federal transportation update
TRANSCRIPT
Federal Transportation Update
RPO America Annual Business MeetingJune 13, 2016
Presentation Overview
FAST Act Overview FAST Act & MAP-21 Implementation FY2017 Transportation Appropriations
Update FAA Reauthorization Congressional Outlook
FAST Act Overview
5-year bill (FY2016-2020) with $281 billion in total Highway Trust Fund obligation authority
Total HTF obligation authority would rise from $50.8 billion in FY2015 to $58.7 billion in FY2020
Paid for by an $8 billion general fund bailout in August 2015, a $70 million bailout in the FAST Act itself, and an estimated $208 billion in HTF excise tax receipts over five years
The $78 billion in general fund bailouts represents about 27% of the estimated total HTF deposits needed to support the FAST Act
FAST Act Overview
The immediate $70 billion general fund transfer was offset by a variety of provisions estimated at the time to bring in an equivalent amount of savings over the FY2016-2025 period
New spending commitments from the HTF will increase by an average of 3.1% per year; appropriators expected to honor
FAST Act also authorized general fund appropriations that may be difficult for Congress to meet: $2.4 billion per year for mass transit $1.7 to $2.5 billion per year for Amtrak
and passenger rail grants
FAST Act Overview
Conversion of STP to a “block grant” program – very few actual changes
Increase in STP suballocation to local governments from 50 to 55 percent
Transportation Alternatives Program rolled into STP; allows 50 percent of certain TAP funding suballocated to local areas to be used on any STP-eligible project
Reinstates competitive grant program for bus and bus facilities funds with a 10 percent set-aside for rural projects
70% cut in TIFIA
FAST Act Overview
New freight formula program – mostly a redirect of NHPP money with a slightly bigger emphasis on freight projects
Modifies the National Freight Network created by MAP-21 and requires re-designation every 5 years
Nationally Significant Freight and Highway Projects (NSFHP), large new discretionary program for highway/freight projects $759 million this year Minimum grant size of $25 million
Increased emphasis on rail and intermodal funding out of Highway Account programs; up to 10 percent of freight formula program and up to $500 million over 5 years from NSFHP
FAST Act and MAP-21 Implementat
ion Freight Corridor Designation
Guidance (April 2016) Truck Size and Weight Study (April
2016) Transportation Performance
Management Safety-related performance measures
(March 2016) Highway Safety Improvement Program
(March 2016) Statewide and Metropolitan Planning;
Non-Metropolitan Planning (May 2016) Pavement and Bridge Conditions (Fall
2016) Highway Asset Management Plan (Fall
2016) System Performance Measures (TBD)
FY2017 Transportation Appropriations
House has moved FY2017 Transportation-HUD bill through the Appropriations Committee, Senate has passed their version
Both House and Senate bills honor FAST Act’s funding levels for highway and transit
TIGER: $525m in Senate bill; $450m in House bill Senate bill includes a $2.2 billion rescission in
unobligated highway contract authority apportionments
FAA Reauthorization
Current extension expires July 15
House bill includes air traffic control reforms; has not garnered enough support to secure a vote on the House floor
Senate has passed its version with widespread support
House opposed to a short-term extension and taking up the Senate version
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Congressio
nal Outlook
House and Senate will take a seven-week break in mid-July
Possible action on Water Resources Development Act
Talk of tax reform as an avenue to address Highway Trust Fund solvency in the next Congress
QUESTIONS
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