Thursday, September 11, 2008

Senate OKs $8B for highway trust fund

Senate OKs $8B for highway trust fund
Lawmakers attempt to avoid crippling delays in federal funding as gas tax revenues dry up.

WASHINGTON (AP) -- The Senate is putting $8 billion into the highway trust fund in a move to stave off what could be crippling delays to federal aid for road and bridge projects around the country.

The Senate voice vote came two days after Transportation Secretary Mary Peters said the trust fund would go broke by the end of this month. The fund is made up of money drivers pay through federal gas taxes and is the main source of funds for transportation construction projects.

It has headed toward insolvency as people affected by high gas prices drive less and buy more fuel-efficient vehicles.

"The lesson is clear, it's time to embrace a new approach to transportation that does not rely on high fuel consumption and instead directs funds where they are actually needed," said Peters in a statement.

The bill is nearly identical to legislation passed by the House in July. The House is expected to act soon to send it to the president.

CNN

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