Motorists Encouraged by President Obama's Transportation Budget Proposal

"This is a proposal we can work with," says The Highway Users President, Greg Cohen

WASHINGTON, May 8 The American Highway Users Alliance (The Highway Users) is pleased that the Obama Administration has presented a final budget proposal that recognizes the need to protect the ailing Highway Trust Fund and authorize a new multi-year program before September 30, 2009.

"Motorists should be pleased by the progress made by this Administration since releasing its initial budget framework in late February," said Greg Cohen, President of The Highway Users. "The final budget proposal reaffirms the President's support for motorists by recognizing the critical role of highway transportation programs in enhancing the country's safety, economic vitality, quality of life, and the environment."

Cohen added, "We are also pleased that the Administration is committed to working with Congress to maintain the short-term solvency and long-term sustainability of the Highway Trust Fund."

Background

Created in 1956 at the dawn of the Interstate era, The Highway Trust Fund is a "user-fee" financed account of the treasury, funded by fuel, truck and tire taxes collected from highway users. User-fee revenue collected from motorists is deposited into the Highway Trust Fund and then used to build and improve America's surface transportation system.

Revenue from the Highway Trust Fund has not kept pace with the growing needs of our aging, congested system. Diversion of these user-fee revenues away from highway programs has greatly exacerbated the problem.

Next Steps

"Without an infusion of additional money to support highway programs, current revenues will not be able to support highway programs beyond this summer," said Cohen. "The Obama Administration's budget proposal recognizes this problem and suggests that a significant addition of general funds from the Treasury can help to prevent major funding cuts to both highway and transit programs in 2010."

"Critically, the President's Budget proposal clarifies that the relatively flat baseline funding levels for future highway programs will be adjusted once Congress passes, and the President signs, a new multi-year reauthorization. The Highway Users urges all parties to consider the full range of proposals to strengthen the Highway Trust Fund and protect the interests of the motorists, truckers, bus companies, RVers, and motorcyclists paying the user fees."

The American Highway Users Alliance represents motorists, bus companies, truckers, RV enthusiasts, motorcyclists and a broad cross-section of businesses that depend on safe and efficient highways to transport their families, customers, employees, and products. Highway Users members advocate public policies that improve highway safety and mobility.