Arizona State and Local Government Documents Collection

As part of the Long Term Pavement Performance (LTPP) Program, the Arizona Department of Transportation constructed 19 Specific Pavement Studies 6 (SPS‐6) test sections on Interstate 40 near Flagstaff. The SPS‐6 project studied the effect of specific rehabilitation treatments on jointed portland cement concrete pavement (JPCP) performance. The test sections had various JPCP surface preparations, including crack and seat, minimum and maximum restoration, rubblization, asphalt concrete (AC) with fabric, and asphalt rubber with conventional AC. Opened to traffic in 1991, the project was monitored at regular intervals until 2002. Surface distress, profile, and deflection data collected throughout the life of the pavement were used to evaluate the performance of various flexible pavement design features, layer configurations, and thickness. This report documents the analyses conducted as well as practical findings and lessons learned that will be of interest to ADOT.

In a paper released by the Goldwater Institute on December 18, 2008, "A Fresh Start for Arizona: Proposals for Closing a Billion-Dollar Budget Gap," Byron Schlomach puts forth recommendations for closing the deficit in the state government general fund. The following notes are an attempt to illustrate the consequences of the spending reductions recommended by Dr. Schlomach, along with some considerations about the philosophy apparently embodied in the recommendations.

The initial $1.4 billion construction investment results in an immediate addition of $828 million to GSP and $700 million in labor income after controlling for resource and material acquisition from out-of-state sources. The in-state activity induces additional GSP generation of $1.1 billion and $711 million in labor income as the direct effects ripple through the Arizona economy.

This brief report provides conceptual perspectives on public investment using debt financing. Empirical evidence of the relationship between public investment and economic activity is provided, showing that moderate levels of debt do not impair economic growth and may provide a stimulus to growth. Arizona's public debt currently is low relative to national standards. Related to this low debt, public investment in infrastructure has fallen behind the state's population and economic growth over the last 15 years. Because of low interest rates and a construction slump that will reduce construction costs, current conditions are ideal for public investment using debt financing.