ATA and Nearly 40 Others Pressure Congress Not to ‘Devolve’ Federal Transportation Funding
Article credit to Dry Bulk Industry
American Trucking Associations and nearly 40 other trade groups and businesses have sent a letter calling on Congress to pass a long-term transportation bill while opposing any move toward devolution.
That’s the notion voiced by some in Congress that federal funding for transportation programs should be eliminated and that the states should collect fuel taxes and support and maintain roads on their own.
Last year, a measure known as the Transportation Empowerment Act was introduced to devolve the federal system but defeated in the Senate.
“Some federal rules arguably increase the cost of projects and slow construction, however, these challenges do not warrant putting the safety of motorists and the health of the nation’s economy at risk by decimating the primary funding program for our nation’s most critical infrastructure,” the March 16 letter said.
Devolution of the federal-aid program would not allow states to keep the revenue that currently flows into the Highway Trust Fund from fuel taxes and excise taxes on truck and tire sales, the letter said.
“Under devolution, this money simply goes away, forcing state and local governments to replace tens of billions of dollars with tax increases or redirection of their existing resources,” the letter went on.