Delivering a direct head butt to Transportation Secretary Ray LaHood and the Obama administration, House Transportation and Infrastructure Chairman James Oberstar announced this morning that he intends to begin a markup Wednesday in the Highways and Transit Subcommittee of a six year, $500 billion Highway Trust Fund reauthorization measure for federal surface transportation projects. Unwilling to accede to Secretary LaHood's request for an 18 month interim funding measure for the Highway Trust Fund while new revenue sources to pay for transportation infrastructure are explored, Oberstar and his committee still have not disclosed how they expect to raise the revenue required to fund his proposals.
The current Highway Trust Fund legislation expires September 30, 2009, and the fund is expected to be as much as $7 billion in the red by that date if no new measure is signed into law before the fiscal year ends on that date. President Obama has dismissed both current proposals for raising the needed funds, including increasing the gasoline tax to $0.40 per gallon, and imposing a new tax on vehicle miles driven. Transportation and Infrastructure Ranking Member Jerrold Nadler of New York insists that other revenue raising measures to fund surface transportation are under consideration. Congressman and Transportation and Infrastructure Committee Member Vernon Ehlers of Michigan has suggested new taxes on intermodal freight containers, and an oil refinery tax, as possible revenue measures to fund transportation infrastructure projects.
Oberstar's draft bill would reduce the time states are allowed for completing highway and other transit and transportation infrastructure projects funded by the bill from 14 years to 3 years. The Oberstar draft also would cut the number of different formulas for distributing the cash to states and territories from 108 different formulas to only four formulas, greatly simplifying state and local transportation construction project planning. If Oberstar gets his way, the legislation should be delivered to the Oval Office before the Labor Day recess.
The current Highway Trust Fund legislation expires September 30, 2009, and the fund is expected to be as much as $7 billion in the red by that date if no new measure is signed into law before the fiscal year ends on that date. President Obama has dismissed both current proposals for raising the needed funds, including increasing the gasoline tax to $0.40 per gallon, and imposing a new tax on vehicle miles driven. Transportation and Infrastructure Ranking Member Jerrold Nadler of New York insists that other revenue raising measures to fund surface transportation are under consideration. Congressman and Transportation and Infrastructure Committee Member Vernon Ehlers of Michigan has suggested new taxes on intermodal freight containers, and an oil refinery tax, as possible revenue measures to fund transportation infrastructure projects.
Oberstar's draft bill would reduce the time states are allowed for completing highway and other transit and transportation infrastructure projects funded by the bill from 14 years to 3 years. The Oberstar draft also would cut the number of different formulas for distributing the cash to states and territories from 108 different formulas to only four formulas, greatly simplifying state and local transportation construction project planning. If Oberstar gets his way, the legislation should be delivered to the Oval Office before the Labor Day recess.
