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Published: November 06, 2008 09:18 pm
Gas prices down, but so are turnpike travelers
Mannix Porterfield
Register-Herald Reporter
CHARLESTON — Gas prices plunged to $2.49 this week, but the West Virginia Turnpike is still playing to a smaller audience of travelers.
In fact, manager Greg Barr noted Thursday, the trend of a 5 percent decrease within recent weeks is holding up, possibly attributable to an economic downturn.
Gasoline in the Beckley area shot up to $4.17 a gallon in mid-summer, but has been falling steadily in recent weeks.
“That should help,” Barr said of the falling gas prices.
“Two things that led to the lower toll (collections) were the high fuel prices and economic downturn. Fuel prices primarily affect passenger cars. Commercial traffic can pass those costs on to the consumer.”
More than half of the turnpike’s collections are derived from commercial users, and most of the revenue overall comes from non-resident motorists.
“The turnpike is heavily used by commercial drivers,” Barr said.
“So when there’s a downturn in the economy, we really feel it because of the regional impact on commercial traffic.”
If gas doesn’t start shooting back up, Barr said, “a little improvement” should come in the traffic.
“Again, we need the economy to improve,” he said. “Even the economic downturn, of course, affects people’s decisions, too, about spending money and traveling. But if the fuel prices would remain low for several months, people would start, when spring and summer come, to be more apt to take longer vacations and take mini-vacations and travel more.”
Over the past year, traffic has been down around 6 percent. If gas prices don’t reverse and go up, the impending holiday could improve matters.
“When you fill up your tank and it’s $60, and now fill it up and it’s $35, that’s a lot of extra money in your pocket,” Barr said “That makes you feel a little richer.”
Thanksgiving should give the turnpike no small boost, especially the first and last days of the four-day weekend when most travelers are out, he said.
“We expect a normally busy Thanksgiving,” he said.
In other matters before the turnpike’s governing board:
Barr advised the Parkways Authority that HNTB consultants would be in the field next week to examine all phases of the toll system, preparatory to installing upgrades to replace antiquated parts.
Earlier, Barr said the system is so old that the turnpike is having to shop on the Internet for replacements in software.
Learned from its audit, performed by Gibbons & Kawash, that toll revenues fell by $1.6 million, or 2.8 percent, in fiscal 2007, compared to the previous year.
Operating expenses climbed by 3.3 percent, or $1.3 million higher to $40.3 million, the audit revealed.
Bonds have come into compliance with the Securities and Exchange Commission based on its long-term credit rating of A3 by Moody’s and AA- by Standard & Poor’s.
Approved $125,470 for a Posi-Touch cash register system at Tamarack, and to delay opening hours of the artisans showplace in January and February until 10 a.m. In all other months, the doors open at 8 a.m.
Board members approved an advertising campaign of $249,403.03.
Approved $44,598 to buy a cutaway van with utility body for the maintenance shop from Cole Chevrolet-GMC in Bluefield.
Agreed to buy 17 tailgate-mounted liquid chloride dispensing systems from VariTech of Alexandria, Minn., for $52,700.
Laid out $139,356 for three diesel generators to service Barriers B and C, and the North Beckley plazas, from Bluestone Electric in Beaver.
The board meets again Dec. 11 at Tamarack.
— E-mail: mannix@
register-herald.com
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