Transcripts For CSPAN Transportation Infrastructure Investments 20140216

Trust fund may run out of funds as early as september 2014, which would create cash flow problem for states during the critical summer construction season. Due to the uncertainty leading up to that bleak scenario, states are already beginning to develop contingency plans to prepare for reductions in federal transportation funding, which includes cutting pending projects. This is terrible for businesses, workers, and our nation. According to georgias department of transportation, if federal funding is cut, we would not be able to fund any new projects. Officials from other states have made similar statements and the effects are very negative, to say the least. As states postpone putting Construction Contracts out to bid, businesses will be more reluctant to invest and that impact will be felt throughout the higher entire economy. Let me be clear, the pending shortfall must be addressed by an infusion of funds. Otherwise, cbo estimates of locations for new projects in 2015 would need to be reduced to zero. This would result in federal highway, highway safety, and transit funding being cut by 50. 8 billion in 2015 with almost 1. 8 million jobs lost. Only old projects could be funded. No more new projects. This means states will be unable to obligate any federal funds for any new project, perhaps as early as this summer. It is critical for our nation to continue investing in our aging infrastructure. Therefore preserving the trust fund needs to be our number one priority in this committee and in the senate and house. We must Work Together to find a sweet spot for the dependable bipartisan source of funding for the Highway Trust Fund. A strong Transportation System is vital to ensuring the economic competitiveness of the United States and this requires maintaining federal investments in our transportation infrastructure. A report last year from the National Association of manufacturers so happy they are with us today found 70 of u. S. Manufacturers believe americas roads are getting worse and 67 believe infrastructure is important enough to american businesses that all options to Fund Investments should be on the table. Roads and bridges are not democratic. They are not republican. I am so proud of the bipartisan support on our committee, from my Ranking Member senator vitter to every member on the committee, i have met with almost every one of them. It is our intention to report out a bill. Im hoping for a five or sixyear built. Begun discussions on funding the Highway Trust Fund. They know they have that responsibility. I know we will all work with them. To all of our witnesses, thank you for being here and your advocacy for a strong Transportation System. We need you now more than ever. You have been with us through these battles before. We won those battles because of our unity. Whatever our differences in other areas, we dont have them here and being partners is crippled to our success. With that, i returned to my Ranking Member, senator vitter. Thank you, madam chair, and thank you to all of our witnesses. It is very appropriate that as ouropefully are finalizing first big piece of infrastructure work and are hopeful about that, we increasingly turn our attention to our next big infrastructure work, which is the next highway bill. We are both excited to do that and are actively doing that. Thanks to our witnesses that represent a Diverse Group of interests. Collectively, you represent a strong and common voice on this issue. Infrastructure is a critical component of our nations economy and quality of life. Infrastructure is fundamental to connect people and communities. It is a critical Building Block for our economy. In 2011 alone, u. S. Transportation system moved 17. 6 billion of goods tons of goods valued at almost 17 trillion. However as the chair suggested just last week, cbo came out with the updated projections for the Highway Trust Fund. That trust fund is accelerating toward bankruptcy faster than anticipated. Action must be taken before the end of the fiscal year to avoid what the chair described as a nearly 100 drop in new federal funds in fy 15. The Economic Impact of such a drop would resonate far beyond the lack of direct investment into our infrastructure. In action would drastically disrupt the supply chain, efficiency, and cost of movement of goods and our overall competitiveness. The Highway Trust Fund was intended to not only facilitate the unique characteristics of funding transportation but also to provide funding safeguards for the highest priority projects. Putting such a structure on a sound fiscal footing will restore the stability and certainty of the trust fund that is so vital to economic growth. I have to say, some believe that for some reason it is a conservative principle to adhere strictly to our current flawed and that in perpetuity is all there should ever be to meet our infrastructure demands. I dont understand that at all and will be advocating for solutions that go beyond the. What i do understand our concerns about a net tax increase for cashstrapped middleclass family and i will be seeking a solution that fully addresses our Highway Trust Fund needs while not imposing such a net tax increase. When the trust Fund Structure was first established, it was designed to build the interstate highway system and structured based on the simple principle that first you map out and define a detailed plan. You come up with a cost to complete the plan and then you build a user based financing structure to complete that task. Such thinking not only produced of a 13year authorization bill, but also established Good Government accountability and trust from system users. However, that type of thinking is almost unrecognizable in our transportation funding structure today. The actions of the last six years represent a significant archer from the intent of the Highway Trust Fund and have prolonged economic uncertainty, not only in the direct investment in our infrastructure but also the type of longterm investment that drives Economic Development at home and makes us more competitive abroad. If we are going to be successful in