The High Speed Rail people are in deep poop. Not only must they give back $3.2 billion to the Feds on July 1, due to lack of matching funds, the next budget will be cut 80% for public transportation system. What the rats fight for those crumbs (colorful, huh?). It will be interesting to see how local governments keep their expanding government buses going with the national tax dollars?
The Washington gravy train has ended. There has not been a new dime since 2010 for high speed rail, nationally. Thanks to the Republicans in Congress the free market in transportation is going to take hold.
“Boxer also warns that the Highway Trust Fund, which pays for road and bridge repairs, is in “deep trouble.” The fund runs out of money this summer but it’s unclear where more funding would come from; Congress hasn’t raised the gas tax in two decades. Boxer says there are a number of options to make up the $18 billion a year shortfall: you can peg a rise in the gas tax to inflation; or switch to a fee tied to vehicle miles traveled; or charge a fee on freight containers.”
Beware of tax increases—to pay for government bureaucracy, not roads or transportation.
Divided Congress preps for battles over transportation funding
Kitty Felde, KPCC, 5/8/14
Funding for bridge and road repair will run out this summer unless Congress acts
Next week, a Senate committee headed by California Democrat Barbara Boxer is expected to vote on a six-year transportation bill.
The good news for Los Angeles is that funding for the federal loan program known as TIFIA — the Transportation Infrastructure Finance and Innovation Act — would be the same as last year. L.A. received ten percent of TIFIA loan dollars over the past two years — upfront money to help build Metro’s Crenshaw line extension and the downtown regional connector. The loan will be paid back with a half-cent sales tax increase that’s already been approved by voters.
Boxer credits L.A. with the idea of expanding the TIFIA program, but says competition will be tougher. She says the program’s been a “huge success,” but it’s over-subscribed: “So we want to make sure that all the cities and counties across this nation can take advantage of it.”
Boxer also warns that the Highway Trust Fund, which pays for road and bridge repairs, is in “deep trouble.” The fund runs out of money this summer but it’s unclear where more funding would come from; Congress hasn’t raised the gas tax in two decades. Boxer says there are a number of options to make up the $18 billion a year shortfall: you can peg a rise in the gas tax to inflation; or switch to a fee tied to vehicle miles traveled; or charge a fee on freight containers.
Boxer says three-and-a-half million construction jobs “depend on this.” It remains to be seen whether her Congressional colleagues will be bold enough to take some action before the fund runs dry.
There’s more bad news for Southern California: the House version of the transportation bill slashes a construction grant program by more than 80 percent and also reduces funding for transit projects.
Like an empty bucket, we need to see how many holes in the bottom have drained all of the water before we pour more in. An audit of the trust fund, I believe will show much of the money was drained off to fund projects having little to do with roads and bridges used by the vehicles generating the funds. If you want to fund bike paths tax bikes. Let the free market take over
May 9, 2014 at 9:27 am
This is why I do NOT support higher gas taxes or a fee on miles driven: because the gov't takes our gas tax and uses it on other projects like trains and mass transit. Out roads would be well paved and the bridges just fine if MASS TRANSIT had its own source of funds instead of stealing funds meant for the original purpose of the gas tax. No more money for the gov't!
May 9, 2014 at 8:04 am
wonderful and rewarding
May 8, 2014 at 9:54 pm