Transportation Policy

Approximately every six years, Congress authorizes a funding and policy package that defines federal support to states for transportation infrastructure planning and projects. The content of this bill has far-reaching effects on states and regions and their economic competitiveness, transportation options, land use patterns, environmental quality, and public health.

In 1991, Congress passed the Intermodal Surface Transportation Efficiency Act that signaled a major shift in federal policy from a “highway bill” to a comprehensive “transportation bill”. The programs and policy structure of that bill have largely been retained in successive reauthorizations – first the Transportation Equity Act for the 21st Century (TEA-21) in 1998 and then the Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users (SAFETEA – LU) in 2004, which expired in September 2009. Transportation funding has been extended eight times by Congress through continuing resolutions of the previous bill. However, due to rising costs and declining revenues to the Highway Trust Fund (HTF), which funds most federal investment in surface transportation, Congress has needed to divert general revenues to cover the shortfall in the HTF − approximately $8-10 billion in fiscal year 2010 alone.

The world and the nation have changed since 1991. Energy security, rising fuel prices, climate change, and global economic competitiveness have become more urgent issues at a time when the US transportation and infrastructure system has fallen into a state of disrepair. A 2009 Report Card by the American Society of Civil Engineers gave the U.S. an overall infrastructure grade of D; roads received a D-, bridges a C, and transit a D. In order to improve the condition of U.S. infrastructure to “Good,” the report estimates that a $2.2 trillion investment is needed. A robust and well funded transportation and infrastructure reauthorization is necessary for the U.S. to maintain its competitive edge and propel economic growth.

The convergence or “perfect storm” of energy, climate, economic, and funding crises points to both the opportunity and the need for a new federal approach to meeting our transportation needs. EESI is working with business, labor, environmental, housing, energy, and other diverse interests to develop a federal transportation policy that meets the nation’s needs for the 21st century.


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