July 8, 2011: Hotline #714

House Republicans unveiled a six-year surface transportation bill that would provide approximately $230 billion for highway, transit, and highway safety programs—slashing current levels by almost a third—raising the ire of Democrats, labor, transportation advocates, and the business community.

The funding levels proposed by House Transportation & Infrastructure Chairman John Mica (R-FL) match the current revenue levels of the Highway Trust Fund, and comply with rules set by House Republicans that prohibit raising spending levels above the levels allowed by current tax revenue.  It also complies with a strict aversion Republicans in the 112th Congress have shown to raising tax revenue to meet infrastructure needs, with many of the freshman Members of the House having been elected into office with the backing of Tea Party activists.

Notably, Mica’s bill would cut Amtrak’s operating grant by 25 percent for each of the next two fiscal years, and would place limits on Amtrak’s discretion to use federal funds.  It would also eliminate the High-Speed and Intercity Passenger Rail grant program as currently structured, and would prohibit federal funding for projects that would benefit trains with a top speed of less than 125 mph.

Mica was quick to defend the spending levels, saying that by reorganizing federal funding structures and reducing environmental regulation to cut project delivery time, government money could be leveraged with private investment.  And while affirming that the traditional 80/20 split between highway and transit spending would continue in this surface transportation bill, the Chairman promised more flexibility in which modes states chose to direct federal spending, emphasizing it wasn’t just a “highway bill” but a “transportation bill.”

“When you see the price of one car on the road, and new highway construction through metropolitan areas, or even our rural areas, you become an advocate of transportation alternatives,” said Mica in response to a question from a passenger rail advocate.

The Amtrak privatization proposal unveiled weeks earlier by Mica were not included in the draft, though the bill did have provisions related to rail.  Those provisions include expanding eligibility of the Rail Rehabilitation and Improvement Financing loan program to include high-speed rail projects, along with a general speeding up of the loan process; streamlining the rail project review process; and changes to the deadlines for implementation of the positive train control safety systems.

“This is a bold vision for a reauthorization that focuses on multiple modes, including rail and hazardous materials transportation as well as our highway system,” added Railroads, Pipelines and Hazardous Materials Subcommittee Chairman Bill Shuster (R-PA). “We can do this with America’s rail system at the same time we improve our highways.”

That sentiment was vehemently contradicted by Democrats on the Transportation Committee.  At a press conference following the unveiling of Mica’s draft they complained not only that investment levels were anemic, but that the bill was drafted by the Majority with no consultation or input from the Minority, a move they describe as breaking with the Committee’s bipartisan precedent and tradition.

“While we have yet to see much of the details of this legislation, based on the funding levels alone, it appears that this bill can best be called the ‘Republican Road to Ruin’ because it would take our Nation in the wrong direction,” said Representative Nick Rahall (D-WV), Democratic Ranking Member on the House Transportation Committee.  “The dramatic, mindless cuts proposed to surface transportation programs will destroy nearly 500,000 American jobs next year alone, undermine our Nation’s long-term economic competitiveness, and jeopardize our economic recovery.”

Labor leaders joined Democrats in panning the proposal.  Ed Wytkind, president of the Transportation Trades Department of the AFL-CIO, called Mica’s “the worst highway and transit funding bill in modern history” and a “loser for the American economy.”

And while its no surprise that labor, transit, and infrastructure groups are criticizing a cut to transportation investment, the Democrats have gained unexpected support in the U.S. Chamber of Commerce, a traditional Republican ally.  Janet Kavinoky, executive director of transportation and infrastructure for the Chamber, called the investment levels unacceptable.  While she supported Mica’s attempts to streamline federal agencies and project delivery, Kavinoky stated will the draft bill would “destroy—rather than support—existing jobs and will not enable creation of the additional jobs needed to put the 16.3 percent of unemployed workers in the construction industry back to work.”

Currently, the U.S. invests only 1.9 percent of its Gross Domestic Product (GDP) per year on infrastructure investments.  To put that into perspective, China spends nine percent of its GDP per year, the average European nation invests 5 percent of its GDP per year, and India spends five percent of its GDP per year.
An alternative bill has been offered by Chairwoman Barbara Boxer (D-CA) of the Senate Environment and Public Works Committee.  It would provide $109 billion for surface transportation programs over two years, essentially maintaining current spending levels.  Opponents of Mica’s six year plan have expressed support for the Boxer draft, hoping a short-term extension of the funding status quo can more easily navigate the partisan legislative logjam that has overtaken the current session of Congress.

“We talk about doing more with less,” said Rahall, responding to the mantra coming from Majority members of the House Transportation Committee. “At the end of the day, you get less.”


The Orlando, Florida area’s SunRail commuter line received the green light from Governor Rick Scott (R) last Friday, clearing the way for work to begin.

The $1.28 billion, 61 mile commuter line will service communities between Orlando and DeLand, carrying an estimated 2,150 passengers a day.