restoring that type of structure, we fundamentally have to put trust back in the Highway Trust Fund. Cannot keepmeans we adding programs and eligibility to the trust fund that are narrowly focused, that do not build or maintain infrastructure or do very little to benefit those who pay into the system. It means the trust fund needs to be even more transparent than before to build, rebuild that trust. We need to be able to show where taxpayer dollars are going and where future investments may or may not be utilized on a project by project level. Finally, we must rebuild that trust by continuing to reduce the cost burden and impact of red tape and bureaucracy. The chair and i are hard at work putting significant reform ideas together in a new bill they can rebuild that trust and start the process and get the finance committee moving as a full partner on the finance piece. We hope to be moving such a base bill through the committee to encourage the finance committee to take it up and address the finance piece as a full partner. I very much look forward to your testimony. Very much look forward to that work of rebuilding trust in the trust fund so that we can fully finance our clear infrastructure needs. Thank you. I think this gives the signal we are very much of one mind as to how to proceed, which is very important. Here is the situation. 11 30, several votes at so im going to ask members to keep their remarks to about four minutes for opening remarks and we will turn to senator merkley. Thank you. This is a very important project that we pursue the renewal of map21. I know the Oregon Department of transportation is very nervous about becoming sure fund in the Highway Trust Fund. If our states have to delay projects, that results in much higher costs. It also results in a direct impact on jobs in the state. We anticipate we would have we would lose about 5000 jobs if we do not succeed in this effort during 2015. Aware that america is spending only 2 of its gdp on infrastructure. Europe is spinning 5 and china is spending 10 . The experience of going to beijing 10 years apart saw beijing go from bicycles to a bullet train. We cannot even repair the aging infrastructure we have from world war ii. We have to get it done. It is terrific after the chair and Ranking Member working together to take this project forward. It is extremely important to our economy and the infrastructure that will fuel our future economy. Thank you for your support and comments. Senator wicker . Chair, andu, madam Ranking Member vitter for holding this important hearing. Bipartisanship is breaking out all over in the congress. It continues today. As we debate federal transportation reauthorization, i hope it can build on this success. Transportation infrastructure is a combined federal and state responsibility. We need to do to better because the nation deserves better. We need to pass a reauthorization that will last longer than two years. Earlier, this Committee Held a hearing on the emblem tatian of the provisions of map21. Most of these provisions have yet to be enacted. The Department Needs the certainty of a longterm reauthorization to plan, maintain, and expand. We should still proceed with caution. We need to continue to let the states be the laboratories for best practices. More than 30 states are considering or have considered increasing revenues for transportation infrastructure. Over a dozen have committed and passed these increases into law. We should allow and encourage these experiments to continue. Let the states be the proving ground for some of the more proposals innovative brought forward. What may work in one state may not work for all. There are other issues that need to be addressed. We need to examine the real causes of our current situation. The the last two decades, buying power of gas tax revenues has slowly declined. Not only as a result of increasing maintenance and construction costs, but also as a result of increasing fuel efficiency. We need to ensure all users shoulder and equitable burden for the where and tear on our nations roads. Finally, we need to protect the integrity of the user fee. Have an obligation to the users paying the fee to ensure the revenues are going to their intended purpose, namely building and maintaining our nations roads and highways. Thank you. Now we will turn to senator whitehouse. Thank you for calling this hearing. It has not been that long since we were able to pass map21 in an overwhelmingly bipartisan fashion. We did that because we recognized the value of investing in our transportation Infrastructure Projects that put americans to work and ensure our goods can get to market. That bipartisan view is reflected in todays hearing which brings together groups that do not agree on many things, but they do no building roads and bridges can create quality jobs across the country and help our economy moved forward. That is nowhere more important than in my home state of rhode island, which still suffers an Unemployment Rate of 9. 1 . 9. 1 . We have no shortage of transportation problems projects that could put the rhode island people to work. There was built in 1964 and is showing its age. T is badly deteriorated wooden planks have been installed to prevent concrete from falling off the viaduct onto cars crossing it below. Similarly for the amtrak trains that go underneath it. Happily, with the help of a tiger grant, that project has Broken Ground and a replacement bridge on oneway of the highway is under construction. More work toa lot do. The northbound lane on the centralon, that location, providence, is just one example of how federal Transportation Programs are necessary and can help put people to work. Less than two years ago we put 21 into place with important reforms, but the thing we were not able to get done was solve the problem of the diminishing and soon to be vanishing Highway Trust Fund. So, it is headed for zero. When it gets to zero, that is going to be a real disaster for transportation and infrastructure. I am particularly interested in hearing from the areas where witnesses might have common agreement about how we can address this central issue. I do not think that the gas tax