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Albany staff outline $6 million realistic target to stop local streets deteriorating; council backs more outreach on gas tax and fee options
Summary
City staff told the Albany City Council that repairing and maintaining more than 200 miles of paved streets requires $15.8 million a year; existing revenues cover about $3 million. Officials discussed a street-maintenance fee, a local gas tax and the need for a public outreach campaign; no ballot placement vote was taken.
Stacey Belcastro, a city staff member, told the Albany City Council on June 25 that Albany needs far more revenue to keep local streets from failing and asked the council to authorize further public outreach on two local funding options: a street-maintenance fee and a local gas tax.
Belcastro said the transportation fund’s current, recurring revenue for street capital projects is about $3,000,000 a year based on a five‑year average and a $500,000 emergency reserve. By contrast, she said, “based on current street condition, $15,800,000 is needed annually to repair, fully construct, and maintain Albany’s 200 plus miles of streets.” That gap was previously shown at $12,800,000; staff and council agreed a phased, more achievable strategy reduces the immediate annual shortfall to roughly $6,000,000.
The council heard details on two locally controlled approaches the council previously asked staff to develop: a street‑maintenance (transportation utility) fee and a city gas tax. Belcastro said a gas tax in Albany would yield about $400,000 per penny: “A 5¢ gas tax would generate approximately $2,000,000, and a 10¢ gas tax would generate approximately $4,000,000.” She also summarized consultant and polling work showing education matters: “With 2 hours of education to our focus group participants, the majority of them went from not supporting a gas tax to supporting a gas tax at high levels at the 5¢ and 10¢ levels,” she said.
Staff said the street‑maintenance fee structure work, led by consultant Gallardi Rothstein Group under contract management by Rob Emmons, is complete enough for a council check‑in; staff expect to return at the August 7 work session with recommended account groupings and fee categories for guidance. Belcastro said the council already has authority to create a fee structure and that the rate itself is set later by resolution.
Councilors discussed timing and ballot strategy. Several members said a November ballot would be preferable because it allows a longer, citywide public‑education effort and reduces the risk of competing county measures creating “blowback.” Councilor Newton and others said they would consider other dates if cost or calendar conflicts make November impractical. No formal motion to place a measure on a specific ballot was made; instead the council indicated support for continuing public outreach and for staff to keep working on both the gas‑tax option (possibly for 2026) and the street‑maintenance fee structure.
Why this matters: staff said roughly 104.4 miles of Albany’s local streets exist in older neighborhoods; about 52.3 miles are in poor condition. The council and staff emphasized an asset‑management approach: investing earlier is far cheaper than reconstruction later. Belcastro illustrated the point with a cost comparison shown to council: a full reconstruction example at about $700,000 versus a grind‑and‑overlay of the same block at about $100,000.
Next steps: staff will return with details on the fee structure (August 7) and continue draft outreach plans, community meetings and presentations to civic groups. Councilors asked staff to coordinate timing around likely county and regional ballot measures and to budget adequate outreach before placing any measure before voters.
