Transportation Suffers Significant Spending Cuts

An appropriations bill helps fund the federal government and rescinds $2.5 billion in highway contract authority plus $630 million in old unused highway earmarks.

Congress approved and sent to President Barack Obama an appropriations bill to complete funding the federal government for the fiscal year that ends Sept. 30. The bill enacts a spending deal made between Obama, House Republicans and Senate Democrats, which averted a government shutdown at the 11th hour.

It wipes out all funding for high-speed rail this fiscal year, cancels $400 million of last year's unobligated high-speed rail funds, reduces Amtrak capital funding $130 million, cuts transit capital funding $400 million, cancels $280 million in prior transit appropriations, and rescinds $2.5 billion in highway contract authority plus $630 million in old unused highway earmarks.

The bill, HR 1473, finally closes out Fiscal Year 2011 appropriations six-and-a-half months into the fiscal year that began Oct. 1. The House approved the measure 260-167 and sent it to the Senate, which promptly approved the bill 81-19.

HR 1743 reduces federal spending $40 billion compared to last fiscal year, which proponents called the largest one-year spending reduction in American history. The total amount of nonemergency discretionary appropriations is $79 billion below the budget request Obama had submitted for FY 2011 back in February 2010.

- Courtesy of AASHTO