House Transportation & Infrastructure Committee Releases Draft Stimulus Package
The House Transportation & Infrastructure Committee released a draft outline of their stimulus package entitled the, “Rebuild America” proposal. It is important to note this is the first draft; amounts and the structure of the plan are subject to change.
Below is an outline of the sections of the stimulus that could directly impact ATSSA members:
$85 BILLION FOR INFRASTRUCTURE INVESTMENT
The Rebuild America proposal provides $85 billion infrastructure investment to enhance the safety, security, and efficiency of our highway, transit, rail, aviation, environmental, inland waterways, public buildings, and maritime transportation infrastructure. This includes:
Highways and Bridges: $30.25 billion
Including Federal-aid Highway Formula ($30 billion) and
National Park Road Funding ($250 million)
•The proposal requires these funds to be invested in ready-to-go projects. Priority shall be given to projects that can award contracts within 90 days of enactment.
•The proposal requires States, cities, public transit agencies, and other recipients of formula funds to certify State and local maintenance of effort and equitable distribution of funding to ensure that States, cities, public transit agencies, and other recipients continue their current investment levels and distribute funds equitably throughout the State and metropolitan areas.
•Recipients must submit a plan of projects for projects to be awarded contracts within 90 days, one year, and two years.
•The proposal ensures transparency and accountability by including regular reporting requirements to track the use of the funds, State investments, and the estimated number of jobs created or sustained.
•The Federal agencies administering these funds will provide periodic reports to Congress and the Economic Recovery Advisory Board (announced by President-elect Obama on November 26, 2008) on the amount of Federal funds apportioned, obligated, and outlayed; the status of bids, contracts, and construction; and the number of jobs created or sustained with the Federal investments.
•The proposal requires six periodic reports: 30 days, 60 days, 120 days, 180 days, one year, and three years after the date of enactment.
•Within seven days of the date of enactment, the U.S. Department of Transportation and Environmental Protection Agency will distribute formula funds to States, cities, and public transit agencies.
•State DOTs can immediately put out bids (typically for a period of 30 days) for ready-to-go projects.
•After receipt of the bids and contract award, work can begin on the project within an additional 30 days.
•The goal is to have the Rebuild America proposal “put shovels in the ground” within 90 days of enactment.
•The proposed $85 billion of Federal infrastructure investment will create or sustain more than 2.4 million jobs and $439 billion of economic activity.
•Each $1 billion of Federal funds invested in infrastructure creates or sustains approximately 34,779 jobs and $6.2 billion in economic activity.
RAIL – $5 BILLION – Infrastructure Needs
In 2007, the Passenger Rail Working Group of the National Surface Transportation Policy and Revenue Study Commission reported that the total capital cost for re-establishing the national intercity passenger rail network between now and 2050 is $357.2 billion, or an annualized cost of $8.1 billion.
•The States for Passenger Rail Coalition has identified $1.4 billion in ready-to-go intercity passenger rail capital projects, including corridor development projects, station and terminal improvements, improvements to track, siding, signal, and grade crossings, and the purchase of new equipment.
The timing for the stimulus package is still fluid. It is expected that nothing will move forward until late January at the earliest. ATSSA will keep you up-to-date on any new developments on the stimulus package.
If you have any questions, please feel free to contact Director of Government Relations Laura Dennis at LDennis@ATSSA.com or call (202) 454-5246.
