The current extension of highway and transit program authorization expires on March 4, 2011. Failure to pass an extension by that date will result in a shutdown of the Federal Highway Administration (FHWA). This inaction could further result in:
- Stopping Federal reimbursements to states for ongoing highway and bridge construction contracts.
- Forcing states to stop or slow payments to contractors for completed work.
- Forcing states to shutdown ongoing construction projects.
- Preventing states from putting any additional contracts out to bid.
- Slowing down decisions on and payment for change orders.
- Necessitating that states borrow funds in order to meet their contractual obligations to contractors to make progress payments.
- Undermining state bond ratings if they have borrowed funds with repayment contingent on the receipt of future federal payments.
The House Transportation and Infrastructure Committee has reported H.R. 662, the Surface Transportation Extension Act of 2011, which will extend highway and transit program authorization through the end of the current federal fiscal year which ends on September 30, 2011. AGC supports this extension because it maintains the ongoing program at current funding levels while providing sufficient time for Congress to complete action on long-term surface transportation reauthorization legislation.
Your representative needs to hear from you. New members of Congress who don’t fully understand the ramifications of their inaction in particular need to hear from you. Please call your Representative’s district office and make an appointment to visit to discuss the significant ramifications of not passing this legislation. If a face to face visit is not possible please call and discuss this with your representative or send a message through AGC’s
Legislative Action Center.
