1. Highway Program Structure Highway Recommendations Neil Pedersen Chair, ASC Highway Legislative Team Vice Chair, AASHTO Standing Committee on Highways Administrator, Maryland State Highway Administration

2. Program Structure The proposed Highway Program Structure was developed by the Team Chairs and was approved by the Authorization Steering Committee September, 2008 in Dallas.

3. Key Assumptions Restore to 90% the portion of the federal highway program apportioned to the states The proposed $375 billion Highway program level is based on prior AASHTO policy recommendations to ensure sufficient funding necessary to restore purchasing power

4. Key Assumptions Ability to flex highway funds to transit and vice versa A planning process that looks first at mobility and after weighing alternatives, then decides which modal improvement is best – highways, transit or rail Maintain eligibility previously established to invest HTF resources in freight rail

5. Program Structure Preservation and Renewal Program Freight Program Highway Safety Improvement Program Operations and Management Program Transportation System Improvement/Congestion Reduction Program Environment Program: Air Quality and Climate Change

6. Preservation and Renewal $ 28.4 Billion for preservation, including reconstruction and expansion Maximum flexibility Expanded transferability when tied to performance Three subcomponents –  Interstate Preservation  NHS Preservation  Bridge Preservation

7. Freight Program $6.5 Billion apportioned and $3.5 Billion discretionary Eligibilities – full Highway Team set, including  Bottleneck improvements  Intermodal access to ports and distribution centers  International gateway improvements  Improve trade corridors  Develop truck only lanes

8. Highway Safety Improvement Program $2.6 Billion Includes –  RR Crossing set aside  Operation Lifesaver set aside  High Risk Rural Roads set aside  Continued funding for Safe Routes to School

9. Operations and Management Program $3 Billion To improve system performance in both rural and urban areas Encourage but not require the use of funds for low-cost, quick turnaround improvements

10. Transportation System Improvement/Congestion Reduction Program $11 Billion Urban States – with Metros > 200K  Metro Mobility/Congestion Reduction Program: 62.5% to areas based on relative share of population + consultation with locals  Statewide Connectivity: 37.5% to any area in the state + consultation with locals

11. Transportation System Improvement/Congestion Reduction Program (cont.) Non Urban States  Transportation System Improvement Program – Funds distributed to any area in the state + consultation with locals

12. Environment Program: Air Quality and Climate Change $ 3.4 Billion Two components  50% to ozone, CO and PM non-attainment areas  50% for climate change initiatives If no non-attainment areas, current eligibilities continue to apply

13. Equity Bonus While a minimum distribution of Highway Trust Fund revenues to each state is appropriate, AASHTO recommends a greater proportion of Federal revenue be distributed across core programs. When Congress determines what is necessary to give each state an agreed upon apportioned share, a funding component may be utilized to make this possible.

14. Highway Team Recommendations The Highway Team’s recommendations were developed within the framework of the proposed highway program structure and were approved by the Authorization Steering Committee September, 2008 in Dallas.

15. Funding Recommendations Increase Interstate System and NHS share of funding more than other core programs Continue funding for Federal Lands and non- NHS federal-aid highways Allow commercialization of Interstate rest areas Expand flexibility for tolling Interstate System

16. System Preservation & Asset Management Recommendations Allow for use of federal funds for projects that are part of a state’s asset management plan to meet goals for preservation, safety and/or mobility Maintain existing eligible activities and transferability under current IM, NHS and Bridge programs Allow for expanded transferability of federal funds when tied to performance Allow more flexibility in Bridge Program and remove current, unnecessary restrictions

17. Comprehensive System Study Congress should fund a comprehensive, joint study: To re-examine the definition of the Interstate and National Highway Systems To assess the investment requirements to preserve and expand the Interstate System and key NHS routes To evaluate the adequacy of the systems to meet the needs of the modern military