Bush administration drops veto threat on HTF bill

Sept. 9, 2008

The American Highway Users Alliance Sep. 8 praised Transportation Secretary Mary Peters’ decision to make a U-turn and support solvency for the federal Highway Trust Fund. Until late Friday afternoon, the Bush administration had threatened to veto the needed legislation, H.R. 6532, which passed the House of Representatives by a vote of 387 to 37.

In reversing course, the secretary has asked Congress to expedite passage of H.R. 6532 and has warned that the Federal Highway Administration will be unable to pay its bills unless the legislation is enacted this week.

The American Highway Users Alliance Sep. 8 praised Transportation Secretary Mary Peters’ decision to make a U-turn and support solvency for the federal Highway Trust Fund. Until late Friday afternoon, the Bush administration had threatened to veto the needed legislation, H.R. 6532, which passed the House of Representatives by a vote of 387 to 37.

In reversing course, the secretary has asked Congress to expedite passage of H.R. 6532 and has warned that the Federal Highway Administration will be unable to pay its bills unless the legislation is enacted this week.

“It appears that Secretary Peters and the Bush administration have finally come to their senses,” said American Highway Users Alliance President Greg Cohen. “Until last Friday, they had planned to allow the highway fund to go bankrupt, expecting that it would happen after they left office. For years they have been an obstacle to restoring the $8 billion in highway user fees diverted from the fund. We’re elated that they have flip-flopped and hope that any remaining opposition to this bill in the Senate evaporates with the administration’s change of heart.”

The American Highway Users Alliance supports HR 6532 because a solvent Highway Trust Fund keeps the motoring public moving, bolsters the economy, combats highway congestion and improves safety on major American roads.

“The Senate has just returned from a month-long summer recess. One of the highest priorities before adjournment should be passing HR 6532,” said Cohen, “and there is no reason why this bill should not garner unanimous support.”

H.R. 6532 enjoys overwhelming support because it solves the problem by restoring $8 billion in user fees taken from the Highway Trust Fund and does not increase the budget deficit. These taxes, paid by motorists at the pump, were quietly transferred out of the fund in 1998 to be used for nonhighway purposes. Now that the money is desperately needed, it is important that Congress restore the funds. Unless these highway user fees are restored, the Federal Highway Administration will be unable to pay its bills for road, bridge, and safety projects currently under way.

On July 23, 2008, the U.S. House of Representatives passed the H.R.6532 bill by a vote of 387-37. When the administration threatened to veto the bill, the Senate did not schedule debate on it because individual senators threatened to use parliamentary maneuvers to waste valuable time. Now that the administration has lifted its veto threat and supports passage, the Senate should be able to pass the bill quickly.

H.R. 6532 serves as the only viable solution to the emergency shortfall facing the Highway Trust Fund. When Congress passed the last major highway bill in 2005, the Bush administration and Congress agreed to deplete the fund by September 2009 and reassess the problem later. However, due to recent decreases in highway travel, the Highway Trust Fund has run short of fuel- and truck-tax revenue a full year earlier than expected.

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