Current highway bill extension expected in September   

Indications from both the Senate and House are that we will have an extension to the current highway and transit program postponing a new 6-year bill as is ultimately expected. Senator Barbara Boxer, chair of the Environment and Public Works Committee,  will offer a four-month extension on September 8 continuing all programs at current levels with no policy changes. Meanwhile Representative John Mica chair of the House Transportation and Infrastructure Committee indicated that he will also support a temporary extension when Congress returns in September. Mica is still intending to complete a new 6-year reauthorization bill this fall.

There has been a lot of hand-wringing and hyperbole about the federal government being unable to collect gasoline (18.4 cents) and diesel (24.4 cents) taxes or to continue funding projects when the current extension expires on September 30. While technically true, the fact of the matter is we have already had seven extensions to SAFETY-LU which was originally set to expire September 30, 2009. There was never any chance that the federal government would walk away from $40 billion per year of tax revenues when all they have to do is pass an eighth extension.