http://www.cityofmadison.com/comp/2009OpBud/2009opbud.htm

Skimming the Operating Budget's Traffic Engineering section I found
this:

"3. $30,000 to support bicycle programs. Funding is to be derived from a
restructuring of the current bicycle registration and licensing program
as determined by the Platinum Bicycle Committee. An increase of $30,000
associated with Bicycle Registration fees has been included in the City
General Fund Revenues. The Platinum Bicycle Committee shall, by January
1, 2009, make recommendations regarding both the licensing and
registration restructuring and expenditures in support of bicycle
programs and infrastructure for approval by the Common Council."


Does anybody know how the increased revenue is going to be collected?  


http://www.ci.madison.wi.us/trafficEngineering/documents/PlatinumAdopted040808sm.pdf

The Platinum report is fairly general when it comes to funding sources. 
It refers to Appendix C of the Bicycle Transportation Plan for the
Madison Urban Area & Dane County (2000):

http://www.madisonareampo.org/Otheredoc_pdf/bikeplan00.pdf


I am guessing this means that bicycle registration fees will be
increasing.  While I am all for bicyclists being charged their fair
share for the infrastructure they use, I find it unsettling that at a
time when gas tax revenues are down and the federal highway program gets
an $8 billion boost from general revenues, users of alternative modes of
transportation get their fees increased.  If one were looking at
transportation funding for 2009 from the perspective of the relative
incentivization of each mode, one would have to conclude that the
government wants to encourage driving and discourage alternative modes.

Which brings up this study I found today:

Do Motor Vehicle Users in the US Pay Their Way?
http://pubs.its.ucdavis.edu/download_pdf.php?id=1139

The study indicates that US motor-vehicle users fall short of paying
their own way for roads by a margin of 20-70 cents per gallon of
gasoline.

 



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