 21% of the tourists divert at $69 dollars each, that is roughly $14 million in lost revenue.

Even if the half the number was true, then there would be a cost of $7 million in lost state tax revenue.

This point does not include lost revenue from the Newport Grand Casino which was estimated anywhere from $2-$16 million a year in lost revenue to the state.

These numbers do not include lost revenue from the small businesses in the area.

We have communicated this information to Senators Reed and Whitehouse, Congressman Ciccilline, Governor Chafee, Senator Paiva-Weed, and the Senate Finance Committee.

We will soon be communicating this at the House Finance Committee hearings on Thursday, April  25^th at  1 pm in Room 35 of the State Capital.

The PBA asks all who are opposed to the toll to make the effort to attend.  We encourage all to testify that a toll does not make economic sense at any level: individual, small business, region or state.