A nine-month, $11 billion extension of Department of Transportation highway and transit programs expires in May. Without another infusion of money from the General Treasury states likely will have to scale back projects because the Highway Trust Fund is not bringing in enough revenue from gas tax receipts to cover existing construction needs. Beyond the immediate funding cliff, there is pressure on Congress to come up with a multi-year bill to further reform infrastructure delivery and create additional sources of revenue to support the Highway Trust Fund.
In his “Fast Lane” blog, Foxx said there are thousands of highway sections and bridges across the country that need to be widened, repaired or replaced, but are deteriorating because there is not enough money to pay for such projects. Many states are slowing or postponing projects until there is more funding certainty from Washington to cover the federal share of projects on the national highway system.
The situation is harming U.S. global competitiveness and domestic productivity, experts say.
Foxx said that multiple short-term extensions in the past several years have created a climate of uncertainty that is killing the will of states and local governments to build up their transportation systems.
“We must face the facts and address the cumulative chilling effects of these short-term measures and this policy uncertainty,” the secretary said.
In an appearance on MSNBC’s “Morning Joe” program on Thursday, Foxx urged Congress to move quickly on passing a long-term reauthorization bill. He reiterated the Obama administration’s plan to raise about $150 billion over four years through corporate tax reform, although he failed to note that it would only provide a one-time infusion of money rather than an ongoing stream of revenue.
Asked about whether raising the gasoline tax is a good option, he said once again that the administration would wait to see if the idea gained any consensus in Congress.
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The Signal at Chattanooga Choo Choo • Chattanooga, TN Register NowThe night before F3. FreightTech100 companies honored. FreightTech 25 and Shipper of Choice winners revealed live. Cocktail reception into dinner and live music - 300 industry leaders in one purpose-built room.
The Signal at Chattanooga Choo Choo • Chattanooga, TN Register NowIndustry-defining keynotes, rapid-fire technology demos, and industry leaders networking in experiences across Chattanooga - plus the inaugural F3 Awards Dinner featuring the FreightTech and Shipper of Choice reveals.
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