Bush seeks $67 billion for DOT

Bush seeks $67 billion for DOT President Bush Monday requested $67 billion for the 2008 Department of Transportation budget, $42 billion of which is directed at highway construction and safety programs.
   Last year the president asked for $65.6 billion for the DOT.
   The 2008 budget also requests $175 million for the department's congestion relief initiative, which includes developing commuter traffic information systems, accelerating construction along main trade and travel corridors, and helping metropolitan areas test new solutions. The money comes from balances for unneeded congressional earmarks and would be made available to local governments with innovative plans for tackling congestion. Of that amount, $25 million is designated for the Corridors of the Future program to enable the DOT secretary to target a small number of projects that show they can help expand capacity and improve operations along heavily congested interstate travel and trade corridors.
   DOT Secretary Mary Peters said she hoped to work with Congress to develop new funding streams as the Highway Trust Fund balance continues to dwindle.
      'Long-term, we need serious reform of our approaches to both financing and managing our transportation network to win the battle against congestion,' Peters said.
   The budget request also would create alternative financing for Federal Aviation Administration air traffic control and other services by moving to a fee tied to actual use instead of the current tax-based scheme on each passenger and shipment. The Bush administration is expected to soon announce details of its plan to move from excise taxes based on ticket prices to a cost-based system by 2009. The new system would allocate payments based on the amount of air traffic control services provided to each aircraft, meaning aircraft would pay similar fees regardless of how many passengers are on board. The request includes $175 million for a new satellite navigation system to replace older air traffic control equipment and $900 million in additional air traffic control system upgrades.
   'Our plan puts incentives in place that will make the system more efficient as well as more responsive to the needs of the aviation community,' Peters said. 'This is critical if we are to deploy the state-of-the-art technology that can safely handle the dramatic increases in the number and type of aircraft using our skies.'
   Peters said she would soon announce details about the administration's overall aviation reform proposal.
   Before Congress deals with the fiscal 2008 budget it must pass appropriations bills for 2007. All departments except Defense and Homeland Security are operating under a continuing resolution that expires next week. The House recently passed an umbrella funding bill that essentially extends most departments at 2006 funding levels, with modest increases for salaries.
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