In a speech from the Rose Garden today President Barack Obama called on Congress to extend authorization of funding for the highway, transit and aviation programs as well as authorization for collecting the federal gas tax. The President warned of dire consequences for construction workers and their families across the country if these programs are allowed to lapse. AGC’s CEO Stephen Sandherr participated in the event to highlight the impact of inaction on the construction industry and to emphasize the need for Congress to act quickly upon its return from its August recess to ensure that a short term extension of the highway, transit and aviation programs are put in place and that a long term solution is found.
House Transportation and Infrastructure Committee Chairman John Mica (R-Fla) and House Speaker John Boehner (R-Oh) both responded immediately indicating their intent to not allow these infrastructure programs to shut down.
In addition to shoring up support for a short term extension, AGC has been contacting Republican senators on both the Environment and Public Works Committee and the Finance Committee seeking support for a funding package that would allow the highway and transit programs to be authorized for a two year period at current funding levels. The current balance in the Highway Trust Fund, along with incoming revenue from the motor fuels fees and other excise taxes, are not sufficient to maintain current funding levels. Senate Finance Committee Chairman Max Baucus (D-Mt) is attempting to find revenue that would allow the programs’ funding levels to be maintained and AGC is working in support of this effort.
The highway and transit programs expire on September 30, 2011. Failure to enact an extension of authorization would result in a shutdown of the Federal Highway Administration (FHWA) and would halt reimbursements to states for ongoing construction contracts. The Federal Aviation Administration (FAA) authorization has been operating since September 2007 under a series of 22 short term extensions. Just prior to the August recess the differences between the House and the Senate resulted in failure to pass an extension resulting in the shutdown of FAA funded contracts around the country as well as the inability to collect the airline ticket tax. The current FAA authorization is only in place until September 16. AGC is urging Congress to work out the differences and not allow these programs to be halted in the meantime.
For more information, please contact Brian Deery at (703) 837-5319 or deeryb@agc.org.
- Industry Priorities
- Education
- News
- Connect
- Benefits
- Events
- Shop