CRISIS AVERTED: $158 Million in Federal Road Money Likely Restored

The U.S. House Appropriations Committee announced today that the FY07 joint resolution will fund highways and transit at the SAFETEA-LU authorized levels, avoiding a potential $158 million cut for Michigan transportation spending.

A budget bill pending in Congress this week would have frozen all increases in federal funding for this year. Michigan would have been hit particularly hard, as our funding increases for SAFETEA-LU were back loaded for the last two years of authorization to help us get an increased 92-cent return on every dollar sent to Washington.

The news of proposed federal cuts came on the heels of a recent announcement by MDOT that for the first time ever, their 5-year plan has a $130 million shortfall. With spiking construction material increases and a $2.7 billion annual shortfall in road funding, it becomes even more imperative that we secure a comprehensive funding increase through the state legislature.

MITA lobbied all members of the Michigan Congressional delegation to restore these funding cuts. ARTBA should be commended for helping orchestrate the entire national effort to preserve the critical transportation funds.

If you have any questions, please contact Mike Nystrom, Vice President of Government & Public Relations at or Keith Ledbetter, Director of Legislative Affairs at , or call the MITA office at (517) 347-8336.