Final Days to Register for Legislative Briefing, Fly-In

The Transportation Construction Coalition's "Transportation at the Cross Roads" legislative briefing and fly-in are just over a week away.

Scheduled for May 20-21, the event will be held at the Hyatt Regency Washington on Capitol Hill, Washington, D.C. The legislative briefing begins on Tuesday (May 20) from 2:30 to 5:30 p.m. The briefing is followed by a Capitol Hill reception from 6:00 to 7:00 p.m.. The second day will begin with a breakfast program from 7:00 to 8:00 a.m. Immediately afterward, participants are urged to visit with their Representatives and Senators to discuss key issues.

The North American Concrete Alliance partners, including the American Concrete Pavement Association, National Ready Mixed Concrete Association, and Portland Cement Association, are urging members and affiliates to participate in the briefing, as well as to call on elected federal officials to urge both increased funding as well as durable solutions to some of the greatest challenges to transportation construction. The North American Concrete Alliance partners are urging members to register today.

Members and affiliates can register directly online at http://www.BlueSkyz.com/tcc2008.

Contact Kerri Leininger.

Federal Aviation Administration Reauthorization Remains Stalled

A procedural vote this week to move the Federal Aviation Administration (FAA) reauthorization bill, which included language for continued research for concrete airfield pavements, failed in the Senate. 

The vote to terminate debate and bring the bill to the floor for a full Senate vote,  fell short by 49-42, well shy of the 60 votes needed.  The development likely spells the end of Congressional efforts this year to overhaul the Federal Aviation Administration, improve airline safety, and modernize the aging and overburdened air-traffic-control network. 

Congress likely will opt to extend the current law into 2009.

Contact David Hubbard, John Sullivan or Gary Mitchell.

Government Accountability Office to Congress: Business as Usual Will Not Work for Highway Funding

Patricia Dalton, managing director of physical infrastructure issues at the U.S. Government Accountability Office (GAO), told members of the U.S. House of Representatives Committees on the Budget and Transportation and Infrastructure that growing demand had outpaced the capacity of the nation's roadways and aviation system.

"Given these types of challenges and the federal government's fiscal outlook, it is clear that the federal government cannot continue with business as usual," she said.

"The options that are available to Congress -- including altering existing taxes, introducing new tolls and adding an infrastructure component to a future economic stimulus bill --  will likely involve trade-offs."

Congressional Budget Office Director Peter Orszag joined Dalton in urging lawmakers to ensure that any infrastructure investment they decide on fits into a national network.

"Throwing money at infrastructure projects doesn't get you what you want," he said.  Dalton and Orszag told lawmakers that congestion-based tolls—on roads, as well as airport runways—were an attractive option to help pay for the nation's transportation needs. They said that the benefits of congestion pricing were two-fold because tolls raised money for infrastructure improvements and, by reducing the number of cars on the road, lessened the amount of infrastructure improvements needed.

The current source of federal funding of highway projects comes from the Highway Trust Fund, which operates predominantly from revenues raised by federal fuel taxes. However, increased fuel efficiency and an unadjusted rate—18.4 cents on a gallon of gasoline—have caused a projected shortfall in the highway account by the end of fiscal 2009.

Contact David Hubbard or John Sullivan.

Senate Debates Flood Insurance Reform Bill

On Wednesday and Thursday, the U.S. Senate debated the Flood Insurance Reform and Modernization Act of 2007 (S. 2284), introduced by Senate Banking, Housing, and Urban Affairs Committee Chairman Chris Dodd (D-Conn.).

The bill, S. 2284, would reauthorize the National Flood Insurance Program (NFIP) until 2013; forgive the program's nearly $20 billion debt incurred in the aftermath of Hurricane Katrina; and phase-out subsidized rates for vacation and second homes, severe repetitive loss properties, and businesses built prior to the current Flood Insurance Rate Maps.

The measure would also require the Federal Emergency Management Agency to establish a reserve fund to better cover future losses, increase insurance premiums by 15 percent each year, and require structures near dams and levees (residual risk areas), to purchase flood insurance.  S. 2284 also calls for the creation of a national commission to study the catastrophe insurance marketplace. 

Included within the purview of the new commission will be an examination of the need for strengthened land use regulations and building codes in States at high risk for natural catastrophes.The Senate rejected an amendment offered by Senator Roger Wicker (R-Miss.) that would have added wind damage to be covered under the NFIP.

Opponents of the amendment, as well as the Government Accountability Office, said that such a provision would be very complex and costly to implement.The Senate is poised to vote favorably on S. 2284 early next week after all amendments have been offered.

Contact Robert Sullivan.

House Passes Stimulus Package for Housing Market

The U.S. House of Representatives yesterday passed a housing stimulus package in an effort to stem the growing number of property foreclosures.The centerpiece of the legislation is a provision introduced by House Financial Services Committee Chairman Barney Frank (D-Mass.).  

Under Chairman Frank’s measure, the Federal Housing Administration (FHA) would insure at-risk mortgages up to $300 billion after lenders or holders of troubled mortgages agree to write-down those mortgages to as little as 85% of  the home’s appraised value. The measure as well would extend a $7,500 tax credit to first-time home buyers and provide a 2008 deduction on state and local property taxes of up to $350 for individuals and $700 couples.

The bill also approves an extra $10 billion in tax-exempt bonds to fund construction of low-income rental housing, refinance subprime loans, and support first-time homebuyer loans. Lastly, the legislation would provide $15 billion to states to purchase and rehabilitate foreclosed properties.The Senate passed a more limited version of its housing-stimulus package last month.

Contact Robert Sullivan.

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