STATEMENT OF
THE HONORABLE NORMAN Y. MINETA
SECRETARY OF TRANSPORTATION
BEFORE THE
COMMITTEE ON APPROPRIATIONS
SUBCOMMITTEE ON TRANSPORTATION, TREASURY,
HOUSING AND URBAN DEVELOPMENT, THE JUDICIARY, DISTRICT OF COLUMBIA, AND INDEPENDENT AGENCIES
UNITED STATES HOUSE OF REPRESENTATIVES
March 18, 2005
Mr. Chairman, Members of the Subcommittee, thank you for the opportunity to appear before you today to discuss the Administration’s fiscal year 2006 budget request for the Department of Transportation. The President’s request, which totals $59.5 billion in budgetary resources, includes major investments in our Nation’s highways and roadways, airports and airways, railroads, transit systems, and other transportation programs that move the American economy. This budget makes a strong commitment to the infrastructure, technology, and research that will ensure that our Nation's transportation network remains a potent and capable partner as our economy continues to grow.
I am proud of the considerable progress that the Department of Transportation has made over the past four years in advancing the safety, reliability, and efficiency of our transportation system. Through the Bush Administration's unprecedented focus on safety, for example, we have achieved the lowest vehicle fatality rate ever recorded and the highest safety belt usage rate ever recorded. During the same time, we have helped bring about the safest three-year period in aviation history.
Enactment of a six-year reauthorization of surface transportation programs is a top priority. The Administration's reauthorization proposal, the Safe, Accountable, Flexible, and Efficient Transportation Equity Act, or SAFETEA, provides a blueprint for investment that relieves gridlock and ensures future mobility and safety on the Nation's roads and transit systems. The 2006 budget includes a record investment of $284 billion in Federal resources over the six-year life of the bill - almost $35 percent billion more than funding under TEA-21, the previous surface transportation authorization. Continued delays in enactment of the reauthorization impedefrustrate proper planning by states and communities and deprive them of the ability to use new flexibilities that the Bush Administration is proposing to encourage private investment and achieve more efficient use of the Nation's highways.
The budget request also reflects the imperative for reform of America's intercity passenger rail system, which Amtrak has been operating at a loss for 34 years. Amtrak has received more than $29 billion in taxpayer subsidies, including more than $1 billion in each of the last two years, despite the requirement of the 1997 Amtrak Reform Act that after 2002, "Amtrak shall operate without Federal operating grant funds appropriated for its benefit." In 2003, the Administration sent to the Congress the President’s Passenger Rail Investment Reform Act. This proposal would align passenger rail programs with other transportation modes, under which States work in partnership with the Federal government in owning, operating, and maintaining transportation facilities and services.
Deteriorating infrastructure and declining service further the case that, without Congressional action on the Administration's reform proposals, continued taxpayer subsidies cannot be justified. Consequently, no funding is included in the 2006 budget for Amtrak. Rather, $360 million is budgeted to allow the Surface Transportation Board to support existing commuter rail service along the Northeast Corridor and elsewhere should Amtrak cease commuter rail operations in the absence of Federal subsidies. The President’s budget is a call to action: The time for reform is now. If the Administration’s management and financial reforms are enacted, the Administration is prepared to commit additional resources for Amtrak – but if, and only if, reforms are underway. We want to work with the Congress and with Amtrak to make meaningful reforms that will enable intercity passenger rail to achieve success and Amtrak to achieve financial independence. I am optimistic that these reforms can be accomplished this year.
The President's FY 2006 budget includes nearly $14 billion for the Federal Aviation Administration to continue our investments both in building new infrastructure and in deploying technology that enhances the capacity and safety of the Nation's aviation system. The President’s request for the FAA includes funding for the hiring of 1,249 air traffic controllers in FY 2006. Specially, the operations budget includes nearly $25 million to fund 595 new air traffic controllers in addition to replacing the 654 that are expected to leave the system through attrition. $24.9 million for 595 additional air traffic controllers [Just to be clear, does the $24.9 million only cover the 595 or is it $24.9 million for ALL controller hiring – replacing attrition AS WELL AS additional hires?]. This net increase above the current replacement levels, is a first step in the FAA’s plan announced last December to begin training the staff needed to replace future retirees and meet growing demand for air service.
Under the President’s plan, the airport improvement program would receive $3 billion. These resources are sufficient to fund construction of all planned new runways, which are the single-most effective way to add capacity. This funding level is robust by historical standards. As recently as 2000, the Airport Grant program was funded at $1.9 billion. In addition to funds in the airport improvement program, airports can meet infrastructure needs through revenues generated from passenger facility charges. Many airports do not take full advantage of this legal authority to charge user fees which FAA estimates could produce an additional $350 million annually for airport development needs. The President’s plan also triples funding to $18 million for the Joint Planning and Development Office. The work of this office supports the development of plans for transforming the future of the National air space to address growing capacity needs.
Our maritime network also finds itself in greater demand, both at home and abroad. The President proposes to increase funding for the Maritime Security program by $58 million to $156 million. This increase will fully fund an expanded fleet of 60 ships to provide sealift capacity to carry equipment and supplies to those charged with defending our freedom and expanding liberty.
We are grateful to the Congress for enacting the Department’s reorganization proposal, and in accordance with that legislation, we have created two new administrations in place of the Research and Special Programs Administration (RSPA). The new Research and Innovative Technology Administration (RITA) promises to bring new energy and focus to the Department's research efforts and expedite implementation of cross-cutting, innovative transportation technologies. The new Pipeline and Hazardous Materials Safety Administration (PHMSA), has responsibility for the safe and secure transport of hazardous materials throughout the transportation network. The 2006 budget provides $130.8 million for PHMSA's first full year of operations and $39.1 million for RITA. In addition, RITA is expected to receive over $300 million for transportation research conducted on behalf of other agencies on a reimbursable basis.
Finally, I want to highlight the FY 2006 President’s Budget request for the new Department of Transportation headquarters building project. We are pleased that the Congress has provided $110 million in funding over the last two years. Today, construction is well under way, at the Southeast Federal Center and we are requesting your support of $100 million to continue the next phase of this project. This phase is critical to the success of the project. DOT’s tenant-responsibilities include initiating a multi-year furniture procurement, acquiring security equipment and the infrastructure to support it, and providing for secure telecommunications within the infrastructure of the new building. All of this must occur during FY 2006 to coincide with construction and the builder’s delivery schedule. Any delay in funding could cost the government millions of dollars. UUnder the terms of our lease, the Department has only until June 2007 to vacate our current building without incurring substantial penalties. For that reason, fiscal year 2006 funding is critical to ensure a timely and smooth transition for the Department’s more than XX,XXX5,600 headquarters employees. The result of this will be a building that provides modern office technology, enhanced communications, a quality work environment and updated security systems.
The FY 2006 budget request recognizes that the transportation sector is the workhorse that drives the American economy, providing mobility and accessibility for passengers and freight, supplying millions of jobs, and creating growth-generating revenue. The President’s budget reflects a fiscally responsible plan for the Department of Transportation to help America better meet its 21st Century transportation needs. The Federal transportation budget must adequately fund our workforce and our programs despite the continuing funding challenges of national and homeland security needs. President Bush and I are committed to working with the Congress, and with our public- and private-sector partners to ensure that our transportation network can keep America moving confidently into the future.
Thank you again for the opportunity to testify today. I look forward to working closely with all of you, and with the entire Congress, as you consider the FY 2006 President’s budget request and I look forward to responding to any questions you may have.
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