is going to help, as mileage increases and hybrid cars cut aso the value of the gas tax a source for highway infrastructure. Thank you to the chairman, thank you to the panel for being here, even in unusual pairings. In my statement we talked about how we had already begun talking about the purview to fund this. I think they are excited by the challenge, not that it will be easy. Senator in half . Thank you, madam chairman. Do have a brilliant Opening Statement again, but i will listen to you instead of that for the record. One comment in here that i would like to read. Goinge four choices forward, one of them based on cbo estimates. At 90 cut to the program in less than 98 months, some data has been figured at 100 . Something weply, will talk about later, raising revenues in the absence of answering the first three before the map expired and a series of shortterm objectives this is something i want to avoid. I have to say that confession is good for the soul. Our problem every year, and i have been involved every year since i was in the House Committee many years ago, is not so much with the democrats but the republicans. This passion for some republicans to get the conservative ratings and when big spending comes along, they use that as an example. That is the bad news. The good news is that over on the house side and i was privileged to go over, but you may have already known this, i got all 33 of the House Republicans on the committee in one room. This was right after we pass this out of the senate. I told them about the demagoguery on the floor. I said that i know you guys are conservative and i gave them my pitch as to the liberal vote for an extension. We had nine extensions between the last two. It cost about 30 off the top. That is nothing the conservative should be doing. I hadot saying that influence there, but all 33 voted to enthusiastically support it. I think we are making some headway there. Again, i look at the the trust fund, you just cannot tally that maintaining unused federal property at 25 Million Dollars per year is more important than reauthorizing the highway bill. There are a lot of things that come out of the general fund and we will have to look at that, like last time. But if you read the constitution, the article and section eight says the main thing we are supposed to be doing here is defense and infrastructure. You always make a very good case. In addition to your talking to the Tea Party Members over there , i had tea or coffee with quite a few of them. I enjoyed it, actually. We did get tremendous support. Remember, senator wyden, senator hatch, they will decide how this is paid for in that committee. Senator gillibrand . I cannot tell you how grateful i am that you have put together this distinguished panel of witnesses to discuss the importance of investing in infrastructure and Transportation System. Obviously this is an issue that unites labor and business. The United States cannot maintain our competitive global edge without a Strong Network of products moving safely and efficiently forward. With deadlines moving to reauthorize, with new funding to shore up the trust fund, we run the risk of doing real damage to the economy if Congress Fails to act. There will be serious consequences for each of our states, large and small, as well as for the families who depend on these Networks Just to get to school and get to work, to get home safely and reliably. We all know that the fund is projected to become insolvent by the end of the summer, it would have a severe impact in my state of new york. There are 600 28 federal highway project aid projects that require approximately 2 billion in funding. Are onthese projects bridges that are in need of construction or repair. Without funding for the Highway Trust Fund to start these projects next year, new york state would have to start restricting the use of roads and bridges. Places that are no longer safe or can no longer handle the capacity for which they were designed. Detours, delays, problems with getting things that need to be brought in, it means more time and money, loss of businesses, and families struggling to make it in this tough economy. This will hurt every single one of our states and rip through. He transtatian system we cannot afford the delays in congress. We have to make sure that now. Ess acts sending the businesses and jobs overseas rather than bringing them here where they belong. The longterm actions, in my view, are extremely costly. Thank you, madam chairwoman, for holding the heat the hearing. Senator fisher . Thisank you for holding hearing. Thank you to the panelists who came today as well. There is no doubt that our roads and bridges are essential to the Economic Health of our nation. In nebraska the Agricultural Industry is especially reliable on an efficient Transportation System to move goods from farm to market. Investment in infrastructure is the key to expanding and strengthening congress and promoting opportunity for business growth. It is clear that congress is putting infrastructure and investment back on a sustainable course. I think a limited government should focus resources on core duties, like infrastructure and maintenance instruction. On the next highway reauthorization bill i am hopeful that this committee will continue to work towards policy reforms that make sure that the federal dollars we are investing are devoted to truly adding value to the project and are not wasted on paperwork that only serves to prefer fulfill bureaucratic requirements. 