August 10, 2005 - - Gov. Jennifer M. Granholm announced today that Michigan is getting more federal money to spend on roads and public transit as the result of the passage of a $286.4 billion, six-year transportation bill signed into law today by President George W. Bush.
"The good news is that increased highway and transit funding translates into more jobs for Michigan. It also means that Michigan will get back more of the federal gasoline tax revenue we send to Washington, D.C., so that we can aggressively invest in preserving and improving Michigan's transportation system. We worked hard to secure a better funding share for Michigan, and we were successful, thanks to the persistent efforts of our Michigan congressional delegation, especially Senators Carl Levin and Debbie Stabenow, and our entire Michigan Transportation Team, who helped us get more transportation dollars for the residents of Michigan," Gov. Granholm said.
Known as the Safe, Accountable, Flexible and Efficient Transportation Act: A Legacy for Users or SAFETEA LU (H.R. 3), is the long-awaited successor to the Transportation Equity Act for the 21st Century or TEA-21. TEA-21, which expired on Sept. 30, 2003, was extended 12 times by Congress while they negotiated a new federal surface transportation bill. SAFETEA LU provides Michigan, on average, with approximately $239 million more in federal funds per year than we received under TEA-21. The funding increases will be phased in throughout the next five years.
"These federal funds allow us to invest more dollars in congestion relief, border crossings, and to expand our focus on safety and protecting the environment," Granholm said. "In addition to more funding for roads and bridges, Michigan will receive $108 million per year in public transit funds from 2006 through 2009. This represents an increase of $28 million per year or 39 percent over the funding Michigan previously received. We also will make important investments in border security, and we received a significant increase in funding for stand-alone safety investments that will save lives and reduce injuries. Additionally, Michigan was granted unique flexibility to use federal funds to relieve congestion on our roads with information technology, and we received a major increase in dollars dedicated to keeping our children safe on their way to school."
Granholm was particularly pleased with an improvement in Michigan's donor state status through a hard-won increase in Michigan's minimum highway funds from 90.5 percent of apportioned highway funding to 92 percent in 2008. The state's share of federal highway funds will be phased in, going from 90.5 percent to 91.5 percent in 2007, and 92 percent in 2008 and 2009.
"Increased federal funding provides a big boost to our economy and our transportation system," said Granholm. "We will put the money to work to support tens of thousands of new jobs and meet the challenges that Michigan will face as we build and manage a 21st century transportation system."
Complete information on H.R. 3 is available online at: http://www.house.gov/rules/
MDOT: Celebrating 100 years of transportation innovation, 1905-2005
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