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Rail News Home Passenger Rail

6/22/2009



Rail News: Passenger Rail

Administration seeks to implement short-term surface transportation bill


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Last week, U.S. Transportation Secretary Ray LaHood announced the Obama Administration supports an 18-month transportation reauthorization plan that would shore up the Highway Trust Fund (HTF), a portion of which funds the Mass Transit Account.

"If this step is not taken, the trust fund will run out of money as soon as late August and states will be in danger of losing the vital funding they need and expect," he said, according to the American Public Transportation Association (APTA).

The shortfall in the HTF's highway account is unrelated to the current balance in the fund's Mass Transit Account, but if Congress and the Administration consider an extension of the current surface transportation authorizing law, the legislation likely would extend authorizing law for both the federal transit and highway programs, APTA said.

LaHood called for "critical reforms to help us make better investment decisions with cost-benefit analysis, focus on more investments in metropolitan areas, and promote the concept of livability to more closely link home and work." He added that the Administration opposes raising gas taxes at this time.

"I recognize that there will be concerns raised about this approach," he said. "However, with the reality of our fiscal environment and the critical demand to address our infrastructure investments in a smarter, more focused approach, we should not rush legislation. We should work together on a full reauthorization that best meets the demands of the country. The first step is making sure that the Highway Trust Fund is solvent. The next step is addressing our transportation priorities over the long term."

The Administration's call for a short and measured approach to the authorization doesn't jive with leaders of the House Transportation & Infrastructure Committee, who last week introduced the Surface Transportation Authorization Act of 2009. The bill proposes $99.8 billion for public transportation and $50 billion for high-speed rail. The six-year measure also proposes significant reforms to the U.S. Department of Transportation. Committee Chairman James Oberstar (D-Minn.) called on Congress to approve the legislation prior to Sept. 30, when the current SAFETEA-LU expires.

"Delay is unacceptable," Oberstar said in a statement. "If we delay the new authorization, states will hold back on new projects, and that will cost jobs."