21 may need improvements, but there is so much work to be done. Again, thank you. You, senator fisher. Senator cardin . Thank you for conducting this hearing with distinguished panel before us. It is always a pleasure. I ram wrote last time we had you together. It is nice to see the entire panel together, labor and business recognizing the importance of a longterm surface transportation reauthorization. I want to stress that. It is critically important that we do a longterm surface transportation reauthorization. Particularly for our Transportation Program in the country. You cannot plan these on a one to two year basis. You need at least a five or six year reauthorization bill to do the types of modernized Transportation Needs that we have in this country. As many members of the committee have already pointed out, this is about jobs. It will create jobs for our economy. Not just direct jobs related to the construction of our , but alsotion needs the amenities provided by modern transportation. About two hours coming in this morning from baltimore, not unusual. The traffic around baltimore and around washington, every car when you get off the road, believe me, it helps everyone. Experience getting to work and it allows the commerce of our highways to move more efficiently. All of that is critically important. I could put a plug in right now for three or four major transfer projects to get funded. Obviously, without having longterm reauthorization it is hard to see those programs moving forward, but i cant tell you that they are critically important to the National Economy and federal workforce and are critically important for all of our communities. It is also a matter of our environment, which we have heard before, modernizing our Transportation System in a much more efficient way. Be friendlier towards our environment. So, why are we doing this . We have got to make the tough decisions. The tough decisions have to be made in conjunction with the committee members. I happen to serve on both committees. We need the revenues necessary to support the surface transportation reauthorization. We have to recognize the realities that the current opportunities for the Transportation Trust fund are inadequate. It is based upon the gasoline tax, which we have been very effective at bringing down the value of with regards to the use of gasoline and more efficient engines. So, we need to look at ways to have an adequate source. Things such as carbon fees or other ways. I know the transportation is a bipartisan issue and a senator in half as been one of the great leaders, moving forward, on infrastructure. Senator bitter, also, greatly supports this and the ways that we can get revenues out for correct transportation. Reauthorization bill fits the record of this committee in this country. Senator, thank you, and you raise a good point, a few of our members sit on finance, which will be extremely helpful, they have both expressed interest in working with us. Now we are turning to senator sessions. I want to remind everyone that we have four votes at 11 30. I believe. Yes. Madam chairman, thank you for the hearing. Infrastructure is important and this situation is facing a financial challenge for the future that we are all worried about. The expenditure of federal dollars, many of the things we do around here are not valid for legitimate federal interest, but Infrastructure Projects certainly are. Office the director of management and budget testify yesterday. For example, yesterday he testified that last year interest on the debt that we pay about our revenue was 230 billion. Last year he projected at the end of 10 years that that would rise to 830 billion. This year he says that 10 years from today the annual interest inment will be 890 billion 2024. This is a stunning diversion of ey from unproductive use from productive use unproductive use. The result, a big part of the problem, the huge debts we have been running up in the last few years. We will have doubled the deficit since 2007. I know that Everyone Wants to spend money. I know you all have projects you want to spend. Told us thatndorf we are on an unsustainable path. You will see the deficits going down for the next two years. After that they will start an uncontrolled, steady increase every year. The deficit in the 10th year will be almost one dollar trillion. Are in a real difficult place. I would say to you that everyone comes before us with good projects to spend money on. I would say to you that those who believe in highway interest rupture should never forget how you were taken to the cleaners on the stimulus bill. We said 840 billion on jimmy of us. Only 40 of it went to roads and bridges. It went to every kind of social program. Mr. Elmendorf told us, when it passed, the you will see an increase in gdp in the short run , but after 10 years carrying another one dollar trillion in debt will actually reduce gdp over 10 years. Say to you, colleagues, and to the witnesses today, we have a big challenge before us. If we dont like it, we can put ourselves in a position where we have another financial product. Mr. Elmendorf warned us that that could happen. A dangerous area where the debt situation is in the red zone. That weair, the bill passed last year . I think that we stay within reasonable limits of the budget. I know that senator bitter work hard on it. We were able to maintain a level of funding, a minimum level that we thought was necessary. The judge would call it an even bigger challenge this year. Senator, same here. I had to be here when we balanced the budget and i think we could do it again if we were smart about it, but the important thing about highways is the selfsustaining trust fund, which is so critical. I have always supported that. That is operational, spending what we take in. First, we have longterm problems to deal with. It is my pleasure now to call on the Ranking Member of the subcommittee that will work so hard on this for us. Winky so much, madam chairman, Ranking Member, for holding this hearing. I share your commitment to the highway bill program continuing. I wanted to thank the panel for being here today to testify. When we can get the business and labor communities at the same table, it sends a strong message to all members of congress in both parties that the program must continue. To me this is truly a jobs bill. We need more red, white, and blue jobs in these states and across the country. Setting up roadblocks for Construction Projects with excessive red tape does not create a meaningful jobs that we need across america. For our state department of transportation, contractors, the Highway Department is complicated enough. The highway touches down on emergency paperwork and puts people back to work. It needs a solution that is reliable and responsible. How do we accomplish this in a fiscally