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Highway & Transit Bill Negotiations extend into Overtime

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Highway & Transit Bill Non-Binding Resolutions Revealing

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While only 33 members of the House have been assigned to the transportation conference committee tasked with negotiating a final reauthorization bill, it has not stopped some of their other colleagues from trying to impact negotiations by pushing votes on non-binding “motions to instruct conferees.” A brief examination of two such motions sheds light on

Highway & Bridge Work Drops in 28 States

Amidst a flurry of developments last week and a renewed sense of optimism, highway and transit reauthorization bill conferees and congressional staff worked through the weekend in an effort to reach a final agreement before the June 30 expiration of the federal surface transportation programs. On June 21, it was reported that negotiators had reached a compromise on some of the bill’s highway

portions. However, no details have been released regarding whether this agreement covered transportation policy, duration of the bill, funding levels, or revenue sources. Other hurdles include resolution of the transit and rail pieces of the legislation and whether or not to include Keystone XL pipeline and coal ash regulation amendments.

Senate Environment and Public Works Chairman Barbara Boxer (D-Calif.) and

House Transportation and Infrastructure Committee Chairman John Mica (R-Fla.) issued a joint statement June 21 stating, “The conferees have moved forward toward a bipartisan, bicameral agreement” and that the goal is to finish before June 30. If a final package can be approved by the conference committee, both the House and Senate could bring the legislation to a

In an effort to keep the pressure on Congress to complete action on the highway and transit bill, ARTBA on June 20 released a report showing that transportation improvement programs are struggling in over half the states.

The analysis, conducted by ARTBA’s Chief Economist Dr. Alison Premo Black, finds that even when adjusted for inflation the value of highway and bridge

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2012

LōTrans™ 2012TransOvation Room Deadline June 29

With an excellent line-up of speakers and topics planned for the 2012 TransOvation Workshop and Innovation Showcase in Lansdowne, Va. July 25-27, space is filling up fast. The learning event for transportation design and construction professionals will feature guests such as Federal Highway Administrator Victor Mendez and the Discovery Channel’s Danny Forster, host of “Build It Bigger.”

Speakers will explore how leading firms are creating growth through innovation and new technologies and provide practical knowledge that can be applied on the job. Attendees will also work in collaborative sessions where they will be asked to use design and construction solutions to reduce the number of deaths and injuries from motor vehicle crashes on the nation’s highways.

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the evolution of some representatives’ positions and the stalwartness of others. Representative Paul Broun (R-Ga.) drew 82 votes—solely from Republicans—in support of his June 8 motion to instruct conferees to virtually eliminate any new highway, transit or transportation safety spending in FY 2013. If the motion had been successful and subsequently followed by the conferees, the highway and transit programs would have crashed quickly.

Nearly two weeks later, Representative Tim Walz (D-Minn.) offered a motion to instruct conferees to complete an agreement by June 22. The House approved the Walz

motion 386-34 on an overwhelmingly bipartisan basis—the 34 opposing votes were all cast by Republicans.

Of the 82 Republican votes for the Broun motion to crash the federal surface transportation programs, only 23 also voted against the Walz motion instructing conferees to complete their work. The 23 members are: Reps.Amash (R-Mich), Broun (R-Ga.), Campbell (R-Calif.), Carter (R-Texas), Conaway (R-Texas), Culberson (R-Texas), Fincher (R-Tenn.), Flores (R-Texas), Foxx (R-N.C.), Garrett (R-N.J.), Gingrey (R-Ga.), Granger (R-Texas), Huizenga (R-Mich.), McClintock (R-Calif.),

Neugebauer (R-Texas), Poe (R-Texas), Pompeo (R-Kan.), Posey (R-Fla.), Quayle (R-Ariz.), Rooney (R-Fla.), Thompson (R-Pa.), Thornberry (R-Texas), and Westmoreland (R-Ga.).

On a further positive note, all House members assigned to the conference committee voted in favor of the Walz motion, except for Representative Reid Ribble (R-Wis.) who voted present. Ribble is author of the House’s position on streamlining environmental regulations.

4 ARTBA Washington Newsline

Overheard“ ”

TRB Newsletter: June 19 Highlighting new research, technologies, industry best practices and information resources available to the transportation design and construction industry.

A service of ARTBA’s multi-modal councils, it features current transportation developments making news across all modes and regions. Contact: Caitrin Reed to become a subscriber.

