Calls for One-Year Surface Transportation Extension with Additional Funds

On July 8, the House Appropriations Subcommittee on Transportation, Housing, and Urban Development (THUD) passed legislation to fund related programs for fiscal year (FY) 2021. If enacted, this measure would provide significantly increased funding for surface transportation programs consistent with levels offered in the recent House passed INVEST in America Act. In addition, the bill would provide funding for economic recovery from the coronavirus pandemic, including an additional $3 billion for the Better Utilizing Investments to Leverage Development (BUILD) grant program and $3 billion for grant and facility upgrade programs through the Federal Aviation Administration (FAA). This measure will now be taken up for consideration by the full Committee. With the FAST Act, legislation that currently authorizes surface transportation programs, set to expire on September 30, it is incumbent that Congress soon come to an agreement on legislation to reauthorize these programs. AGC will continue to monitor this and other FY21 funding measures as they move through the legislative process. Click here for a detailed breakdown of funding levels in this measure.

On July 1, the U.S. House of Representatives passed a $1.5 trillion infrastructure investment bill—the largest and broadest federal investment in the nation’s infrastructure ever. Among the investment included in the Moving Forward Act (H.R. 2) is more than $500 billion for transportation construction, $130 billion for school construction, and $75 billion for water infrastructure construction. The bill, however, also includes certain untenable policies added during the largely partisan legislative process. Those policies are highly unlikely to advance through the Republican-controlled Senate, which will not consider this infrastructure package, or be enacted given President Trump’s veto threat. The Senate is more likely to consider targeted, more modest infrastructure investment—absent such policies—when it puts forth its pandemic relief bill by the end of July.

On June 15, Senators Ted Cruz (R-Texas), Todd Young (R-Ind.), and Kyrsten Sinema (D-Ariz.) introduced the Expedited Delivery of Airport Infrastructure Act, legislation that would ensure Airport Improvement Program (AIP) funds can be used to provide incentive payments to contractors for early completion of eligible projects. Rather than the owner agency establishing unrealistic completion dates, which could discourage some contractors from bidding on those projects, incentive payments allow contractors to determine how best to earn the incentive. This AGC-supported measure passed the House Transportation and Infrastructure Committee in February. AGC will continue to support this measure as it moves forward in the legislative process.

Organizes bipartisan letter to Senate Leadership

On June 15, ahead of the markup of the legislation in the House Transportation and Infrastructure Committee, AGC released a full analysis of the INVEST Act, the House Democrats’ recently introduced surface transportation reauthorization bill. This seven-page document provides a deep dive into the provisions of the bill, including analysis on investment and funding levels, workforce related policies, environmental initiatives and regulations, project delivery and safety, technology, research, and development. A one-page overview of that analysis is also available here. As the legislative process on this bill moves forward and amendments are adopted, AGC will continue to provide updates on this measure.

On May 11, over 135 members of the House—led by Reps. Conor Lamb (D-PA) and Bob Gibbs (R-OH)—called on Speaker Pelosi and Leader McCarthy to support approximately $50 billion in federal funding for state departments of transportation (DOTs) in the next COVID-19 response package. AGC, along with other transportation construction stakeholders, spearheaded this effort. Also this week, House Democrats proposed providing $15 million in direct funding for state DOTs in their recently released HEROES Act (see above). While AGC appreciates this measure, it is strongly encouraging Congress to increase the amount of funding for state DOTs as the legislative process moves forward. Such funding is essential to helping ensure planned transportation projects can proceed as planned and to helping protect construction jobs

On May 14, the Federal Motor Carrier Safety Administration (FMCSA) released the final hours of service rule in order to improve the safety of the nation’s roads and increase flexibility for truck drivers. The final rule makes changes to four provisions: the short-haul exemption; adverse driving conditions; the 30-minute break; and split-sleeper berth. The final rule does not increase driving time. Last year, AGC submitted comments to FMCSA in support of the notice of proposed rulemaking.

AGC and its Transportation Construction Coalition partners organized a bipartisan effort led by Reps. Conor Lamb (D-Penn.) and Bob Gibbs (R-Ohio) calling on the leadership of the House of Representatives to include an immediate $49.95 billion federal fund infusion for state departments of transportation (DOT) to move planned projects forward. Projections are showing decreases in state motor fuel tax and toll receipts as vehicle traffic declines by 50 percent in most parts of the country due to work and travel restrictions. Some state DOTs could experience losses as high as 45 percent, leading to significant project letting delays and cancellations, threatening construction jobs. AGC and its chapters are making a concerted effort to bring as many members of the House together in making this request a priority included in the next COVID-19 relief bill. Contact your U.S. Representative and U.S. Senators to tell them to support this critical funding for the transportation construction industry in the next COVID-19 relief bill.

Coronavirus-caused Slowdown Contrasts with January Figures Showing a Majority of Metro Areas Added Construction Jobs; Officials Note New Infrastructure Funding and Paid Family Leave Fixes are Needed