responsible manner . To meet the National Needs of the highway system, states must have the flexibility to use federal dollars that serve the national interest. We need to protect the taxpayer and be sure the states continue to execute their transportation plans. Wyoming, like many of our rural states, is a bridge state. We need to maintain the bridge states that move commerce across america. Madam chairman, i hope that this committee will hold more members, and as ranking of the subcommittee id look forward to bringing the rural western perspective in the next authorization bill. Thank you for your leadership and holding the hearings. Thank you for your leadership as well. It is your time, lets get right to it. He are very pleased with this panel. We call on tom donohue to begin, from the chamber of commerce. And ceo. Thank you very much, chairman boxer, Ranking Member better. I appreciate that so many are here. As many of you said this morning, reorganization of map 21 promises to be a difficult fight, but it does not have to be. In fact, there is a broad consensus on a number of fundamental principles. We all agree that our infrastructure system is a Critical National outfit, that it drives both job safety, mobility, trade, and enhanced Global Competitiveness. We all agree that we are running out of money to fund the system. We all agree that the federal government must take a leading role in making sure that our infrastructure system contributes to a strong economy. We all agree that we need a predictable, stable, growing , ande of revenue for today immediate Funding Solutions for long termand in the we need to expand into a new system. Big you look at the picture, the simplest, most straightforward, most effective way to generate enough revenue is by increasing federal gasoline and diesel taxes. Remember, it is 19 or 20 years so since we increased the federal diesel tax. The gas taxes, which is what i was going to say, have not been since 1990 three. Cars are more fuelefficient. Trucks are much more fuelefficient. I know something about that, remember. Inflation has eaten into purchasing power, people are driving less. As a result, the Highway Trust Fund is going bankrupt. We are already borrowing billions in the general fund. Next year will be a 13 billion cash shortfall and by 2020 it could be as much as 100 billion. Even here, that is a lot of money. A moderate gas tax increase phased in over time would provide the necessary funding to preserve the important user pay neededal and provide stability. Well, how do we do that . First, lets start by having some courage, showing some leadership. For once, lets do whats right, not what is politically expedient. Second, lets educate the public and your fellow lawmakers. Polls show opposition to gas tax increases are significantly overblown. The hose a University Researcher recently found that 58 of the public would support a gas tax increase if they knew where it was going and how it was going to be spent and if it would be applied to building roads and bridges bridges. Voters want to know where the money is going and that it is not going to be wasted. Too many people are unaware of thatmportant reforms eliminated earmarks and porkbarrel spending Long Associated with infrastructure spending. Let me say, parenthetically, occasionally it helps to get a vote. But if not here, we will need some good arguments. Thought clear, i often that after the committee decided what the issues were that they were going to fund, then the members should be able to pick one out and go home. But lets get into that another day. Lets also be clear about the consequences of decreasing these investments. Higher costs for goods, more congestion, and increase accidents, as well as reduce mobility and reduce competitiveness. They are absolutely committed to aggressively pursuing this education effort. Third, lets get busy Building Political support. On this panel you have the combined support of business, labor, construction, shippers, regulators, and in addition truck is. Yesterday i had a meeting with the leaders of the American Trucking association and the leaders of aaa. They would significantly support a modest and thoughtful increase in the gasoline tax. To the people here, this is getting to be a rather supportive group. It is interesting to note that last year six states, three with a governors and three with democratic governors enacted bills to increase their overall fuel taxes. Their sky did not fall and their economies did not collapse. Both president s have improved have approved modest gas tax increases, including ronald reagan, so can be done. In increasing the gas tax and the fuel tax is tough, but doable. Mind that public money is only a part of the equation. You must increase private investment as well. Private investment is prepared 250 billionuch as dollars into these iflicprivate partnerships, only certain barriers would be removed. We must also continue to aggressively root out waste in caused by, much of it permitting delays and obstacles sure that funds are spent on genuine priorities. Longterm the chamber is willing to entertain different proposals for new and additional public funding mechanisms, however currently we do not see any way to support any proposal that eliminates the federal role, undermines the user pay principal, or unfairly singles out specific industries to foot the bill. Couple of quick thoughts, quickly, in quick conclusion. We know that that will work, scaling back and eliminating a dedicated source of federal funding means rater congestion, higher costs, more accidents, poorly maintained roads. If we give up on the Highway Trust Fund and rely on the general fund, we will never be able to execute longterm Capital Projects. We would have to cut other programs and engage in more deficit spending. B would have to debate funding every single year. Madam chairman, i think that devolving responsibility to the states means we will lose our national system. None of these approaches support a growing sustainable source of funding. We need to pass a longterm authorization. The people at this table are ready to help you. We greatly appreciate that. Introduce the to president of the aflcio. Thank you, chairman, Ranking Member, for having me, us, appear before your committee today. Iree years ago tom and appeared before this committee to ask for a reauthorization of the surface transportation bill. Since then, he and i have spent more time than either one of us would like to admit trying to get this done. While we are not quite ready to a vacation yet, we really are willing to come together, anxious to come together, to get this important issue solved for the country. Reauthorization of the surface transportation bill has been the most important challenge legislation that congress has considered. It is a big, big priority for us. While the economy has improved, job creation remains sluggish. The construction sector alone is down 1. 