Fostering Innovation

MultimodalNews

“You have to know long-term down the road what monies you have to work with…what the policy is going to be that you have to work with. [T]his is a legitimate function of Congress. I’m a strong fiscal conservative, but I believe it is the function of government to build roads and bridges and interchanges. That’s our job. And so we should pass a long-term transportation bill.”

Representative Michele Bachmann (R-Minn.) June 21 on C-SPAN’s “Washington Journal”

This year, [Congress] is having trouble passing even relatively non-controversial items such as a farm bill and a highway bill. The driving force behind these failures is an unwillingness to compromise or put the national interest first.”

June 18 “USA Today” editorial: “Troubled Greece Just a Warm-Up for Europe, USA”

“I think it’s a shame we almost have become accustomed to the fact that Congress hasn’t gotten anything done. We are probably in better shape than most states, but that’s almost like saying we got shot in the leg rather than the chest. We’re all hurting.”

Florida Transportation Builders’ Association President Bob Burleson June 20, “Orlando Sentinel”

Legislative & Regulatory News

vote later this week. Still, other legislators

are beginning to work on contingency plans in the event a compromise cannot be reached. Conferee Rep. Bill Shuster (R-Pa.) said June 21, “Negotiations are going in a positive direction, but still we’ve got a ways to go,” pointing out that House leaders are preparing a six-month extension if a deal isn’t reached. For his part, Senate Majority Leader Harry Reid (D-Nev.) June 21 said: “I don’t think we’ll need an extension.”

ARTBA will update you as this extremely fluid situation progresses.

house Panel Approves Fy2013 Transportation Funding BillThe House Appropriations Committee June 19 approved by voice vote legislation that would provide $39.1 billion in federal highway investment and $10.2 billion for the transit formula and fixed rail programs in FY 2013. The Senate Appropriations Committee approved its version of the FY 2013 transportation funding measure April 19, which also would fund the core federal highway program at $39.1 billion. As a result, both measures would maintain current investment levels, but still provide $2 billion less than was invested in FY 2011. However, the House bill would cut federal transit capital investments by $138 million, whereas the Senate would increase this program by $89 million.

The Transportation Appropriations Subcommittee

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has previously noted the possibility of appropriating additional funds for highway and public transportation programs in the event transportation reauthorization conferees authorize higher investment levels.

The full House is expected to vote on the appropriations bill next week where it will likely pass. President Obama has threatened to veto legislation containing the House appropriations levels, taking the position that the investment levels are too low and would cost jobs.

u.S. DOT Announces $500 million in TIGeR GrantsThe U.S. Department of Transportation June 22 announced 47 projects across 34 states and the District of Columbia will receive approximately $500 million in the fourth round of Transportation Infrastructure Generating Economic Recovery (TIGER) grants. The winners were selected from 703 applications totaling $10.2 billion, demonstrating the overwhelming amount of

infrastructure investment needs across the nation.

An ARTBA analysis finds 28 percent of the TIGER funds, or approximately $141 million, will be invested in primarily road and bridge-based projects. Approximately $145 million, or 29 percent, will be dedicated to improving freight, intercity, and commuter rail. Additionally, $80.3 million, or about 16 percent, will help deliver improvements spanning multiple modes of transportation. Predominately bike and pedestrian projects will receive $60.6 million, or 12 percent of the total grants. Transit projects, such as light rail improvements, bus facility upgrades, and bus purchases will receive $55.35 million and improvements to ports and waterways will receive $19.7 million.

California led all states in receiving $40 million, closely followed by Texas, which received $37 million. Grants ranged from $1 million to fund the Ihanktonwan Transit Facilities Project in South Dakota to $21.6 million to improve the I-15 Virgin River Gorge Bridge in Northwest

5ARTBA Washington Newsline

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StateCurrent 12-month rolling total - June 2011 to May 2012

