Freight Infrastructure Issues in Surface Transportation Reauthorization (CRS Report for Congress)
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| Release Date |
March 16, 2015 |
| Report Number |
R43940 |
| Report Type |
Report |
| Authors |
John Frittelli, Specialist in Transportation Policy; William J. Mallett, Specialist in Transportation Policy |
| Source Agency |
Congressional Research Service |
Summary:
Goods movement has increased substantially over the past few decades as the economy and global trade have expanded. Freight transportation demand in tandem with passenger-side demand has caused congestion in many parts of the transportation system, resulting in slower and less reliable freight movement. Also, the condition and performance of freight infrastructure play considerable roles in the efficiency of the freight system and, therefore, are likely to be of significant congressional concern in the reauthorization of the surface transportation program that is currently authorized through May 31, 2015.
There is no specific federal freight transportation program. Instead, the federal government supports freight infrastructure through several programs that promote both passenger and freight mobility. The most important of these are four of the five "core" programs of the federal-aid highway program, which together account for roughly 90% of highway spending. One of those five programs, the Surface Transportation Program, also provides limited support for freight rail projects. Federal assistance to ports and inland navigation, waterborne shipping, and air freight are beyond the scope of this report.
There is significant disagreement about the best way to accomplish improvements in freight system infrastructure. Among the most important points of contention are:
The magnitude of the investments required and related policies to manage demand for existing transportation infrastructure as an alternative to increasing capacity.
How to cover the cost. Most federal freight investments are currently funded through the highway trust fund, whose main source of revenue is taxes on motor fuels. These taxes no longer raise sufficient revenue to fund existing federal surface transportation programs, and proposals to increase federal spending on freight infrastructure are often linked to other fees or taxes that have not gained support in Congress.
How to set priorities. Most federal highway funding is distributed by formula to state departments of transportation, which determine spending priorities in cooperation with metropolitan planning organizations. This process forces freight projects to compete with passenger-oriented projects, which may have greater supportâespecially when a proposed freight project primarily benefits so-called through trucks (rather than trucks making local pick-ups and deliveries). Changes in the law to establish priority for freight infrastructure would run contrary to the trend in recent reauthorization acts to give states greater discretion over their spending of federal highway funds.
The role of the federal government in the planning process. The 2012 surface transportation reauthorization, the Moving Ahead for Progress in the 21st Century Act (MAP-21; P.L. 112-141), established a performance measurement system for state departments of transportation and metropolitan planning organizations. However, these provisions have yet to be fully implemented. Eventually, they are intended to lead to federal evaluation of state and local decision-making, which is likely to prove controversial.
