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This is not a textual record. This is used as an
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(12) ISTEA [Intermodal Surface Transportation Efficiency Act] Reauthorization
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1
NEXTEA
THE NATIONAL ECONOMIC
CROSSROADS TRANSPORTATION
EFFICIENCY ACT
SHAPING AMERICA'S SURFACE
TRANSPORTATION SYSTEM FOR THE
21ST CENTURY
MARCH 12, 1997
THE NATIONAL ECONOMIC CROSSROADS
TRANSPORTATION EFFICIENCY ACT
Today, President Clinton will announce the National Economic Crossroads Transportation
Efficiency Act (NEXTEA), a six-year, $175 billion investment program to improve America's
highways, bridges, transit systems, and railroads; lower the toll in lives and health care costs
from motor vehicle crashes; enhance America's environment; and support mobility and
economic prosperity. NEXTEA increases surface transportation funding by $17 billion, or 11
percent, over the $157 billion authorized by ISTEA.
"REBUILDING AMERICA" -- $175 BILLION INVESTMENT WHILE
BALANCING THE BUDGET
Increases funding for core highway programs by 30 percent over ISTEA levels.
Provides greater flexibility for states and localities to target funds that best meet
community needs.
Expands programs for innovative financing to leverage federal dollars.
Provides $600 million to deploy intelligent transportation technology to cut travel
time and enhance safety.
PUTTING A STRONGER EMPHASIS ON SAFETY
Increases funding for the National Highway Transportation Safety Administration
by 25 percent to $395 million.
Increases highway and truck safety funding by $2 billion.
Increases funding for drunk driving prevention by 60 percent.
Creates and expands programs to increase the proper use of safety belts and child
restraints, reduce drunk and drugged driving, and continue research into building
safer roads and vehicles.
PROTECTING THE ENVIRONMENT
Increases funding for the Congestion Mitigation and Air Quality Improvement
Program (CMAQ) by 30 percent, to $1.3 billion annually.
Increases Transportation Enhancements funding by more than 25 percent to
support bike paths, pedestrian walkways and other community-oriented projects.
Expands CMAQ eligibility to include regions that fail to meet any new air quality
standard.
Provides greater flexibility for state and local investment in non-polluting modes
of transportation.
INVESTING $600 MILLION TO MOVE PEOPLE FROM WELFARE TO WORK
Supports flexible, innovative transportation alternatives, such as vanpools, to get
people to where the jobs are.
Increases incentives for states and localities to provide job training for federally-
funded technology and construction projects.
TABLE OF CONTENTS
Rebuilding America
Page 4
A Commitment to Safety
Page 5-6
Increasing Investment through
Page 7
Innovative Financing
Ensuring Global Competitiveness
Page 8
Improving Access to Jobs and Training
Page 9
Protecting the Environment
Page 10
Improving Transportation through Technology
Page 11
Strengthening Urban Communities
Page 12
Serving Rural America
Page 13
R
EBUILDING AMERICA
America's prosperity and quality of life are linked to our transportation system's efficiency,
which keeps production costs low and maintains our international competitiveness. When
President Clinton promised to "rebuild America" five years ago, this system suffered from
inadequate capacity, deteriorating infrastructure, and poor connections among different forms of
transportation. The President has worked with Congress to make good on his promise, taking
advantage of ISTEA to raise infrastructure investment to record levels.
ISTEA SUCCESSES
Under President Clinton, federal transportation infrastructure investment increased 21
percent, to an average of $25.5 billion annually.
Many indicators of highway conditions and performance have stabilized or improved.
The condition of bridges and highway pavement, which had been deteriorating, has
stabilized. We have kept pace with our transportation system's maintenance
requirements and stopped its deterioration.
Transit investment has increased, including over $3 billion transferred using ISTEA's
flexible funding provisions. Nearly 26,000 new buses and nearly 600 new rail cars have
been bought for state and local transit agencies, and more than 100 miles of new transit
lines serving more than 100 new stations are under construction. Transit speeds have
improved by an average of about 10 percent.