Pre-recession 12-month rolling total - June 2008 to

May 2009Percent Change

Alabama $702.5 $773.2 -9.1%Alaska $528.8 $308.7 71.3%Arizona $900.5 $1,291.9 -30.3%Arkansas $577.8 $439.9 31.4%California $4,700.1 $5,098.1 -7.8%Colorado $771.0 $550.2 40.1%Connecticut $488.4 $451.0 8.3%Delaware $262.0 $218.5 19.9%District of Columbia $45.0 $125.1 -64.0%Florida $2,703.6 $2,695.5 0.3%Georgia $922.6 $1,052.0 -12.3%Hawaii $198.9 $278.6 -28.6%Idaho $287.9 $497.6 -42.1%Illinois $2,462.1 $2,534.4 -2.9%Indiana $1,040.0 $1,507.8 -31.0%Iowa $919.4 $693.1 32.7%Kansas $685.0 $801.5 -14.5%Kentucky $1,022.4 $460.6 122.0%Louisiana $880.3 $2,341.4 -62.4%Maine $278.2 $244.7 13.7%Maryland $754.7 $750.7 0.5%Massachusetts $791.2 $1,113.8 -29.0%Michigan $937.0 $1,484.8 -36.9%Minnesota $1,247.3 $1,251.0 -0.3%Mississippi $558.9 $589.9 -5.3%Missouri $859.8 $1,222.6 -29.7%Montana $293.5 $292.0 0.5%Nebraska $411.4 $392.7 4.8%Nevada $596.7 $643.3 -7.2%New Hampshire $184.3 $316.8 -41.8%New Jersey $1,759.6 $1,703.1 3.3%New Mexico $333.3 $555.1 -40.0%New York $1,814.4 $3,502.4 -48.2%North Carolina $1,949.6 $1,132.3 72.2%North Dakota $530.2 $304.5 74.1%Ohio $2,120.7 $1,894.4 11.9%Oklahoma $827.3 $910.1 -9.1%Oregon $461.7 $474.3 -2.7%Pennsylvania $2,012.8 $3,031.4 -33.6%Rhode Island $117.2 $261.5 -55.2%South Carolina $519.2 $668.9 -22.4%South Dakota $374.6 $313.7 19.4%Tennessee $978.9 $807.4 21.3%Texas $5,179.1 $4,350.7 19.0%Utah $548.5 $1,115.6 -50.8%Vermont $119.8 $134.4 -10.9%Virginia $1,591.7 $850.9 87.1%Washington $3,152.6 $1,199.4 162.8%West Virginia $334.2 $630.3 -47.0%Wisconsin $1,237.1 $1,091.9 13.3%Wyoming $258.5 $395.9 -34.7%Total $53,232.5 $55,749.7 -4.5%

Real State & Local Government Contract Awards for Highway and Bridge Projects (millions)

Source: ARTBA analysis of McGraw Hill Data, using ARTBA Price Index, which measures changes in highway project material costs, labor and inflation.

hIGhWAy & BRIDGe CONTRACT AWARD ANALySIS

work let in 28 states over the past 12 months is less than awarded in pre-recession 2008.

“That’s a major reason why unemployment in the construction industry is over six points higher than the national average,” said Dr. Black. “Over the past four years, this also shows more than half of the states have gone backward in funding their highway and bridge needs.”

Dr. Black said, on average, states depend on federal funds for almost half of their annual capital investments in road and bridge work.

States still operating at a pre-recession program levels are: Ala., Ariz., Calif., Ga., Hawaii, Idaho, Ill., Ind., Kan., La., Mass., Mich., Minn., Miss., Mo., Nev., N.H., N.M., N.Y., Okla., Ore., Pa., R.I., S.C., Utah, Vt., W.Va., Wyo., and the District of Columbia.

See the full state-by-state breakdown on the chart to the right.

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Arizona. Congress appropriated

$500 million for this round of TIGER grants as part of the FY 2012 appropriations process. The fiscal year 2013 appropriations bill currently under consideration in the U.S. Senate provides $500 million for a future round of TIGER grants, while the companion bill in the House would defund the program in FY 2013. Read additional information on individual TIGER grants.

house Instructs Conferees to Include Coal Ash AmendmentThe House voted 260-138, June 21, in support of a non-binding motion to instruct transportation conferees that a final negotiated package should retain the coal ash regulation portion of the House-passed surface transportation reauthorization. The language, authored by Rep. David McKinley (R-W.Va.) and supported by ARTBA, would bar the U.S. Environmental Protection Agency from regulating coal ash as a hazardous waste. A hazardous designation would deter the long-held practice of using recycled coal ash in transportation infrastructure as a way to reduce waste, lower costs, improve concrete quality, and lower emissions. Last September, ARTBA released a study showing road & bridge cost would increase more than $100 billion over 20 years without coal ash. As reported earlier in the Newsline, conference negotiators continue to work on a final agreement before the June 30 expiration of the federal surface transportation programs.

