By Ron Thaniel
May 26, 2003

The Bush Administration's proposal for renewing the nation's surface transportation law was unveiled May 14 by Transportation Secretary Norman Y. Mineta.

Secretary Mineta called The Safe and Flexible Transportation Efficiency Act of 2003, or SAFETEA a "blueprint for investment" that "will help ensure transportation projects are completed on budget and on time, while protecting the environment." SAFETEA calls for a total spending level of $247 billion for highway and transit programs.

Immediately criticizing the proposal, the Chairman of the House Transportation and Infrastructure Committee Don Young (AK) said, "unfortunately, the administration's funding levels are inadequate to meet America's growing surface transportation needs."

Chairman Young said the Administration's funding levels are lower than that of the 1998 high-way and transit law TEA-21 which authorized $218 billion over six years, if adjusted to reflect 2003 dollars.

In a statement on the proposal, Conference of Mayors President Boston Mayor Thomas M. Menino applauded the Administration for "the increased flexibility and resources for safety and security" of the current law but expressed "concern that the funding levels in the proposal do not meet current and future transportation needs for mass transit and highway accounts."

Mayor Menino also expressed concern "that the proposal does not direct greater resources and decision making authority to cities. Specifically, the proposal cuts or fails to build on the successes of the congestion mitigation and surface transportation programs."

Noting "mayors and other local elected officials are responsible for most of the nation's transportation infrastructure, including nearly all transit systems, ports and airports, as well as bridges, roads, sidewalks, trails, and parking structures."

"Yet only six cents of every federal highway dollar is currently allocated to local government," said Mayor Menino.

The 378 page proposal is available at the U.S. Department of Transportation's website, http://www.fhwa.dot.gov/reauthorization/safetea.htm.

Funding Highlights

• Authorization Period: Fiscal years 2004-2009 (6 years).
• Total Authorization Funding Level: Approximately $250 billion (17% increase over the authorized levels in TEA 21).
• There are budgetary firewalls established for the highway category (Federal-aid highways, highway safety, and motor carrier safety) and for the trust fund portion of the transit program. These firewalls are effective only if the 1985 Balanced Budget and Emergency Deficit Control Act is reauthorized before enactment of the authorization.
• The highway programs are firewalled at $196.4 billion over 6 years. This is a 20% increase over the guaranteed highway programs funding level contained in TEA 21 of $163 billion.
• The guaranteed portion of the transit program totals $37.6 billion (the mass transit account-funded portion of the program). Another $8 billion in general funds are authorized for the transit program, but these funds are outside the firewall. Under TEA 21, both the trust fund and general fund portions of the transit program are protected by the budgetary firewall.