KEY NEXTEA PROVISIONS
NEXTEA builds on ISTEA's successes while helping us to move towards a balanced
budget. It would authorize about $175 billion for surface transportation programs from
1998 through 2003, an 11 percent increase over ISTEA. The proposed authorization
levels would sustain or expand core programs such as the National Highway System,
maintenance of the Interstate Highways, bridge reconstruction, and mass transit.
NEXTEA gives state and local officials greater flexibility to target funds towards projects
that best meet community needs, including Amtrak and intercity rail passenger facilities.
It also increases the tools available to them by making intelligent transportation systems
eligible under ali major program categories and by expanding innovative finance
strategies to cut red tape and to leverage private and nonfederal public resources.
4
A
COMMITMENT TO SAFETY
More than 40,000 Americans die and three million are injured in motor vehicle crashes each
year, inflicting a tragic toll on millions of families. In addition, these crashes cost our economy
$150 billion annually, including $14 billion paid directly by taxpayers for expenses such as
health care and emergency services. Improved safety can help to control these costs.
ISTEA SUCCESSES
Under ISTEA, with its enhanced commitment to safety, highway fatalities have been
lower than in decades, averaging about 41,000 annually. Safety belt use has grown from
11 percent of motorists in 1982 to 68 percent last year. Alcohol-related fatalities have
decreased from 57 percent of crashes in 1982 to 41 percent in 1995.
KEY NEXTEA PROVISIONS
Our challenge is to continue the progress on safety even as traffic increases. Recently, we have
seen warning signs that we may be approaching the limits of progress under ISTEA: the fatality
rate has stagnated, increases in safety belt use have leveled off, and the number of alcohol-related
deaths has increased. NEXTEA would attack these problems by focusing on three key areas:
driver behavior, road design, and vehicle standards.
Safer Drivers
NEXTEA would increase NHTSA safety funding by 25 percent to $395 million, and fund
incentive programs to reduce drugged and drunken driving, to increase safety belt use,
and to collect improved data on highway safety to better identify and solve safety
problems.
$9 miliion annually in financial incentives would be provided for states to increase proper
use of safety belts and child restraints.
NEXTEA would increase funding for drunk driving prevention by 60 percent to $40
million in 1998, and reward states for aggressively reducing drunk driving through
administrative driver's license suspensions and revocations, programs to prevent minors
from drinking, and effective sanctions for repeat offenders.
5
NEXTEA would provide $5 million annually beginning in 1999 in grants to states to
prevent drugged driving. A state would be eligible for these grants if it adopted five of
nine countermeasures, including zero tolerance laws, administrative license suspension
for those driving under the influence, and pre-license drug testing.
Safer Roads
Under ISTEA, funding was set aside to eliminate road hazards and to make highway-rail
grade crossings safer. Grade crossing deaths alone have dropped by 31 percent.
NEXTEA would build on this progress by replacing this set-aside with a flexible, six-
year, $3.2 billion Infrastructure Safety Program. States would now have the ability to
transfer funds to enforcement and behavioral programs if they would have a greater
impact on safety.
Safer Vehicles
States would have increased flexibility for tougher enforcement, such as targeting
shippers who encourage truckers to violate rules and increasing penalties for violators.
States also would be reimbursed for border enforcement and other high-priority activities
that improve trucking safety.
Under NEXTEA, the freeze on the size and weight of larger combination trucks on
Interstate Highways and other routes would continue. We are doing a comprehensive
study of this and related issues, and may soon propose additional steps in future safety
legislation.
Much progress on safety has been the result of vehicle design aimed at protecting
motorists in crashes. NEXTEA would build on the progress to date with a $45 million
annual research program targeted at improving crash avoidance and crash worthiness. In
addition, more than a third of intelligent transportation systems research would be
focused on collision avoidance systems and other "smart vehicle" technologies that
prevent crashes.
A new focus on performance in safety programs would measure effectiveness by looking
at quantifiable results, not at how much money or effort is put into solutions.
6
I
NCREASING INVESTMENT THROUGH INNOVATIVE FINANCING
In spite of ISTEA's record investment, the federal government alone cannot meet all of our
infrastructure needs. President Clinton recognized this in his January 1994 Executive Order on
infrastructure, in which he directed us to cut red tape to speed construction and supplement
federal funds by leveraging private and nonfederal public investment.