Transportation Programs Struggling in 28 States

Conservatives should break transportation bill gridlockby Al Cardenas, chairman of the American Conservative Union

June 21, 2012

We thought ARTBA members would be very interested to read this op-ed from one of the nation’s leading conservatives, who says “transportation spending is at the core of what constitutes legitimate spending.”

The spending and debt crises of the past few years in Washington have forced an important debate about the proper role of government, and the need for prioritizing government spending.

The failed $800 billion stimulus, TARP, countless bailouts and Congress’ failure to make a serious attempt at controlling our $16 trillion debt have given many conservatives rightful anger over how Washington spends our money.

Unfortunately, well-placed mistrust in Congress’ ability to spend our tax dollars is now jeopardizing legitimate spending projects, chief among them this year’s transportation funding bill. If Congress fails to act by June 30, important transportation projects critical to our national defense and our economy will lose their funding. The effects on our already suffering economy will be far-reaching and profound.

While there are important disagreements between members of the House and Senate on this bill, enough consensus exists on the broad framework that there’s no

excuse for not passing it in time.

First, the current framework does not contain any earmarks. This is a monumental achievement in its own right considering “Bridge to nowhere” and “John Murtha’s airport” served to make transportation earmarks the poster children of wasteful pork spending.

Second, the myriad of highway spending categories that used to serve as hiding places for pet projects has been reduced from 87 down to 21.

Third, thanks to the leadership of Senator Jim Inhofe and conservatives in the House, the cumbersome and unnecessary environmental review process for road construction projects will see significant reform. How much reform is up for debate, but we’re going to get something better than what we have now, that much is assured.

Fourth, not passing a bill will hurt our already suffering economy.

While big-government Democrats mistakenly place their economic faith in the religion of

government spending, conservatives know the economic pump is best primed by a robust private sector. Government cannot do much to stoke job creation on its own, as evidenced by President Obama’s repeated failures during the past three years. But government can play a profound role in stalling job creation and hurting economic growth. Failure to pass a transportation bill would have a negative effect on commerce and the businesses that count on safe and reliable roads.

Perhaps most importantly, those of us who believe in constitutional conservatism understand that unlike all the things the Federal Government wastes our money on, transportation spending is at the core of what constitutes legitimate spending.

Article One, Section Eight of the Constitution specifically lists interstate road-building as one of the delineated powers and responsibilities vested in the federal government. In Federalist Paper #42, James Madison makes an early case for the federal government’s role in

maintaining a healthy infrastructure, by stating “Nothing which tends to facilitate the intercourse between the states, can be deemed unworthy of the public care.”

Let’s be clear - the legislation before Congress is still the product of a Democratically-controlled Senate, and far from conservative perfection. But there can be no denying that it represents a marked improvement over previous transportation funding bills. Enough progress has been made, victories won, and concessions secured from Democrats, that conservatives should feel comfortable dropping their objections and working to ensure passage of a bill before June 30.

The road to reforming government spending will be long and winding, but conservatives have us headed in the right direction.

ARTBA’s Transportation Officials Division and its allies from the public and pri-vate sectors are joining forces to host LoTrans™ 2012, the Local Transporta-tion Asset Management Virtual Confer-ence & Innovation Showcase featuring “Best Practices in Work Zone Safety.” Conference charter partners include the: U.S. Department of Transporta-tion, National Association of County Engineers, National Local Technical As-sistance Program Association, and the National Work Zone Safety Information Clearinghouse.

Scheduled for September 18-20 at your desktop or laptop computer, this educational and professional development event is aimed primarily at state, county and city govern-ment officials who annually manage $50 billion in transportation infrastructure capital investments, main-tenance, engineering and traffic services, and snow removal.

There is no charge to attend this virtual conference. No travel expenses. No time away from the office or family. Just 30+ presentations by national industry leaders, and exhibitors with products and services that will help make your agency more efficient.

Among the session topics:

Asset Management• Bridge preservation• Tort liability & risk management• FHWA’s “Every Day Counts”• Negotiating contracts with A/E firms• Environmental legal issues overview• Utility re-location• Maximizing local resources for successful federal-aid projects• Crisis communications preparation

Work Zone Safety• Speed management in work zones• Avoid runovers and backovers• The art of making workers and traffic control devices visible• Towards zero deaths—from concept to reality: an overview of efforts from around the world• Work zone access and egress strategies• Using technology to make work zones safer• Safety strategies for local and rural roads• Best safety practices from leading U.S. contractors

Register today at www.lotransvirtualconference.org!

www.lotransvirtualconference.org LoTrans™ 2012

September 18-20

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