| The Senate Environment and Public Works Committee approved the AGC-supported DRIVE Act, a six-year bill with increased funding recommendations and several new program initiatives. The Committee has jurisdiction over the highway portion of the legislation and now must await action by the Finance Committee on the revenue portion, the Banking Committee on the transit segments, and the Commerce Committee on safety.
Nevertheless, it was an important first step in the process. AGC CEO Stephen Sandherr participated in a press conference with the bill’s primary sponsors, Committee Chairman Jim Inhofe (R-Okla.) and ranking member Barbara Boxer (D-Calif.), where Sandherr noted that getting a long-term bill is vital and failure to act will have real impact on commuters’ wallets and the economy’s performance.
Here are some of the key highlights of the act:
- Funding increase above inflation: $278 billion in Highway Trust Fund contract authority over six fiscal years (FY 2016-2021). This is about a 3 percent increase over current funding levels plus inflation.
- New freight program: Directs DOT to establish a national highway freight network to consist of the primary highway freight system, critical rural and urban freight corridors and any part of the Interstate system not designated as part of the primary highway freight system. Approximately $2 billion per year is distributed to states for projects that encourage efficient freight mobility (i.e. access to energy production, agriculture, mining, intermodal facilities and ports).
- Assistance for Major Projects (AMP) Program: Provides between $300 and $450 million per year in contract authority for a new grant to give extra federal funding to critical high-cost projects that are difficult to complete with existing funds. The program is similar to the TIGER grant program that the Transportation Department has been operating the past several years. The Federal Highway Administration (not the Department) is the lead agency for awarding these grants through a competitive national solicitation process. The bill gives specific criteria for selecting projects.
- Tolling: Allows unlimited tolling of new Interstate lane construction and strikes existing limitations on HOV conversion to HOT lanes. Keeps the interstate toll pilot program limited to three states, but imposes a "use-it-or-lose-it" provision that could shift authorization for tolling from one state to another if states do not adopt tolling expeditiously. Sets up a marketplace where states can buy and sell toll credits.
- Continues Reforms and Fine Tunes Project Delivery Process: Additional environmental streamlining provisions are added to address the EIS process. It directs DOT to create a website review process to increase transparency and create a clearinghouse of best practices. The act also improves collaboration between federal agencies and ensures that agencies do not unnecessarily delay the process.
- Prioritizing bridge safety: Dedicates additional funds to bridge projects and incentivizes states to take a risk-based asset management approach. Allows states to bundle several bridges into one package for environmental review and construction. Removes barriers to critical bridge projects due to nesting birds.
For more information, please contact Brian Deery at deeryb@agc.org or (703) 837-5319. Return to Top
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