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Congress Appropriates Full Transportation Funding for ’08 ’09 and beyond is in doubt The good news is that in December 2007, Congress enacted and the President signed an omnibus appropriations act (Consolidated Appropriations Act, HR 2764) that included federal highway funding for federal fiscal year (FFY) 2008 (October 2007 through September 2008 – better late than never). Congress must deal with this issue in 2008, or the highway program will face a substantial reduction in 2009. To offset the cash shortfall in the Highway Trust Fund, the highway program would have to be reduced from $43 billion to $26 billion in FY 2009, which begins in October of this year. The congressionally appointed National Surface Transportation Policy and Revenue Study Commission issued its final report Jan. 15, 2008. The immediate word out of Washington, D.C., was that nine of the 12 commissioners advocated a sizeable feder- al gas tax increase of up to 40-cents/gallon over five years to fund transportation, indexed to inflation in construction costs, as well as other innovative funding sources. Chairperson and Department of Transportation Secretary Mary Peters, and two other commissioners are reported to oppose any tax increase. One of her objections to a tax increase was reported to be that any additional money sent to the federal government will be “squandered on earmarks and special- interest projects.” You can view the complete final report at http://www.transportationfortomorrow.org/final_report/. The recent action, and signing of the appropriations act, means that attendance at the Transportation Construction Coalition (TCC) Legislative Fly-in, and advocacy work, is critical in garnering support to increase federal transportation funding. The fly-in is scheduled to be held May 20-21, 2008, in Washington, D.C. The TCC is a group of 27 national associations and labor unions with a direct interest in the fed- eral transportation programs. For additional information, go to the TCC Web site at http://artba.org/government/tcc/tcc.htm and plan now to attend. Your business and your job may depend on it. OA National Surface Transportation Policy and Revenue Study Commission The bill provides $40.2 billion in highway funding, which is $1.1 billion above the 2007 fund- ing level and $631 million above the Administration’s original request. The funding level provid- ed in the bill is the amount guar- anteed by SAFETEA-LU. (Note: Federal-Aid Highway Funding provides approximately 44 percent of the nation’s highway construction fund- ing.) As was expected, as a result of the Minnesota I-35W bridge col- lapse, an extra $1 billion is provided above the $40.2 billion guaranteed amount, to address deteriorated bridges throughout the nation. $3.5 billion was provided for airfield pavement and airport construction, the same funding level provided in 2007. The Administration originally proposed a $765 million cut in this area. The transportation section of the bill includes more than 2,000 earmarks (aka pork barrel projects) valued at $1.6 billion. Highway earmarks ranged from $250,000 to $3 million and included many interchange projects as well as a few streetscapes, biking trails and welcome centers. The bad news is this legislation does not address the shortfall in revenues anticipated in the Highway Trust Fund for 2009. The Administration has projected a $5-billion shortfall in revenues as compared to highway funding guaranteed by SAFETEA-LU for 2009. Mary Peters 6 Winter 2008 Ohio AsphaltPDF Image | Porous Asphalt Pavement
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