July 6, 2004

Governor Jennifer M. Granholm and U.S. Senator Debbie Stabenow today called on Congress to pass a federal transportation funding bill that would treat Michigan and other donor states more fairly by setting funding levels at the $318 billion approved by the U.S. Senate.  Granholm said failure to reauthorize the transportation funding bill, which has been delayed since October, has cost Michigan more than $160 million in federal transportation funding and nearly 8,000 jobs this year alone.

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The Senate passed a version of the bill that contains $318 billion in funding over the next six years and several positive steps toward funding equity for donor states like Michigan.  The U.S. House passed a version that contains $275 billion in funding but takes a few steps backwards when it comes to equity for donor states, said Governor Granholm.

“Currently, Michigan is a donor state, sending more in tax dollars to the federal government than what we get back in transportation funding.  For every dollar we send, we get back only 88 cents,” Granholm said.  “With the legislation being debated in Washington, we can raise the guaranteed rate of return, making it much more fair and equitable for donor states like Michigan.”
 
“In the U.S. Senate, Senator Carl Levin and I helped work for passage of a version of the transportation bill that would create approximately 100,000 good paying and badly needed jobs in Michigan and help fix the state’s deteriorating roads and bridges,” Stabenow said.  “This bill drew broad bipartisan support in the Senate, and I have continued to urge its adoption as the best transportation funding package for Michigan and for the nation.” 

The House-Senate conference committee on TEA 21 is expected to convene in Washington tomorrow to vote on a Senate-sponsored resolution that would put the level of
funding at $318 billion over six years.  Granholm said that $318 billion is the minimum acceptable level.
 
“Sadly, President Bush has said he will veto anything that contains more than $256 billion in spending,” Granholm said.  “That does not even keep pace with inflation and would jeopardize many highway projects and public transit systems.”
 
“If President Bush had signed reauthorization last October at the levels in the Senate bill that Senator Stabenow and Governor Granholm fought for, the Michigan Department of Transportation (MDOT) and our local partners could have done a lot more,” said State Transportation Director Gloria J. Jeff.  “The State of Michigan would have had $164 million more to invest in preserving state trunklines today, which includes more than $18 million more to invest in new roads and new lanes – that’s more than $529,000 a day.  Additionally, Michigan counties would have had another $60 million – that’s more than $217,000 a day – to invest in the preservation of local roads and bridges.”
 
Granholm said the delay in authorizing TEA 21 already has cost Michigan more than $160 million in transportation funding this year.  It is estimated that the delay also has cost the state nearly 8,000 jobs and has caused road building companies to hire less workers and purchase less equipment.
 
“Our highways are our economic backbone, helping us move goods and products to the market in an efficient way,” Granholm said.  “Michigan’s roads are the most significant economic infrastructure investment in the state, and they help the country by moving half of Canada’s daily trade with the U.S.”
 
Stabenow said that Michigan citizens can help free TEA 21 from the logjam in Congress by calling or writing their Congressman to urge passage of the bill. 

“Every Michigan commuter, every vacationer, every trucker, every businessperson knows first-hand the importance of Michigan’s roads and the need for their continued repair and improvement,” Stabenow said.  “These voices must join the chorus urging the administration and other members of Congress to approve the Senate’s version of this transportation – and approve it now!”