House Approves Trust Fund Patch

(July 21, 2014) — With the House having approved a package of offsets to fund the Highway Trust Fund (HTF) through next May, attention now shifts to the Senate as action is expected this week.

On July 15, the House overwhelmingly passed H.R. 5021, 367-55. The legislation is a $10.8 billion bailout package that would extend the solvency of the HTF through Memorial Day 2015 using budget gimmicks such as “pension smoothing,” transferring funds from the Leaking Underground Storage Tank (LUST) Trust Fund and extending certain customs duties.

The Senate is now poised to bring up H.R. 5021 for consideration. However, amendments will be offered, including proposals to reform the federal highway program (likely through devolution), reduce H.R. 5021’s authorization to mid-December (forcing a lame-duck vote on the federal highway program) and substituting the Senate Finance Committee’s approved offsets (“pension smoothing”, LUST transfers, customs duties) while closing some tax loopholes.

It’s unclear whether sufficient support exists for any of the amendments at this time, although transportation advocates, including Associated Equipment Distributors (AED), continue to support efforts forcing Congress to consider a long-term funding solution during the lame duck session after the November elections.

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Source: Associated Equipment Distributors