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America's Highways Demand Eight Billion Dollar Bailout




By EmploymentCrossing

 
The United States Highway Trust Fund, established in 1956 to ensure financing for maintenance of the Interstate Highway System, is asking for an eight billion dollar transfusion of cash.
 
Transportation Secretary Mary Peters warns that the fund will run out of money this month. The money was meant to last until the end of 2009, but dwindling fuel tax receipts due to high oil prices have left the fund penniless.
 
This month the Transportation Department is expecting $2.7 billion in gas tax revenues -- but the agency needs $4.4 billion to reimburse states for their highway and road projects.
 
A congressional proposal to shift funds from the general fund to the Highway Trust Fund was shot down by the Bush White House earlier this year. The Department of Transportation, which originally opposed the idea, now supports the transfer. But Peters warned the transfer was “not an ideal solution.”
 
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