Congress approves three-week highway funding extension
Last week, Congress acted to extend highway funding for an additional three weeks beyond the current deadline.
The bill authorizes federal transportation funding through November 20. President Obama has outspokenly opposed short-term funding for highways passed in lieu of long-term funding, but is expected to sign the bill. Members of Congress in both chambers have stated that the short-term funding provides more time to work on a long-term bill without defaulting on projects.
Over the summer, the Senate passed a six-year highway funding bill but only included three years of guaranteed funding. The House is currently working on its own version of a six-year bill that includes $325 billion in funding with three years of funding, but cuts off spending after three years if Congress does not establish a funding formula for the final three years. This measure is expected to see a floor vote in the next few weeks.
The federal gas tax is 18.4 cents per gallon and raises $34 billion annually, but the federal government spends $50 billion per year on transportation projects.
“Unpredictable funding from the federal government has plagued the highway community for several years,” PHIA Managing Director Jason Wagner said. “Infrastructure improvement projects require consistent and reliable funding, and Congress has failed to provide that. Road improvements will slow if a long-term solution is not reached soon.”
