Thomas E. Petri: “first the good news. I am pleased that this conference report includes language that provides that adjustments in…”

“first the good news. I am pleased that this conference report includes language that provides that adjustments in obligation authority for the federal highway program due to the Revenue Aligned Budget Authority (RABA) calculation will be zero for fiscal year 2003. This will ensure that the obligation levels behind the budget firewall for fiscal year 2003 will be at TEA 21 estimated levels for the year ($27.7 billion) and about $4.4 billion over what was included in the President's budget. The lower budget number in the President's budget was a result of adjustments made to correct previous overestimates for 2001 revenues and lower estimates for future revenues. However, it is important to note that there is no reason why Congress cannot provide funding in addition to this "minimum" guaranteed level of funding and, indeed, the Highway Trust Fund can support additional funding. This provision is identical to what was approved by the House earlier this year when H.R. 3694, the Highway Funding Restoration Act, was passed by a vote of 410-5 and will provide for more stable highway funding for the states. Now, the bad news. In an unprecedented move, the conferees have included a Senate provision that rescinds $320 million in contract authority from the Highway Trust Fund that has already been distributed to the states.”