Play Live Radio
Next Up:
0:00
0:00
0:00 0:00
Available On Air Stations
Montana politics, elections and legislative news

States Could Lose Federal Highway Funds Without Congressional Fix

If Congress fails to act by July 31, the federal government won’t have the ability to process transportation funding payments that were promised to states.
(PD)
If Congress fails to act by July 31, the federal government won’t have the ability to process transportation funding payments that were promised to states. ";

The clock is ticking again toward the expiration of the current federal transportation funding bill. This week, the Senate agreed to debate a long-term funding bill. If Congress fails to act by July 31, the federal government won’t have the ability to process transportation funding payments that were promised to states. The compromise reached this week only has enough funding for the next three years, but it would set transportation policy through 2022. Senators Jon Tester and Steve Daines say it’s time for a long-term transportation bill.
 
"We need a bill that’s going to give the state transportation department and road crews and small businesses the certainty they need and that is in the form of a long-term bill," Tester says.

Sen. Daines agrees: "We need to get this done. We need to do the work of the people, pass a multi-year highway bill. Thirty three short-term extensions that’s been the past history needs to stop."

And Sen. Daines is optimistic this bill might get through the Senate because it won’t raise the federal gas tax. There’s been no increase in that tax since 1993 and it’s the Highway Trust Fund’s primary funding source. Instead this bill gets additional dollars by reducing the dividend the Federal Reserve pays to member banks. There’s also the sale of oil from the Strategic Oil Reserve and there are other tax compliance enforcement measures.

Sen. Tester is not fond of many of the provisions, but the Democrat believes Montana needs a long-term transportation bill.

"I would just tell you, you need to weigh the good and the bad and sometimes you have to bite your cheeks and vote, and I would have different 'pay fors' but I’m not in the majority, and I’m not writing the bill, so we’ll take what we got and run with it because I think overall its pretty darn good for Montana," Tester says.

Steve Daines is in the majority. The Republican says he will fight for a long-term bill that gives certainty to states and businesses that rely on these dollars, but he’s not willing to say how he will vote for this bill just yet.

"Never say for certain until we see what’s in the final product. And I always owe that to the people of Montana is to make sure we know what’s in the bill. And so there’s going to be a lot of moving parts and when the final product is ready for the final vote. So we’ll be fighting for these provisions. I don’t want to see taxes increased. I do want to find ways to reduce spending. That’s what’s in this bill at the moment. That’s a good thing. But I’m going to be fighting for a multi-year highway bill and to get that passed here before the end of July."

Daines predicts the Senate will work through the weekend toward that end.

The House has a different plan. The Republican majority is looking at another short-term fix. Representatives are also looking to leave at the end of the month for their August recess. Daines says while he won’t predict what his former colleagues might do, he hopes if the Senate can pass a multi-year bill, there will be enough bi-partisan House support to do the same.

Become a sustaining member for as low as $5/month
Make an annual or one-time donation to support MTPR
Pay an existing pledge or update your payment information
Related Content