Panel of Transportation Experts Predict Dire Consequences from House Proposal for Transportation....

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from the American Public Transportation Assn:


Panel of Transportation Experts Predict Dire Consequences from House Proposal for Transportation Funding


WASHINGTON, DC – In a panel discussion hosted by the American Public Transportation Association (APTA) yesterday, transportation experts offered insights regarding the House Ways and Means Committee’s transportation funding proposal that is currently under consideration in Congress. Following the discussion, APTA also released a research report outlining the negative financial impacts this proposal would have on America’s public transportation systems, as well as the communities and individuals that rely on public transportation. Titled House Proposal Erodes Credit Ratings, Ties Hands of American Communities, this report is available on APTA’s website: http://www.apta.com/resources/reportsandpublications/Documents/APTA-HR7-Report-Feb-2012.pdf

Opposing the shift in funding, APTA President and CEO Michael Melaniphy said, “This proposal seeks to undo nearly 30 years of overwhelming bipartisan support for dedicated federal investment in public transportation. It would erode the nation’s multimodal transportation system that provides both jobs and access to jobs for scores of Americans. HR 3864 proposes to replace a reliable, ongoing funding source for public transportation investment with a one-time appropriation. This would leave public transportation without any federal funding source beyond 2016, truncating transit’s ability to maintain and grow safe, reliable and equitable mobility options for millions of Americans.”

The House Ways and Means Committee proposal would divert the portion of the motor fuels tax revenues that has been dedicated to public transportation since 1983 under President Reagan and deposit those funds into the Highway Account to support highway investment. The proposal would put public transportation in a new “Alternative Transportation Account” and would only fund the federal transit program in fiscal years 2013 through 2016. The proposal does not provide for public transit investment beyond 2016.

APTA’s report, House Proposal Erodes Credit Ratings, Ties Hands of American Communities, notes that federal funding is essential for attracting reliable state and local funding. Removing dedicated funds from public transportation will discourage state and local governments from contributing. Federal support focuses on capital projects thus encouraging local and state support. Without the federal support local and state governments will see a shift in federal priorities and put their money towards projects in other areas where they can leverage available federal funding in the long-term. These actions will leave nationwide public transit service reduced. .....................(more)

The complete piece is at: http://www.apta.com/mediacenter/pressreleases/2012/Pages/120209_House_Proposal_for_Transportation_Funding.aspx