06/03/20 CAGTC: House Democrats Announce 5-Year Surface Transportation Reauthorization Bill

Dear CAGTC Members,

On June 3, the House Transportation and Infrastructure Committee released the text of its five-year surface transportation reauthorization bill. The Investing in a New Vision for the Environment and Surface Transportation in America (INVEST in America) Act would provide a total of $494 billion over five years for investments in capital infrastructure improvements such as roads, bridges, and transit systems, with a focus on infrastructure resiliency and emissions reduction and other climate provisions. The bill is a component of the Moving Forward Framework, previewed by House Democrats in January. Of note, it does not include any new revenue mechanisms or other pay-fors, so the House Ways & Means Committee will need to identify how to pay for this proposal. The House T&I Committee will consider the INVEST in America Act during a Committee markup scheduled for Wednesday, June 17. The bill text can be found here, a factsheet here, and a summary here.

Key funding provisions:

  • $494 billion in total funding
  • $319 billion for the Federal-aid highway program under the Federal Highway Administration
  • $105 billion for transit programs under the Federal Transit Administration
  • $5.3 billion for highway safety programs under the National Highway Traffic Safety Administration
  • $4.6 billion for motor carrier safety programs under the Federal Motor Carrier Safety Administration
  • $60 billion for rail programs

Summary of provisions of particular interest to CAGTC:

  • COVID-19 Relief: $83.1 billion in fiscal year FY21 to ensure States, cities, tribes, territories, and transit agencies can administer programs, advance projects, and preserve jobs. Highway, transit, and safety funds are made available at 100 percent Federal share. Of this amount, $22 billion is available for operating expenses.
  • Freight Formula Program: The program is now fully available to multimodal investments.
  • Nationally Significant Freight and Highway Projects Program (INFRA): $1 billion for FY21 (same funding level as FY20 under the FAST Act). The total aggregate of funding available to non-highway projects was increased. Under the FAST Act, the aggregate allowable for investment in non-highway projects was $500 million; the INVEST Act increases that amount to $600 million total for Fiscal Years 2016-2021, which means that multimodal funds spent in past years count towards this cap. Requires USDOT to assign quality ratings to each application and confines the Secretary to selecting only those applications rated highly.
  • Projects of National and Regional Significance: $9.05 billion over a 4 year period (minimum of $2.2 billion in FY22, ramping up to $2.35 billion by FY25). Available for large highway, transit, and freight projects that cannot be funded through annual apportionments or other discretionary sources. Minimum project size: $100 million; Minimum award size: $25 million. Particular to freight projects, federal funds are only available to portions of the project that provide public benefit. Funds are available for a wide array of freight projects, including: projects occurring on a highway; a freight intermodal, freight rail, or railway-highway grade crossing or grade separation project; a project within the boundaries of a public or private freight rail, water (including ports), or intermodal facility and that is a surface transportation infrastructure project necessary to facilitate direct inter- modal interchange, transfer, or access into or out of the facility. Non-highway projects must make a significant improvement to the movement of freight on the National Highway System.
  • Freight Planning:
    • Revises the National Multimodal Freight Policy, the National Strategic Freight Plan, and the requirements for State Freight Plans to include further consideration of environmental and equity impacts.
    • Establishes a new deadline for the Secretary to designate a final National Multimodal Freight Network and requires the Secretary to report to Congress on the resources that will be used to meet this deadline.
    • Establishes a joint task force between the Department of Transportation and the Internal Revenue Service to study the establishment and administration of a fee on multimodal freight surface transportation services.

CAGTC staff will continue reviewing the INVEST in America Act.

Thank you,

Cecile

Cecile Entleitner
Manager, Member Communications & Policy
Coalition for America’s Gateways and Trade Corridors
1625 K Street NW
Suite 1100
Washington, DC 20006
tradecorridors.org
(202) 828-9100