ISTEA SUCCESSES
President Clinton's Partnership for Transportation Investment accelerated 74 projects
worth $4.5 billion, including $1.2 billion in investment beyond that available through
conventional financing. Projects are advancing an average of two years ahead of
schedule, saving interest and inflation costs.
Some innovative finance initiatives also advance other national priorities, such as in
Missouri and Arizona, where entrepreneurs were given permission to install fiber optic
cable within highway rights-of-way in return for reserving part of the cable as the
backbone of statewide intelligent transportation systems.
The new State Infrastructure Bank program uses federal seed money to leverage private
and nonfederal public funds in 10 pilot states. Among the proposed uses of these funds
are: a loan to start construction on a highway interchange without waiting for the full
federal funding to be accumulated; a loan to finance a toll road's interest costs while it is
being built, before revenues can begin to pay off the construction debt; and a loan to buy
new light rail vehicles.
We provided a direct loan to California's Alameda Corridor, which will speed shipping
from Los Angeles' port by creating a dedicated freight rail corridor. We also provided
standby lines of credit to secure private financing for California toll roads; at a cost of just
$18 million, we supported $2.5 billion in construction financing
KEY NEXTEA PROVISIONS
NEXTEA would open the State Infrastructure Bank program to all states, increase the
federal seed money dedicated to these banks, and allow states to use up to 10 percent of
their regular federal-aid highway funds to capitalize their banks.
$100 million annually would be dedicated to help leverage nonfederal public resources
for projects of national significance, such as interstate trade corridors.
7
E
NSURING GLOBAL COMPETITIVENESS
Under President Clinton, America is once again the most economically-competitive nation in the
world and its leading exporter, and this is due in great measure to the reliability and low costs of
our transportation system. In an increasingly-global economy, keeping transportation efficient is
crucial to our continued competitiveness and to taking advantage of the markets opened by
NAFTA and GATT.
ISTEA SUCCESSES
Seamless connections among different forms of transportation, such as between trucks,
railroads, and seaports, are important for efficiency, and ISTEA-funded projects are
making possible these connections. These projects include truck-rail freight transfer
facilities in Stark County, Ohio, and Auburn, Maine, and projects in Portland, Oregon
and Seattle designed to improve rail and truck access to seaports.
Projects such as the Red Hook barge transfer, which daily takes hundreds of trucks off
New York's crowded streets, often have important social and environmental benefits, and
ISTEA made them eligible for funding through such flexible initiatives as the Congestion
Mitigation and Air Quality Improvement Program and our innovative finance programs.
KEY NEXTEA PROVISIONS
NEXTEA would facilitate trade by creating new programs to improve border crossings
and develop major trade corridors within the U.S., cutting congestion and eliminating
bottlenecks.
NEXTEA would support projects of national significance, such as those focused on trade
corridors, through dedicated funds and by expanding the State Infrastructure Bank
program.
The proposal would expand funding eligibility to include access to intermodal terminals
and water ports. This is a vital change since much international trade -- 98 percent by
weight, 50 percent by value -- is shipped through ports. These programs also would
make eligible for funding Amtrak and intercity rail passenger and public freight facilities
and intelligent transportation systems projects, which can improve the logistics crucial to
"just-in-time" deliveries.
8
I
MPROVING ACCESS TO JOBS AND TRAINING
One of the biggest barriers faced by those moving from welfare rolls to payrolls is finding
transportation to jobs, training, and support services such as day care. Poverty and welfare
eligibility rules mean that few welfare recipients own cars, and public transit often provides
inadequate connections to job and training centers. This problem is becoming more serious,
since two-thirds of new jobs are in suburbs. To support his comprehensive welfare reform
initiative, President Clinton proposes to build on existing transit programs that work with
innovative approaches to helping people make the transition to the working world.
ISTEA SUCCESSES
Our Livable Communities program integrates transit with jobs, schools, and housing. In
Corpus Christi, local residents worked with local officials on developing three bus
transfer centers and improving pedestrian access to local amenities, and a Los Angeles
neighborhood initiative generated a hundred new jobs and helped to cut crime by 19
percent.
