From SCDigest's On-Target E-Magazine
- Dec. 9, 2015 -
Supply Chain News: The New US Highway Bill - What's in It, What Isn't?
Bill in the End Largely Maintains the Status Quo, with Several Key Changes Sought by Transport Sector Out of Final Legislation
SCDigest Editorial Staff
There is much glad handing all around Washington DC, as Congress passed a new Surface Transportation bill - more generally referred to as the Highway Bill - on December 1, and President Obama signed it into law last week.
This five-year, $305 billion bill is the first such authorization of more than two years in since 1987, and at last moves past several years of a seemingly never ending series of continuing resolutions that maintained spending at the levels authorized in the last full Highway bill, called MAP-21, in 2012.
SCDigest Says: |
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this is mostly a status quo bill with a modest increase in funding that barely keeps up with inflation if even that, and makes no changes in several areas keys to the transport sector |
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What Do You Say?
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Coming in at a massive 1300 pages, few have waded all the way through the new law. Relying on multiple sources, below we offer a concise summary of what is in and not in the new legislation:
In:
An approximate 15% increase in funding for highway related spending, and 18% on other transit projects: Still, the $300 billion or so allocated is far below the $400 billion over six years sought by the Obama administration, and others believe is well shy of the total dollars needed to meaningfully improve US logistics infrastructure.
What appears to be full funding of the five-year spending program: New revenue sources created to make that happen include appropriating some of the dividends large banks receive from the Federal Reserve (though not quite as big a money grab as was in earlier versions of the law) and directly appropriating other finds now going to the Fed. Some critics, however, are saying some of the revenue sources are dubious and may lead to funding challenges again down the road before the new bill expires.
Reform of the Federal Motor Carrier Safety Administration's Carrier Safety Accountability program, changes much desired by carrier groups: In parallel with this legislative change, the Federal Motor Carrier Safety Administration (FMCSA) announced it was on its own going to stop making this driver-level safety data publicly available. The truck industry has argued the government's methodology for determining the scores is unfair.
A mandate that the Department of Health and Human Services set standards for hair testing of truck drivers: this should now usher this in as a standard practice.
A directive to the US comptroller to study autonomous vehicle technology by no later than 2017: though the practical impact of this is far from clear. Ditto with a directive that the US Department of Transportation pay for the "large scale installation and operation of advanced transportation technologies," whatever that means.
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