The move has angered Tea Party advocates, a group that played an active role in getting Scott elected and had a hoped that Scott’s rejection of $2.4 billion in federal funds for a high-speed rail line between Tampa and Orlando spelled the end of the SunRail project.

But passengers, business groups, and local elected officials—all of which had been pushing hard for the train—will be happy that Scott made the right choice in the end.


The Maine Legislature voted on July 1 to allocate a portion of the state sales tax on rental cars to the State Transit, Aviation and Rail (STAR) transportation fund in fiscal year 2012.

As of this week, the STAR fund will receive an estimated $3.1 million injection.  Of that total, $1 million will go to the Industrial Rail Access Program (IRAP), and $930,000 will be directed to transit investments.  The additional money will be critical in helping the state meet federal grant matching requirements for improvements to the popular Amtrak Downeaster service. 


The Washington Post got a first look at Washington Metropolitan Area Transit Authority’s new Metro rail cars this week.

The new rail cars will go beyond the standard upgrades of updated interiors, expanded seating, and improved safety—though passengers will have that to look forward to.  The rail cars will also feature modern navigation tools for riders, including “digital destination” screens that will display real time information on the location of rail cars on the line (like those used on the New York City subway’s newest cars), and LED screens featuring safety messages, ads, and station information (parking, area attractions, etc).

The upgrades could be a sign of things to come for cities around the country if the U.S. continues to invest in its transit infrastructure.


The U.S. Department of Transportation announced last week that transit providers across the nation will be able to compete for a share of $101.4 million in federal funds designed to promote the innovative use of clean-fuel technologies in transit.

The grants, part of Federal Transit Administration’s (FTA) Fiscal Year 2011 Sustainability Initiative, will promote the use of clean and renewable fuels, creating green jobs and lowering reliance on imported oil.

“This money supports President Obama’s plan to improve the environment and secure America’s energy future,” said Secretary LaHood in a June 29 statement. “These investments will improve public transportation access for millions of Americans—all while reducing our dependence on oil, curbing air pollution, and easing pain at the gas pump.”

The initiative contains funding for two separate programs, both of which will employ competitive selection processes to ensure the best use of funds.  The FTA’s Clean Fuels Grant Program will distribute $51.1 million to help communities achieve National Ambient Air Quality Standards for ozone and carbon monoxide, supporting advanced propulsion systems for transit vehicles.  The Transit Investment in Greenhouse Gas and Energy Reduction (TIGGER) III Program will distribute $49.9 million to projects that increase energy efficiency and lower the emission of harmful pollutants, with an eye on supporting programs that will offer a return on the initial investment.

“With high gasoline prices hitting families hard, investments in transit are more important than ever,” said FTA Administrator Peter Rogoff. “By giving Americans more transportation choices, we’re providing a win for their pocketbooks and for the environment.”

A list of past winners can be found here.


A study commissioned by the International Union of Railways (UIC), a trade group representing railroads around the globe, including Amtrak, confirms that greater use of railroads will result in reduced planet-warming carbon emissions. The study was released Monday.

An assessment of European rail infrastructure capacity shows that just by maximizing the use of existing railroads, a 30-40% growth in the distance traversed by trains in 2020 could be accommodated. If this increased capacity was allocated equally to freight and passenger services, rail freight traffic could grow by 83% and passenger transport by 23% over the whole network.

The study, commissioned by the Community of European Railway and Infrastructure Companies along with the UIC, also found that some 7% of the total emissions from road and rail freight - could be reduced through full use of main rail corridors and the primary rail network in 2020.


Travelers’ Advisory

• The collapse of a CSX railroad bridge about 40 miles east of Indianapolis after a freight train derailment on Wednesday has forced the suspension of tri-weekly Amtrak Cardinal service between Indianapolis and Cincinnati until further notice (at least two weeks). Chartered motorcoaches will carry Amtrak passengers between Cincinnati, Connersville IN, and Indianapolis in place of trains 50 and 51 until the bridge is repaired. Daily Chicago-Indianapolis service will continue via the Hoosier State. Click here for more information about the bridge collapse.
• One of two daily Amtrak Missouri River Runner round-trips between St. Louis and Kansas City are temporarily suspended, due to the diversion of additional Union Pacific Railroad freight traffic from flooded tracks onto the route used by the Missouri River Runner trains west of Jefferson City. The canceled round-trip is Train 311, the morning westbound train from St. Louis, and Train 316, the afternoon eastbound train from Kansas City. Alternate transportation by chartered motorcoach will be provided only to and from St. Louis, Kirkwood, Jefferson City, Sedalia, Warrensburg and Kansas City.
• Amtrak Empire Builder service is suspended between St. Paul, Minnesota, and Havre, Montana until further notice, with no alternate transportation available between those points. Trains 7 and 8 (full-service trains) are operating between Seattle and Havre, Montana (including all Glacier National Park stops), with chartered motorcoaches substituting for trains 27 and 28 between Spokane, Washington, and Portland, Oregon. Trains 807 and 808 (coaches and snack car only) are operating between Chicago and Minneapolis on the same schedule as trains 7 and 8 normally do.