The Joblinks program provides transportation and training in both urban and rural areas.
Oregon's Glendale-Azalea School District used Joblinks funds to transport 400
unemployed and undereducated residents to training and to jobs in the first year alone.
The success of initiatives such as Joblinks and Livable Communities provides a model for
new efforts to improve community access to jobs and other necessities.
KEY NEXTEA PROVISIONS
NEXTEA includes a six-year, $600 million grant program to support flexible, innovative
transportation alternatives, such as vanpools, to get people to where the jobs are. Funding
would also provide access to training centers and to support services such as day care at
transit links. This program would be closely coordinated with other human services
assistance that would be provided to states and localities working to meet the special
needs of the welfare population.
Since transportation and construction jobs are among America's best-paying, we want to
open opportunities in these fields for welfare recipients and other disadvantaged people.
NEXTEA would increase incentives for states and localities to provide job training in
conjunction with federally-funded technology and construction projects, and to enable
them to offer hiring preferences to welfare recipients and residents of Empowerment
Zones and Enterprise Communities.
9
P
ROTECTING THE ENVIRONMENT
Scientific research demonstrates the effects of pollution on our health and on the ecological
systems which sustain human life. President Clinton has taken advantage of ISTEA's landmark
environmental provisions to reduce air and water pollution, to preserve wetlands and open space,
and to make transportation facilities more compatible with the environment.
ISTEA SUCCESSES
The largest ISTEA environmental initiative is the Congestion Mitigation and Air Quality
Improvement Program (CMAQ), which authorized $1 billion annually under ISTEA to
help communities meet national standards for healthy air. CMAQ has funded such
innovative projects as cleaner natural gas buses in Cleveland and Boise, a child care
center to promote ridership at a San Jose transit facility, and an inspection and
maintenance program in Indiana, which ensures that auto emissions systems continue to
cut pollution.
ISTEA supported important travel alternatives, such as bikeways and pedestrian paths,
and preserved scenic and historic roadside vistas, supporting tourism and strengthening
local economies.
KEY NEXTEA PROVISIONS
NEXTEA would increase CMAQ funding by 30 percent, to $1.3 billion annually, and
expand funding eligibility to include scrappage of higher-polluting pre-1980 vehicles. It
also would act on new research on the dangers of particulate matter by allowing areas that
do not meet health standards for this pollutant to receive CMAQ funds. NEXTEA also
would ensure that no state loses CMAQ funds as a result of the Environmental Protection
Agency's proposed changes in air quality standards.
NEXTEA would increase Transportation Enhancements funding by more than 25
percent, supporting projects designed to strengthen the cultural, aesthetic, and
environmental aspects of our transportation system.
The National Scenic Byways program, which designates roads of aesthetic or historic
value and funds improvements to them, would be continued, and the list of eligible
activities would be expanded to include scenic byway marketing programs. Funding for
recreational trails, bicycle transportation and pedestrian walkways, landscaping, and
wildflower plantings also would be continued, as would ISTEA's commitment to
inclusive transportation planning which reflects such community values as environmental
preservation.
10
I
MPROVING TRANSPORTATION THROUGH TECHNOLOGY
Technology can improve the performance of roads and transit systems and effectively increase
their capacity, especially in urban areas where new construction is too expensive or
environmentally unsound. Technology also can make travel safe: most automobile crashes
involve human error, and advanced collision avoidance systems and highway-rail grade crossing
warnings can save hundreds of lives annually. Finally, technology can provide the logistical
support needed for such innovations as "just-in-time" deliveries, which are cutting costs and
improving productivity at nearly a third of U.S. companies.
ISTEA SUCCESSES
ISTEA established a major federal commitment to intelligent transportation systems
(ITS), the application of advanced information and communications technologies to
travel. The federal role includes providing seed money for development and deployment,
assistance in the creation of technology standards to promote system integration, and the
coordination of public and private research efforts.