6 million jobs from prerecession levels. We not only need jobs, but good jobs. It is estimated that each 1 billion of federal investment in transportation creates 38 5000 35 thousand wellpaying jobs. Secure retirements, education, a middleclass life. These investments not only create jobs, but spur economic growth, ensure our countrys longterm economic Global Competitiveness, improving the quality of life of our citizens. For those in Congress Still pushing austerity agenda, let me just say this. If your house has a leaking roof, not fixing it wont save you any money. Like the leaky roof, delaying needed Infrastructure Investments will only cost us less. N the long run, not i recently traveled to china and was stunned at the speed at which our largest competitors were progressing. China has been investing heavily in its infrastructure, the results are fairly dramatic. During my trip to shanghai i visited the deepwater port of the Worlds Largest and busiest container shipping port. Like the highspeed trains that took me quickly and efficiently between chinese cities, the port is a key investment in their efforts to upgrade their infrastructure. It helped them to keep up with the countrys growth of exports. To get to the port, i traveled on a six lane bridge, that is 20 miles long. Connecting shanghai to the islands where the port is located. The bridge was completed in two and a half years. 0 miles, a six lane bridge it employed literally thousands, thousands of workers. Prior to the project, nothing was there but a sleepy fishing village with some islands in the distance. Fishing village with islands off in the distance. Stage was completed in 2004, and by 2013, china accomplished its goal of having youWorlds Largest port. May say the same thing about highspeed rail. We both agreed we would you highspeed rail a few years ago. Right now the u. S. Has one single model of highspeed rail and the chinese move more people that out then our entire Domestic Airline industry i highspeed rail right now. So, america can do it. We can do it and we can do it better. I did not come here today to rehash all of the needs, our nations infrastructure needs. The fact is, the facts have been studied and discussed to death. Conclusions are always the same. Infrastructure investments are vital to job creation, economic global and competitiveness. What remains to be determined is whether that information will be acted on and what kind of country we will leave to our children and our grandchildren. Fund is at arust crossroads. Failure to act will mean our Transportation System will decay further. Construction workers will stay on the bench. Supply chain and transit workers will lack steady work. And our economic and Global Competitiveness will be diminished. Many funding ideas have been proposed, but few of them have been enacted on. Others propose a limited application. Tax or somef fuel source ofof it as a funding. Raising the revenue will not be easy, regardless of where it comes from. But to be blunt, we cant afford to bury our heads in the sand. A bridge that is deficient today will not be any better tomorrow. Congress must come together to enact a robust and longterm authorization. If business and labor can come before you united on this issue, and we are united on this issue, despite our sharp disagreements on a variety of other matters, i think that should tell everybody something, and tell it very loudly. We need to be the america that cant. T the america that we are ready to help in a bipartisan way get that done, because it is so absolutely ofential for the wellbeing our country and its economy. Thank you very much. We look forward to your questions. Tank you very much. Our next speaker i want to forratulate the new speaker the state highway transportation official and also be secretary of the kentucky transportation cabinet. We are very pleased to meet you. Good morning, chairman boxer, Ranking Member of bitter, the sting which members of the committee. Thank you for the opportunity to share our views on the importance of robust federal investment in transportation, the potential nearterm impacts of the impending cash shortfalls in the Highway Trust Fund, and the longer term impacts associated with the instability of the Highway Trust Fund. I have to say am very encouraged by the remarks i have heard this morning. I would like to share two points with you. ,irst, the threat to the states the Construction Industry and the overall economy is real and even closer than originally estimated. We could face economic disruption as early as this summer if the dot delays reimbursement to the states for project that are already underway. If Congress Fails to provide additional revenues or general fund support, the states there will to be immediate impacts with lost jobs and permanently shuttered businesses and there will be substantial additional economic and environmental costs associated with cancel canceled or delayed roger asked. If congress does not act, the states simply cannot fill the federal infrastructure funding cap. Gap. Notal federal dollars are provided up front, but rather when work is completed and the state requests reimbursement. Reimbursements are made daily. On january 15, the u. S. Dot secretary said the highway account is likely to run out of money in august. They mayt insolvency, stop reimbursing states on a daily basis and begin reimbursing every week, every