By Ron Thaniel
March 29, 2004

The House Transportation and Infrastructure Committee March 24 agreed to a downsized six-year $275 billion transportation reauthorization bill that includes a provision that would require Congress to revisit transportation-funding levels next year.

The legislation is tentatively scheduled for consideration by the full House of Representatives towards the end of this week (March 29 — April 2). The Senate completed action on a six-year $318 billion bill in February. Major funding differences will have to be resolved in a Senate-House conference committee after floor votes this week.

The Transportation Equity Act: A Legacy For Users (TEA-LU, HR 3550) is $100 billion less than the bill introduced in November of 2003 at $375 billion by Committee Chairman Don Young (AK), Ranking Member James L. Oberstar (MN), Subcommittee Chairman Thomas E Petri (WI) and Subcommittee Ranking Member William O. Lipinski (IL).

Downsizing the bill raised alarms to what transportation programs would be reduced or eliminated. However, Speaker J. Dennis Hastert (IL) directed the Committee to reduce the bill to avoid a threatened White House veto.

Despite repeated warnings that the President would veto the bill, the Senate passed their transportation reauthorization bill (S.1072) by a 71-26 vote. The final vote was nine more votes than the two-thirds needed to override the threatened veto. Following the vote, White House Press Secretary Scott McClellan, said, "If that legislation (S.1072) comes to his desk, the President will veto it."

At $375 billion, the original bill called for $300 billion for highway programs and $75 billion for transit programs over six-years as compared to $217.4 billion for highway programs and $51.5 billion for transit programs under the approved legislation.

As the chart illustrates, the House bill, at $275 billion, is the midpoint between the $318 billion Senate bill and the $256 billion proposed by the Administration.

The final bill is not available for review as U.S.MAYOR goes to press. However, the Conference applauds the Committee's action maintaining the historic balance between the highway and transit programs. This balance was not certain as the funding levels in the bill continued to drop week to week. The balance between the highway and transit programs is not certain as the full House takes up the bill this week. Threatening the balance is that members will be looking for money to increase the minimum rate of return for donor states. Donor states are those that now pay more in gas taxes than they receive in money for highway improvements. The states, which include California, Texas and Florida, argue that they should not subsidize others. Also, the road building industry surely will be seeking more money for highway funds and will see transit as the source of additional revenue.

The Conference also applauds the Committee's commitment to Projects of National and Regional Significance by including this new program while opponents were lobbying to eliminate this from the bill.

In addition, the Conference remains hopeful due to statements by the Committee leadership that the bill will address in some fashion a state accountability measure to ensure the Congestion Mitigation and Air Quality Program (CMAQ) funds are being spent. The Conference continues to advocate that CMAQ dollars be suballocated to local government.

Regarding CMAQ, the Conference applauds the Committee leadership maintaining the current structure of the program.

In addition, the Committee suggested that some type of rail title would be a product of the final bill. This may occur when the House and Senate bills reach conference.

Concerns remain in the bill regarding flatlining the CMAQ program at a time when a growing number of communities are designated non-attainment under the new 8-hour ozone and fine particulate matter standards.

The Conference will design a side-by'side Senate to House comparison on our homepage when the bill is made public.

The Symbolic $375 Vote

Before starting work on the $275 billion bill, Chairman Young called up and approved by a voice vote the original $375 billion bill as a symbolic vote.

"We had originally based the funding level of our $375 billion bill on the Administration's Conditions and Performance Report which set forth the needs of our transportation system. In addition, we received far more requests from members for funding of projects than we can possibly accommodate. That proves to me that the needs are real and that they are growing," Young said.

The House leadership had earlier said that it would not bring a $375 billion bill to the floor for a vote.