The first generation of ITS is already being deployed: in Denver, synchronized traffic
signals reduced travel times by over 15 to 20 percent, and in Seattle, ramp metering has
cut accident rates by more than 60 percent. Operation TimeSaver, an initiative to reduce
travel times in 75 cities by 15 percent over the next decade, was launched last year.
Under this initiative, states may use their federal transportation funds to deploy ITS
systems.
Overall federal transportation research and technology investment increased to record
levels, $930 million in 1997 alone. Initiatives resulting from this investment include
high-performance materials, such as Superpave asphalt, which cost less and last longer,
and the application of global positioning satellite systems to aviation and maritime
navigation.
KEY NEXTEA PROVISIONS
NEXTEA would provide states and localities with ITS training and technical assistance,
and fund a $600 million incentive program to help cities integrate their ITS programs and
to help rural areas deploy ITS to improve safety. mobility, and commercial vehicle
operations. It also would expand the eligibility of all major program categories to include
ITS, so technology will always be considered as a strategy for meeting travel demand.
NEXTEA would increase overall federal investment in technology research for initiatives
including advanced composites for stronger, safer roads and bridges and second-
generation ITS technologies such as collision avoidance systems.
11
S
TRENGTHENING URBAN COMMUNITIES
Sound transportation is crucial for sustaining economic prosperity and a high quality of life in
our cities. Targeted infrastructure investment can reduce congestion and improve connections so
businesses can take advantage of the city's proximity to suppliers, support services, markets, and
amenities. Such investment also can generate jobs for city residents, directly through
construction, and indirectly by attracting new businesses.
ISTEA SUCCESSES
ISTEA strengthened the role of cities in the transportation planning process, giving cities
greater control over a substantial portion of federal funds and enabling them to choose
projects which best met urban needs.
Together with the increased flexibility of many programs, this enabled funding to be
transferred to such urban needs as transit. Over $3 billion traditionally earmarked for
highways was used for high-priority transit projects, most in cities, and overall transit
funding increased under ISTEA, reaching a record $6 billion in 1995 alone.
KEY NEXTEA PROVISIONS
NEXTEA sustains investment in mass transportation by increasing direct federal transit
funding to $5 billion a year, by increasing the flexible Surface Transportation Program,
and by making Amtrak and intercity rail terminals eligible for funding. Transit programs
would be streamlined to make it easier for local officials to select the options that make
the most sense for their communities
NEXTEA includes a six-year, $600 million program to support flexible, innovative
transportation alternatives, such as vanpools, to get people to where the jobs are and to
provide access to training and such support services as child care.
Technology can provide needed additional urban travel capacity with less disruption to
established communities and at less cost than new construction. NEXTEA proposes to
make intelligent transportation systems eligible under all major programs, and to create
an incentive program to ensure that these technologies are fully integrated.
NEXTEA would further strengthen the role of central cities in regional planning and
simplify federal planning requirements.
12
S
ERVING RURAL AMERICA
Transportation is as vital to rural areas as it is to cities. Sound transport is vital for shipping raw
materials and agricultural products. Tourism, generated by the four in five Americans who drive
for pleasure in rural areas, sustains many local economies. And many rural residents rely on
transit to reach schools, health care, and other necessary services.
ISTEA SUCCESSES
ISTEA provided over $1 billion for special projects in rural America, such as protecting
scenic roadside vistas, preserving historic transportation facilities, and beautifying
communities with bicycle and pedestrian facilities.
ISTEA benefitted rural areas with provisions like special transit programs for small
communities, transportation enhancements, scenic byways, and set-asides for off-system
bridges.
KEY NEXTEA PROVISIONS
NEXTEA would strengthen rural communities' involvement in transportation planning
by requiring coordination with local rural officials when statewide transportation plans
are developed.
NEXTEA would increase investment in core programs affecting rural areas, such as the
National Highway System, Transportation Enhancements, and Rural Transit Assistance,
and expand funding eligibility to include Amtrak and intercity rail and bus, two key
lifeline for rural America.
NEXTEA would raise authorizations for the Federal Lands Highways Program to $525
million, funding improvements on roads in national parks and forests, Indian
reservations, and other public lands.
13