two weeks, or even once a month. A similar slowdown happened in 20 oh eight, forcing states to rely on contractors. While Congress Took care of the issue with the general fund transfer, states are concerned about the impact of the same situation happening again as early as this summer. If the scenario that is similar , theys again this year may be unable to pay employees, subcontractors, and suppliers. Those who have survived the recession have been operating on the slimmest of margins. This could be the last straw. We thought that the Highway Trust Fund would stay solvent through fiscal year 2014, but it now appears congress will have to act before the august congressional recess to ensure the Highway Trust Fund will have enough money to reimburse the states for past commitments. If Congress Considers ways to address the shortterm crisis of not being able to pay for projects already committed, it should also consider a longterm solution that keeps the Highway Trust Fund solvent well into the future. Without a longterm solution, states may not receive any additional federal highway transit funding in fiscal year 2015. If new federal highway funding is not available, federal highway funding is not available in 2015, muchneeded transit projects in virtually every community and Congressional District will either be delayed or canceled outright. These are the projects that underpin Economic Development and improve the quality of life. Cutbacks will mean missed opportunities to pare down the causingof investments, a negative domino effect on Construction Industry employment at a time when the industry is beginning to rebound after one of the after being one of the hardest hit segments in the recent recession. The longterm economic growth, increased productivity, employment, household income, overall quality of life. Congress can address the longterm solvency of the Highway Trust Fund by substantially reducing spending for surface transportation or by boosting revenues or by some combination of the two. Developed as have long list of potential revenue options. We believe at a minimum we need an approach that will sustain investment levels as adjusted for inflation. We believe it is possible to reach this level without placing an unreasonable burden on the traveling public. Without action, there will be devastating Economic Impacts from the virtual elimination of the federal surface transportation funding in 2015 and there will be further funding reductions in the years beyond. Therefore we believe the only provide as to reliable set of Revenue Solutions and ensure the longterm solvency of the Highway Trust Fund. Much appreciate the opportunity to testify before you today and look forward to your questions. Thank you. Sent but thank you. Now it is my pleasure to introduce thank you. Now it is my pleasure to introduce a key ally as we have worked through the last session. Thank you, madam chair. Bittern boxer, senator senator vitter. A tok you for inviting art participate again in this hearing. Aloner a loan evidence value of the Transportation Program. Quarters of three truck travel, it occurs on the roads that comprise the federal aid system. Without the federal investment in these roads, we put trucking 11ility and productivity and trillion dollars in annual Economic Activity at risk. We believe one of the biggest problems is that government at all levels, all levels, does a poor job of telling the American Public how their federal gas and gase old tax dollars are and diesel tax dollars are invested each year. We believe they would be in support of the program if they knew the full story. I asked our Economic Team to find out how the publics federal gas tax dollars were put 2012, a year that did not include any stimulus money. Unfortunately it took a freedom of information request and sophisticated computer analysis of literally millions of data points to provide these summation in a written testimony. Here are the highlights, and it is high time the public starts hearing about them. In 2012, the federal program helped fund 12,546 Capital Improvements projects. Focusedome roads, all on the system that moves most of that 11 trillion of Economic Activity i just mentioned. Include00 does not rightofway or engineering projects. These are projects in every state that can be identified by name, location, and how much is invested. But all the public knows is the system is not near as safe as it could be, they waste time in traffic congestion, and car and truck damages are caused every the unacceptably High Percentage of poor road conditions. And the major reason for the system problems we have a 2014 problem that is operating on 1993 value dollars. As you have already heard, in roughly seven months since the cbo, the Highway Trust Fund will be unable to invest in new projects. Than 12 thousand hwy bridge and safety Capital Projects across the nation on the routes most important to our economy could be lost. Advocateue to generating new revenue for highway investment as the most straight forward solution or congress could find Additional Resources elsewhere in the federal budget to stabilize the trust fund as was done to support matt 21. Cbo data shows that that would 63. 2 billion annually. The recentars, bipartisan budget act of 2013, the murrayryan budget deal, reallocates discretionary by an average, ironically, of some 16 billion per year. Here is where the announcer would say spoiler alert. That means, as illustrated in figure four in our testimony, exert the Highway Trust Fund without generating new revenues would require the equivalent of Congress Passing and the president signing a 2013 level murrayryan budget deal every year. Every year. Just to give the highway Transit Program where it is now. Alternativepainful scenario. Thank you very much. Thank you so much. To welcomey pleasure jay timmons, president and ceo of the National Association of manufacturers. Thank you, madam chair, vitter, other members of the committee. Manufacture matters, in every step of the process. In addition, manufacturers are vital suppliers to the transit and road building industry, providing Rolling Stock engines, concrete, machinery, aggregates, barriers, safety equipment, and other materials. Every dollar spent and i know there have been a lot of statistics here today, but they all do matter every dollar spent in construction generates 39. 