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    Home»Budgets & Funding»RTA Funding Proposal Stirs Controversy
    Budgets & Funding

    RTA Funding Proposal Stirs Controversy

    AZBEX StaffBy AZBEX StaffAugust 15, 2025No Comments3 Mins Read
    Credit: Arizona Department of Transportation
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    Regional Transportation Authority and Pima Association of Governments Interim Executive Director Michael Ortega has developed a proposal that would establish a 10-year funding period for RTA’s 20-year project timeline.

    The proposal has created fresh controversy in an already tumultuous period as the bodies prepare to ask voters for an extension of the RTA’s half-cent funding tax.

    Ortega said in a recent meeting the boards should consider requesting a 10-year extension while maintaining the 20-year project timeline. A second funding request would then be put to voters near the end of the first 10-year term.

    Ortega explained asking for the first 10 years’ funding would let RTA continue to fund regional transit service and finish projects from the original plan that have seen their funding pushed back or cut. It also allows flexibility to ask voters to approve plan amendments, rescope projects or change the sales tax rate in 2036.

    There are two projects in Tucson that still lack sufficient funding to complete: the First Avenue Corridor and the Grant Road widening project. There are also four other projects from the first plan that have been pushed out to the new planning period, known as RTA Next.

    Under a 10-year extension, priority would be given to completing the original plan’s projects and funding area transit. RTA would use “regional monies,” such as Arizona Highway User Revenue Fund allocations, to start work on RTA Next projects.

    The RTA Board will meet Friday to consider and finalize the plan. It must approve whatever ballot language it wants to put forward during that meeting to give the Pima County Board of Supervisors enough time to call a March 2026 election. A March election is essential to avoid a lapse in funding.

    Opposition is Varied and Vocal

    Several opponents have stepped forward to express their disapproval of the 10-year funding plan. These include area business associations, construction associations, and individual businesses and residents.

    Most statements have centered around the uncertainty introduced by needing voters to authorize two rounds of funding and the potential for funding to disappear in the middle of a 20-year plan if voters do not approve the mid-plan renewal.

    Opponents also point out the need to have funding allocations in place, and committed, to guarantee the opportunity for outside funding sources, such as state and federal grants.

    History of Controversy

    The original RTA plan was funded by a voter-approved 20-year half-cent sales tax in 2026.

    The 2008 recession and resulting financial crisis set the funding at a weak start almost immediately, and construction cost inflation over the ensuing years exacerbated the problem. By August 2023, there was an estimated shortfall of nearly $500M between estimated project costs and available funds to complete them.

    Ortega stepped into the interim post following the Board’s ouster of former Executive Director Farhad Moghimi, who had been accused of favoring smaller jurisdictions’ projects over those for City of Tucson, which is the jurisdiction generating most of the project revenue. (Source)

    City of Tucson Farhad Moghimi First Avenue Corridor Grant road widening Highway User Revenue Fund highways/roads & streets HURF Michael Ortega PAG Pima Association of Governments Pima County Board of Supervisors project funding Public Regional Transportation Authority Road Projects RTA Board RTA Next TRA
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