President's Sleight-of-Hand Won't Ease Rising Highway Death Toll or Mounting Congestion, Says American Highway Users Alliance
3 February 1998
President's Sleight-of-Hand Won't Ease Rising Highway Death Toll or Mounting Congestion, Says American Highway Users Alliance
WASHINGTON, Feb. 3 -- At first glance the President's budget
released yesterday seems to keep highway investments steady. Look a little
closer and you will see that although the numbers may stay relatively the same
from FY1998 to FY1999, the budget gives highway users the check for several
programs -- including Amtrak -- that have always been funded out of general
revenues.
"The highway death toll has risen each and every year that President
Clinton has been in office (after sharp drops in the late 1980's) ...
congestion is crippling our cities, triggering road rage, increasing
greenhouse gas emissions, worsening our air quality and stealing time from our
families," said William D. Fay, president & CEO of the American Highway Users
Alliance. "Add to that the federal government's own distressing report that
America's roads and bridges are crumbling from under investment, it makes you
wonder why the President isn't more concerned about our nation's growing
highway crisis."
The federal Highway Trust Fund (HTF) is fueled by an 18.4 cents a gallon
gasoline tax (23.4 cents for diesel fuel) -- it generates revenues that are
supposed to fund needed improvements in the nation's crumbling roads and
bridges. Instead, the Administration is going to use $621 million to fund a
bankrupt Amtrak. If the President gets his way, it will be the first time in
history that Amtrak subsidies would be paid directly by motorists.
In contrast to the overall freeze in federal funding, highway use taxes
deposited in the HTF's highway account will jump to $32.2 billion, a
$10.6 billion increase over 1998 levels. Yet, the Administration's budget
only funds highways at $23.2 billion. "That $9 billion difference could and
should be invested in lifesaving improvements on our roads and bridges," Fay
added.
The Administration has two reasons for not spending all of the money paid
into the Highway Trust Fund. The first is to fund Amtrak. The second is to
help make the federal budget appear balanced in FY1999 (any surplus fuel taxes
that are not invested in highways or used to subsidize Amtrak and mass transit
offset the real size of the federal budget deficit).
"The Administration's budget will cause the HTF balance to balloon to
$77 billion by year 2003," Fay added. "It is out and out highway robbery --
highway users will continue to pay billions more each year into the 'Trust
Fund' than they receive in road and bridge investments. And, to make matters
worse, those taxes will be diverted to fund non-highway programs and to mask
the true size of the federal deficit. The consequence will be more highway
fatalities and mounting gridlock."
The American Highway Users Alliance is a 66-year-old organization which
represents individuals, companies and associations committed to a safe,
efficient national highway system.
SOURCE American Highway Users Alliance
