Energy & Transportation Update
An Information Service of the AFI Energy and Transportation Committee
March 15, 2002
Volume III, Number 6
House Budget Resolution Includes Agreement to Restore Highway Funding
On March 13, 2002, the House Budget Committee approved a $2.1 trillion FY 2003 budget resolution, which includes a provision that would partially restore the $8.6 billion reduction in highway funding. An agreement was reached by House Budget Chairman Jim Nussle (R-Iowa) and House Transportation and Infrastructure Chairman Don Young (R-Alaska) to include a reserve fund of $4.4 billion for the federal highway program, raising highway funding to $27.7 billion. The administration's FY 2003 budget proposal set the highway funding at $23.3 billion, $4.4 billion less than the amount guaranteed in TEA-21 and $8.5 billion less than what the program received in FY 2002. The highway funding was set to drop due to TEA-21 revenue aligned budget authority (RABA) provision that ties highway funding to gas tax receipts. The two committees also reached long-term agreements to extend the concepts of the "firewalls" to annually guarantee funding for highways.
The House budget resolution is the latest House proposal to address the potential highway funding reduction. Legislation was introduced last month by the House Transportation and Infrastructure Committee (H.R. 3694) that would authorize funding of at least $27.7 billion. Last week, House appropriators introduced legislation (H.R. 3900) that would nullify the RABA provision in TEA-21 for FY 2003 and would restore the funding level to $27.7 billion. The budget resolution would allow the Appropriations Committee to provide additional obligation limitation above $23.3 billion but no more than $27.7 billion. Chairman Nussle would release the $4.4 billion contained in the reserve fund if the appropriators distribute the fund consistent with the formulas in TEA-21. Sources say there appears to be support for higher funding levels in the Senate, which will mark up its version of the budget resolution next week. The House budget resolution is set for debate before the full House on March 20, before the congressional recess.
Attached is a state-by-state breakdown of highway funding increases under the Transportation & Budget Committees' Agreement.
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NCSL Staff:
Eileen Doherty
Committee Director
AFI Energy and Transportation Committee
(202)624-8687
Laurie Holmes
Committee Assistant
AFI Energy and Transportation Committee
(202)624-8695 |
