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Bush Budget Proposes Full Funding For Highway, Transit & Airport Construction Programs

Contacts:
Dr. Bill Buechner
202-289-4434
bbuechner@artba.org
Matt Jeanneret
202-289-4434
mjeanneret@artba.org


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Washington, D.C. [March 12, 2001] - The Bush Administration’s fiscal year (FY) 2002 budget blueprint should help ensure continued transportation construction market growth, an American Road & Transportation Builders Association (ARTBA) analysis says.

The president’s plan, "A Blueprint for New Beginnings: A Responsible Budget for America’s Priorities," provides a broad outlines of the Administration’s budget priorities, with more details to be released in early April.

The president’s proposed budget would fully fund the $27.2 billion guaranteed for highway programs under the Transportation Equity Act for the 21st Century (TEA-21), ARTBA says. It also calls for investing $4.5 billion in revenue aligned budget authority (RABA) resulting from the higher than anticipated federal motor fuel tax revenues. With $739 million of additional Minimum Guarantee and Emergency Relief funds, the core highway program would be funded at approximately $32.5 billion in FY2002—a $2 billion increase.

ARTBA Vice President of Economics & Research Dr. Bill Buechner says the proposed budget also recommends funding the transit program at the TEA-21 guaranteed level of $6.7 billion—$486 million more than this year. It recommends $521 million for Amtrak. The plan would provide the $3.3 billion for airport construction guaranteed by 2000’s Aviation Investment & Reform Act for the 21st Century (AIR-21). This would represent a $107 million, or 3.3 percent increase.

Under the Bush proposal, California would see the largest increase in highway funding next year, $175 million, ARTBA says. Other states with big boosts would include: Texas ($142 million), Florida ($90 million), New York ($97 million), Pennsylvania ($96 million), Georgia ($66 million) and Illinois ($64 million). The state apportionments are set by law, not the president.

In total, federal transportation programs would be funded at $61.2 billion during FY2002 under the Bush plan.

Unlike the last two Clinton Administration budgets, the FY2002 Bush proposed budget does not attempt to earmark the RABA adjustment for purposes not identified by TEA-21. It does, however, propose $145 million for a "New Freedom Initiative" to promote activities that provide greater access to transportation for people with physical disabilities.

The ARTBA analysis of the president’s budget proposal can be accessed by clicking here.

Celebrating its 100th anniversary in 2002, ARTBA provides representation exclusively for the U.S. transportation construction industry in Washington, D.C.

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