New Jobs Bill Reforms Infrastructure Spending, Directs 100% of Highway Resources to Highway Projects

The House Ways & Means Committee today adopted reforms in the American Energy & Infrastructure Jobs Act(H.R.7) that will ensure resources meant for highway construction and repair are actually used for highway construction and repair not beautification projects, bike paths, and other non-highway activities. Heres how:

• By Directing 100% of the Highway Trust Fund to Core Infrastructure Projects. Reforms passed by the Ways & Means Committee today will stop taxpayer dollars from being siphoned off for non-economic projects – such as beautification and bike paths – which currently receive 25 percent of Highway Trust Fund expenditures, and direct 100 percent of that funding to core infrastructure projects.  In a letter of support for the American Energy & Infrastructure Jobs Act, the National Retail Federation said our neglected transportation system has created bottlenecks and inefficiencies in the supply chain that stifle U.S. companies ability to grow and create jobs that are so badly needed in todays economy. 

• By Giving States More Control Over Highway Resources. The American Energy & Infrastructure Jobs Actreturns highway funding to the states and local communities who know where infrastructure funding is needed. In the past, states only received about two-thirds of the gas tax dollars collected for highway funding — now they will receive 93 percent.  And whereas Washington used to direct highway dollars to pet projects and other activities that had little to do with improving the nations high-priority roads and bridges, this bill will contain no earmarks.

Ways & Means Committee Chairman Dave Camp (R-MI) explained today that by restoring the Highway Trust Fund to its intended use, pairing it with additional revenue from expanded American energy production and private-sector sources, and cutting red tape that delays infrastructure repairs, H.R. 7 will responsibly fund infrastructure improvements without raising taxes or adding to our national debt.:

The overall highway bill has three principal goals: responsibly fund infrastructure improvements, create jobs, and promote domestic energy development.  By transferring new revenues from domestic energy development into the Highway Trust Fund, our bill helps to accomplish all three objectiveswithout raising taxes or adding to our national debt.  In fact, the Joint Committee on Taxation says that H.R. 3864 will have no net effect on Federal revenues.

Learn more about the American Energy & Infrastructure Jobs Act at Speaker.gov/Energy, and visit jobs.GOP.gov for more information on the Republican Plan for Americas Job Creators.