Remarks of Senator Jim Jeffords to the National Conference on Transportation and the Economy

Thank you, Dr. Ruane, for that generous introduction. And congratulations to the American Road and Transportation Builders Association on its 100th anniversary of service to America. Our nation's history can be measured by transportation=s changing generations. As ships and wagons gave way to rail and roads our nation took root. Then came our modern highways and our aviation system, and the nation prospered. Much is owed to those who have built these systems. On behalf of all Americans, we thank you.

I'd also like to thank the US Chamber of Commerce and the American Association of State Highway and Transportation Officials for their support of today=s conference. AASHTO has a long and distinguished record of leadership in national transportation policy. And the Chamber is now bringing its considerable resources to this effort as well, through its Americans for Transportation Mobility coalition. I appreciate these contributions and look forward to working with both the Chamber and AASHTO over the coming months.

Our topic today, Transportation and the Economy, underscores the fact that transportation is a means to an end. Our national policy and our pattern of investment in transportation must be guided by broad public objectives. In my view, the outcomes we seek are a strong economy, healthy communities and a clean environment. To realize these outcomes, America must be served by a world class, balanced transportation system.

In December of last year, on the 10th anniversary of the Intermodal Surface Transportation Efficiency Act, I presented my plan as Chairman of the Senate Committee on Environment and Public Works for reauthorization of the nation's surface transportation program. At that time, I laid out an agenda for 2002. I said then that we would assemble our partners from around the country, from industry and government, representing the best minds in the field of transportation, to explore the lessons learned over the last ten years and to discuss fresh ideas for moving forward.

We are now mid-way through that process. We have heard much from our partners. Today, I want to report to you on our progress. I want to set out a vision for surface transportation in the future. In so doing, I want to begin to focus our efforts on Transportation for the Next Generation. Let me begin by outlining six key issues:

The first is Asset Management. Our nation has grown both physically and economically around the Interstate Highway System and the mobility it affords. Reauthorization must be grounded in that reality. Now the Interstate is nearly fifty years old, with tens of thousands of bridges and culverts, many of which are deficient. In recent years, state DOTs have spent over 75% of their Interstate program funds on system preservation. We should continue this trend of Interstate maintenance. Where necessary, we should selectively expand the system, unclogging bottlenecks to meet changing conditions. Finally, we should focus on the system's performance and insist that it is well operated, so that we realize the full return on our investment.

The second key driving force is Freight and Trade. The Interstate Highway system has replaced warehousing and inventory with frequent, just-in-time delivery. And our nation has witnessed massive growth in international trade. This has led to a 20% increase in freight hauled in the United States over the last ten years. We need to focus on freight.

Rail is the third key issue and the forgotten option. The Interstate era was a celebration of an emerging technology - the automobile - and a giant step away from its dominant predecessor - rail. As the highway system grew, rail declined. Now, both the highway and aviation systems are congested. The events of September 11, and the disruption to aviation that resulted, make clear the need for redundancy in our transportation system. We need a modern freight and high speed rail network. Let's secure AMTRAK today while we define a national rail system for tomorrow!

The forth critical issue is Metro Mobility. Over 60% of Americans now live in the nation's 50 largest metro regions, and congestion levels in those regions is growing. Most agree that there is no single solution to the problem of congestion. Each metro area will need a coordinated approach using a range of measures. New technologies can expand the capacity of our highway and transit systems. Transportation strategies must be complemented by land use and development strategies to improve access.

Safety and Security is the fifth key issue. The good news is that our highways are becoming safer. Over the last ten years, the rate of fatalities has declined by over 20%. But accidents and deaths continue, concentrated disproportionately on rural highways and suburban intersections. Work zone accidents are also on the rise. Security is now a major concern. Transportation infrastructure is a potential terrorist target and is a critical element in disaster response.

Last but certainly not least is the Natural and Human Environment: Transportation has enhanced the quality of life for most Americans, but our mode of travel can have a profound impact on the natural environment. Vehicle emissions are a particular concern. Today's cars and trucks burn fuel 35% more efficiently and with 95% less emissions than 30 years ago, but the increase in vehicle miles traveled has slowed our progress. And we have not addressed carbon dioxide.

Carbon dioxide emissions from the transportation sector increased by 10% between 1990 and 1997. And carbon dioxide accounts for over 80% of total greenhouse gas emissions in the United States. These impacts threaten public health and economic stability. Convenient access and personal mobility for all Americans must continue to be transportation's most important contribution to a just society. But this must be achieved with respect for the environment and for the character of our communities.

These six issues are central to the strong economy, the healthy communities and the clean environment I spoke of earlier. Tackling them will take creativity and collaboration. And most importantly, it will take money.

We had a wake-up call this year on the matter of transportation funding. The President=s budget called for significant reductions in the Highway program. Working with my colleagues in the House, and with the support of my full Committee on Environment and Public Works, I introduced the Highway Funding Restoration Act. S. 1917 will restore an additional 5.8 billion dollars to the Highway program. Many of you in this room have spoken out in favor of the bill, and I thank you. Now let=s work to make it law!

Going forward, we will need this spirit of cooperation if only to consolidate TEA 21's funding gains. Today, we spend about 32 billion dollars per year in our highway program at the federal level. Yet estimates to simply maintain our highway system at acceptable standards run as high as 55 billion dollars in federal funds per year. We cannot pass a reauthorization bill at current funding levels. While I am not prepared to endorse a specific strategy today, I remain open to the full range of options.

Our host, ARTBA, has proposed a 10 cent increase in the gas tax. Others have called for indexing the gas tax and recapturing ethanol taxes. AASHTO would create a Transportation Finance Corporation, tapping the private capital markets. I welcome these ideas and encourage others. The needs are real and will demand tough choices.

Let me close with an observation on the state of our transportation community. I believe that the stakeholders are more unified today than ever in memory. With much more in common than in conflict, we have fertile ground for innovation and creativity. But our common challenge, a struggle for resources, will require strength through unity. This is a time to pull together, among modes, among sectors, among regions of the country.

As our hearing process continues and as we move forward on reauthorization, I welcome your thoughts and suggestions. Our challenge is to create Transportation for the Next Generation. With your help, I know we will succeed.

Thank you.

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