President-elect Barack Obama's plans to update the nation's highway system will be limited by funding. Congressional transportation officials are calling for an update of the gas tax, among other changes.
"Clearly, the trust fund needs a fix. One of the people charged with finding that fix is Rep. Jim Oberstar, a Minnesota Democrat and chairman of the House Committee on Transportation and Infrastructure."
"Oberstar served as that panel's chief of staff 40 years ago. And his message for you, Mr. Obama: 'Learn from history.'"
"Look back to when the nation last grappled with congested highways and slow-moving goods, he says. It was the 1950s, and the solution was a $22.5 billion, 42,000-mile interstate highway system paid for by a gasoline tax of 3 cents per gallon. It turned out that wasn't enough, so Congress soon raised it by a penny."
"Raising the gasoline tax and indexing it to inflation will be on the agenda next year when the transportation committee tackles what Oberstar says will be a nearly $500 billion update of the nation's transportation policy. But Oberstar says raising the gas tax alone won't be enough."
"The panel's top Republican, John Mica of Florida, agrees. Mica says it's time to re-evaluate the gas tax as the primary way the country pays for its highways."
FULL STORY: Obama's Highway Plans Face Funding Roadblock
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Barrett Planning Group LLC
HUD's Office of Policy Development and Research
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