US Senate approves Highway Trust Fund patch

The US Congress gave final approval last night to a US$10.8 billion bill to replenish the federal Highway Trust Fund and through to May 2015. It now goes to President Barack Obama for his signature. The Transportation Department had set Friday as the day the Highway Trust Fund would run out of reserves and told states they could expect an average 28 percent reduction in federal aid. The fund relies primarily on gasoline and diesel fuel taxes that haven’t been increase in two decades. Commenting on the
August 1, 2014 Read time: 3 mins

The 2018 US Congress gave final approval last night to a US$10.8 billion bill to replenish the federal Highway Trust Fund and through to May 2015. It now goes to President Barack Obama for his signature.

The Transportation Department had set Friday as the day the Highway Trust Fund would run out of reserves and told states they could expect an average 28 percent reduction in federal aid. The fund relies primarily on gasoline and diesel fuel taxes that haven’t been increase in two decades.

Commenting on the news, executive director and CEO of the 3804 International Bridge, Tunnel and Turnpike Association, Patrick D. Jones said: “While the states are justifiably relieved that both Houses of Congress passed the Highway Trust Fund patch today, there is much more work to do.  We call on Congress to develop a robust vision and a long-term plan to address the critical funding needs of our nation’s surface transportation system before the current patch expires in May 2015." He also stated, “Rebuilding the interstate highways will cost hundreds of billions of dollars over the next several decades and current funding sources alone are not equal to the task. States should have the flexibility to use tolling and other viable funding and financing options that make the most sense for them.”

5565 American Road & Transportation Builders Association (ARTBA) president & CEO Pete Ruane commented: “We commend the House and Senate for preserving the continuity of federal highway and transit funding to the states with a short-term revenue patch.  That, no doubt, temporarily saved many Americans their jobs.  We want to be clear, however, that we find no reason for anyone to celebrate what amounts to a last minute first down pass. 

“It is incumbent on the Congress to now focus full-bore on the end zone—enacting a long-term, sustainable revenue solution for the Highway Trust Fund before the end of this year.  That will allow the Congress to then focus on developing and passing a long-term surface transportation program reauthorisation bill before the eight-month May extension deadline that was just set expires.  There is no reason why a funding solution needs to wait for a reauthorization bill.  That’s putting the cart before the horse.

“Otherwise, we’ll no doubt see a repeat of this same process next spring with yet another package of budget gimmicks while the 2015 construction season hangs in the balance. 
 
“Americans deserve better than this on a core responsibility of the federal government.”

Related Content

  • September 12, 2012
    Reauthorization 2012: the facts laid bare
    A reauthorization bill for transportation came into law in July 2012, rubber stamping federal funding increases through the 2014 financial year, among other things. The new bill presents the good, the bad and the ugly of transportation infrastructure in the US, writes Pat Jones On June 29 this year, the US House of Representatives and Senate both approved the conference report on the ‘Moving Ahead for Progress in the 21st Century Act’ or MAP-21. President Obama signed this legislation into law on July 6.
    Read More
  • January 25, 2012
    US closer to finalising a new reauthorisation bill
    Pete Goldin talks with ITS America about the continuing efforts of US Congress to finalise a transportation reauthorisation bill and how this will impact the ITS industry
    Read More
  • January 20, 2012
    Infrastructure spending is an investment in economic recovery
    Transportation funding is caught in the crossfire as the President calls for infrastructure investment and a reinvigorated Republican majority in the House pushes back on federal spending. Andrew Bardin Williams reports. Every few months some politician or pundit declares that the country is on the verge of making the most important political decision in a generation. The 2006 mid-term election; the 2008 Presidential election; the passing of the stimulus bill; healthcare reform; the mania surrounding Tea Pa
    Read More
  • February 2, 2012
    Economic crisis needs non-partisan perspectives to stimulate growth
    Kary Witt, President of the IBTTA and Pat Jones, Executive Director and CEO, talk about the need to put aside partisan perspectives in order to deal with the current economic crisis
    Read More

Highlighted Content