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Economic Development & Commerce Committee Home

September 15, 2009

The Honorable Nancy Pelosi
Speaker
U.S. House of Representatives
Washington, DC  20515

The Honorable Harry Reid
Majority Leader
United States Senate
Washington, DC  20510 

The Honorable John Boehner
Minority Leader
U.S. House of Representatives
Washington, DC  20515

The Honorable Mitch McConnell
Minority Leader
United States Senate
Washington, DC  20510

Dear Speaker Pelosi, Senator Reid, Senator McConnell, and Representative Boehner:

The nation's governors call on Congress to repeal the impending rescission of $8.7 billion in unobligated federal contract authority to the states for surface transportation investments before the cut takes effect on September 30, 2009.

This rescission is mandated by Section 10212 of the Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users, and was subsequently amended to apply proportionately across all qualifying formula programs. If implemented, the rescission would undermine budding economic progress from the investment of stimulus funds under the American Recovery and Reinvestment Act (ARRA). Congress passed the rescission provision well before our nation fell into recession. Eliminating the rescission would allow states to continue leveraging their annual contract authority with ARRA dollars to create well-paying construction jobs and build and maintain surface transportation infrastructure critical to our national economy.

We urge Congress to help stimulate economic recovery and support the fiscal capacity of states to plan and fund critical surface transportation programs by repealing the impending $8.7 billion rescission as soon as possible.

Sincerely,

Governor Arnold Schwarzenegger
Chair, Economic Development and Commerce Committee

Governor Jon S. Corzine
Vice Chair, Economic Development and Commerce Committee

 

 

cc.  Secretary of Transportation Ray LaHood
House Transportation and Infrastructure Chair James Oberstar
Senate Environment and Public Works Chair Barbara Boxer
House Transportation and Infrastructure Ranking Member John Mica
Senate Environment and Public Works Ranking Member James Inhofe
House Appropriations Transportation–HUD Subcommittee Chair John Olver
Senate Appropriations Transportation–HUD Subcommittee Chair Patty Murray
House Appropriations Transportation–HUD Subcommittee Ranking Member Tom Latham
Senate Appropriations Transportation–HUD Subcommittee Ranking Member Christopher “Kit” Bond


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