Stalled, Congress Lets Highway Law Lapse

Congress, wrangling over a multibillion-dollar law governing federal highway spending, let the existing roadway law expire Friday.

The Clinton administration warns of dire consequences: delay of highway projects and curtailment of safety inspection programs.

But lawmakers disagree.

“There will be no dropping of the shovels,” said Nicholas Graham, spokesman for Senate Environment and Public Works Committee Chairman John H. Chafee (R-R.I.).

Expiration of the law, Graham explained, prevents state transportation departments from issuing new road contracts using federal funds. “Any contracts that have been granted are still ongoing and will continue,” he said.

But Transportation Secretary Rodney Slater said it’s not that simple.

“If they [states] don’t have resources to continue those contracts and the contractors aren’t willing to work with the hope of getting payment at some point in the future, then frankly, we could see people laid off, we could see projects delayed and it could be significant, possibly a half-million jobs lost,” Slater said. “That’s the worst-case scenario.”

Safety programs are expected to be hit the hardest.

Bill Schulz, a Transportation Department spokesman, said many states face having to pick up the federal 80% share of the pay of 3,200 truck safety inspectors across the country. Money for that ran out March 31 under the highway bill extension, he said.

Most states have enough money of their own to keep highway projects going, Graham said. At most, the disruption would be “a couple of minor pains in certain states, but no migraine headaches,” he said.

In Pennsylvania, for example, state highway spokesman Rich Kirkpatrick expects few problems. He noted that the bill is expected to pass eventually and that cash flow would not become a problem unless the impasse stretches into late this year.

But the American Assn. of State Highway and Transportation Officials says that even under the temporary highway law, safety programs have been hard-hit by funding shortages, with anti-drunken driving and other programs cut back or canceled.

In addition, the group said long-term planning for projects has been disrupted, forcing states to speculate about future federal funding levels in developing multiyear plans that will have to be rewritten when a bill is enacted.

Some Northern states could face the loss of an entire construction season because of delays in planning and bidding on projects, the group warned.

Project costs will increase because of delayed starts, it said.

The original highway bill expired last fall but was extended to May 1 when Congress was unable to agree on a replacement.

Chafee and House Transportation Committee Chairman Bud Shuster (R-Pa.) oppose further extension, saying that would only complicate and delay final agreement.

The Senate approved a $214-billion highway bill and the House a $217-billion version. A conference committee hopes to work out differences this month. However, both bills exceed spending caps set in last year’s balanced budget agreement.