The Congressional Budget Office (CBO) released its semi-annual baseline forecast of Highway Trust Fund (HTF) revenues last week, providing a foundation for preparation of the FY 2006 Congressional Budget Resolution. The new figures show a significant increase in the HTF revenues from the same analysis CBO released last January--largely due to changes enacted in 2004 affecting the taxation of gasohol and fuel tax evasion.
According to the report, HTF revenues will ramp up from $39 billion in FY 2005 to $44.7 billion in FY 2009 for a total of $210 billion over five years.
The HTF revenues still fall short of the amount needed to fully fund the six-year TEA-21 reauthorization bills introduced in the House and Senate during the 108th Congress. Members of Congress have proposed, however, several different revenue options to "fill the gap" that are still viable: draw down a portion of the HTF's $15 billion unexpected cash balance; redirect "gas guzzler" receipts from the General Fund to the HTF; discontinue HTF refunds for fuel tax exemptions; and restore interest on HTF's unexpended cash balance.
