DATE: May 20, 2019
TO: The Honorable Mitch McConnell, Majority Leader, United States Senate
The Honorable Charles E. Schumer, Minority Leader, United States Senate
The Honorable Nancy Pelosi, Speaker, United States House of Representatives
The Honorable Kevin McCarthy, Minority Leader, United States House of Representatives
FROM: 31 Transportation Associations and Groups
SUBJECT: FAST Act Rescission of Highway Contract Authority
Dear Congressional Leaders:
As you begin discussions on a bicameral, bipartisan FY2020 budget agreement, we write to request that you include in any such agreement a repeal of the rescission of $7.6 billion in Federal-aid highway contract authority scheduled to occur in July of next year.
Section 1438 of the Fixing America’s Surface Transportation Act (FAST Act; P.L. 114-94) rescinds $7.6 billion in unobligated Federal-aid program contract authority on July 1, 2020. All 50 states and the District of Columbia will be impacted by the rescission, along with many other transportation stakeholders. If the FAST Act rescission of $7.6 billion is allowed to execute, it will virtually wipe out all remaining contract authority available to states nationwide in the programs subject to the rescission. In addition, if allowed to take place, the rescission will significantly reduce the budget baseline for surface transportation programs beginning in Fiscal Year 2021.
It is important that Congress repeal this impending rescission now in order to provide stability to the federal surface transportation programs. Rescinding unobligated contract authority impedes the ability of states to meet their individual infrastructure needs and disrupts transportation planning and timely delivery of projects. The rescission will result in real cuts to transportation funding and cause delays in project construction at a time that both Congress and the Administration are looking to increase transportation investments.
Canceling the FAST Act rescission is necessary to ensure and enhance the benefits of our surface transportation programs including job creation, economic competitiveness, personal mobility, efficient movement of goods, and improved quality of life. The undersigned associations and organizations, representing a diverse group of national associations who support investment in our nation’s transportation infrastructure, request the rescission of $7.6 billion of contract authority be repealed as part of any future budget agreement.
Sincerely,
31 Transportation Associations and Groups:
American Association of State Highway and Transportation Officials
American Concrete Pipe Association
American Council of Engineering Companies
American Institute of Steel Construction
American Iron and Steel Institute
American Public Transportation Association
American Public Works Association
American Road and Transportation Builders Association
American Society of Civil Engineers
American Traffic Safety Services Association
Associated Equipment Distributors
Associated General Contractors
Association of Equipment Manufacturers
Association of Metropolitan Planning Organizations
International Bridge, Tunnel and Turnpike Association
International Slurry Surfacing Association
International Union of Operating Engineers
Laborers International Union of North America
National Asphalt Pavement Association
National Association of Counties
National Association of Regional Councils
National Conference of State Legislatures
National Governors Association
National League of Cities
National Ready Mixed Concrete Association
National Stone, Sand, and Gravel Association
National Utility Contractors Association
Portland Cement Association
United Brotherhood of Carpenters
The United States Conference of Mayors
U.S. Chamber of Commerce