Posts Tagged ‘DOT budget’

Trump Budget Would Slash Transportation Funding

March 14, 2019

The Trump administration is seeking a cut of $5.1 billion to the budget of the U.S. Department of Transportation that would also include the elimination Amtrak’s long-distance trains.

The proposed fiscal year 2020 budget would cut DOT funding by 21.5 percent and make major cuts to Amtrak funding.

The passenger carrier would receive $1.49 billion, which is a 22 percent reduction from its fiscal year appropriation of $1.9 billion.

Northeast Corridor funding would be slashed from $650 million to $325.5 million and no funding is recommended for the Gateway Tunnel project in New York and New Jersey.

The budget proposes $550 million in “transitional funding” to help states pay for Amtrak corridor routes, including those not now in operation.

The budget envisions Amtrak contracting with bus operators to provide transportation to rural areas served by long-distance trains.

The budget contended that Amtrak inadequately serves rural areas while not serving many growing metropolitan areas.

The administration cited low ridership and large operating losses of long-distance routes as the driving force for restructuring the national intercity passenger rail system.

“The administration believes that restructuring the Amtrak system can result in better service (at a lower cost) by focusing trains on shorter distance (less than 750 miles) routes, while providing robust intercity bus service to currently underserved rural areas via a partnership between Amtrak and bus operators,” the budget states.

Much of the thrust of the budget is to transfer funding of transportation from the federal government to state governments.

“The 2020 Budget  . . .  recognizes that the federal government is not — and should not be — the primary funder of the nation’s transportation systems,” the budget document said.

The American Public Transportation Association said the budget would fund public transportation at $12.4 billion, a cut of $998 million from the FY2019 enacted level of $13.4 billion.

Most of that decrease comes from cuts in the Capital Investment Grants program, a discretionary and competitive federal grant program that funds projects for light, heavy and commuter rail, as well as streetcars and bus rapid transit services.

The administration proposes spending $1.5 billion for CIG programs, a cut of $1 billion from current funding levels.

The CIG program funding recommendation would make $500 million available for new CIG projects.

However, the budget would fully funds Fixing America’s Surface Transportation Act programs authorized from the Highway Trust Fund.

It also would double funding for INFRA grants to $2 billion. These can be used for ports, intermodal, or rail projects including grade crossing separations, in addition to highway projects.

The Better Utilizing Investments to Leverage Development program would receive $1 billion, a $100 million increase.

The budget contains $200 billion for “other infrastructure projects,” but those are described as “visionary projects” such as 5G cellular communications and artificial intelligence.

Senators Express Dismay Over Proposed DOT Budget Cuts

July 17, 2017

Although members of a Senate committee are displeased with the Trump administration proposed cuts of the U.S. Department of Transportation for fiscal year 2018, Secretary of Transportation Elaine Chao was unmoved during a hearing held last week.

Trump has proposed slashing the DOT budget by $2.4 million. If Congress adopts the administration’s budget proposal, the DOT budget would fall from $18.6 billion to $16.2 billion with major cuts made from the hide of Amtrak and various transportation grant programs.

The budget proposal received a hearing from the Senate Appropriations Committee where some members spoke out in favor of keeping Amtrak as it is now.

“With regard to Amtrak, I am concerned about the impact that elimination of long-distance service would have on shared infrastructure with state-supported routes, such as the Downeaster in Maine,” said Sen. Susan Collins, R-Maine, chairman of the subcommittee on transportation.

“Long distance routes contribute in part to the capital expenditures for the Northeast Corridor,” said Sen. Jack Reed, D-R.I., the ranking member on the subcommittee. “That’s something of concern to many of us on the committee”

In response to a question asked by Reed as to whether DOT would be able to focus additional resources on the capital infrastructure needs of the Northeast Corridor, Chao said the Northeast Corridor is the only Amtrak route able to sustain itself and that DOT is working closely with Amtrak and local and state authorities in that region.

However, Chao said there is no money available for the Northeast Corridor except what’s in the president’s budget.

In response to a question asked by another senator, Chao suggested that finding more funding for Northeast Corridor repairs is Amtrak’s problem, not DOT’s

“These are repairs which have been delayed and the maintenance requirements are immense,” she said. “There has to be some way of looking at all these repairs, strategically figuring out [how] best to prioritize these repairs, have a program, and then execute [it].

“Amtrak has a new president, and I am very hopeful the president and the board will be able to address some of these issues.”

The Trump administration has proposed diverting money used to pay for Amtrak’s long-distance routes into funding NEC infrastructure work.

Some funding for Northeast Corridor capital projects would come from transit and commuter rail projects under the Federal Transit Administration’s Capital Investment Program.

Amtrak is relying on a Capital Investment Program grant to finance some costs of building a new tunnel under the Hudson River between New Jersey and New York Penn Station.

At the same time, the administration has proposed ending the TIGER grant program, which is used to help fund rail capital projects nationwide.

Sen. Christopher Coons, D-Del., expressed concern that cuts in funding for Amtrak intercity service would increase congestion on the highways.

As Chao sees it, ending funding of long-distance passenger trains would enable Amtrak to focus its resources on what she termed its most vibrant component.