5 cents in manufacturing. Infrastructurer is indeed a competitiveness issue. But unfortunately our nations 20th 21st century infrastructure is not meeting the needs of our 21stcentury economy. I hear concerns about the state of our infrastructure constantly and consistently. From the Worlds Largest multinationals to Family Businesses up and down main street all across our country. They all recognize our aging infrastructure is a significant impediment to our nations competitiveness and our ability to maintain our mantle of economic leadership. We partnered with building americas future, to speak to manufacturers about the future of infrastructure in the United States. Some 70 told us that americas infrastructure is in fair or poor shape and needs a great deal or quite a bit of improvement. Manufacturers recognize the federal governments Critical Role in funding the nations infrastructure as well. The 27 say that infrastructure that important 67 say infrastructure is so important that all option should be on the table. That they willt be able to respond to the needs of a growing competitive economy. And that is important. They need to reach markets abroad. But this is not easy for manufacturers in the United States. Roads, bridges, ports, and more are in dire need of repair and modernization. On behalf of our more than 12,000 members, we urge lawmakers to address these challenges and develop a multiyear transportation bill that allows infrastructure support for projects that improve safety, facilitate trade, and create jobs. Equally important, we believe Congress Must bring the federal anhway trust fund to improved condition of solvency and longterm sustainability. We need to keep the Highway Trust Fund solvent extends beyond the department of transportation. Funding for roads, bridges, and transit systems provide great value and represent an investment in our economy and global embeddedness. Global competitiveness. Manufacturers have greeted extensionsmultiple are, place and send the message that the United States is simply not serious about growth and competitiveness. I know it is a tall order in two days political environment. But we are very encouraged by the signals we are getting from this committee. We need to move past debates over the federal governments role in federal infrastructure investment. Of the states alone cannot address the deteriorating infrastructure. Manufacturers are counting on congress to fulfill its established responsibility of facilitating commerce in the United States. Chairman boxer, no unintended, but we have a long road ahead of us, and we appreciate the committees attention to these important issues. Thank you. I cannot think each of you enough. I am going to ask unanimous consent to put the letters urge immediate action and the second, the economic importance of maintaining federal investment in our transportation infrastructure, from the international bridge, tunnel, and turnpike association. Without objection, i will put those in the record. I will give you each a few minutes to ask some questions. My first question is really an unusual one. It is just yes or no from each of you, but its not a trick question. Will each of you be willing to speak directly with senators widen and hatch as soon as possible . Yes. Yes. Yes. Yes. Absolutely. Second round. I cant tell you how important that is. They have so much on their plate. They want to be helpful. But im not so sure they have scheduled a hearing because we have a change in the leadership there. That would be fantastic. Would each of you agree that what mr. Timmins said is right, that we need certainty with a multiyear bill . Would each of you agree we need a multiyear bill . Yes. Absolutely. Yes. Unquestionably. I agree with myself. [laughter] around here, sometimes folks dont. I think thats really great. We are all aware that the recent global recession ravaged many sectors of the nations economy, and i remember being with you at a rally in los angeles where construction and instruction industry workers just so hard hit and worried about the future for their families. Could you describe for us the that yournvironment members currently face to put in context the consequences of failing to address the Highway Trust Funds impending solvency in solvency question marks in solvency . We are still at an Unemployment Rate that is higher than the highest point of the 2001 recession. We are six points higher. As noted in my testimony we have one point 6 Million Construction jobs that are gone from prerecession levels. Unemployment still lovers in the 20 area in some areas. We have people working reduced hours. A strain on retirement plans, health and safety plans, health care plans. Our members are struggling and we are losing skilled workers because they cant make a living. There is no planning, no ability to plan ahead for the future. They are still hurting plenty. That is why we need this goal be abill, not just to patchwork or a shortterm solution, but a longterm solution so that employers can plan so that states can planned, so that we can do longterm reallys so the country absolutely means and has the insurance that the money is going to be there you, thank you for painting is a picture. I am going to ask the doctor he here. From the business side could you discuss how the Transportation Industry would be affected if no new projects over 12,000 projects in 2012, as an example. That was how many new projects in 20 12. If we did not have that in fiscal year 2015. What would that do for the businesses you speak for . The impact of that kind of scenario would be devastating. We are already at 10 unemployment in that sector right now as we sit your today. Down from where it was five or six years ago, but still doubledigit unemployment. The metric that is used often is 35,000 jobs per billion. In 2015,e the program you will literally see hundreds of thousands of workers lose their jobs. They will not invest. By the way, that has already happened in the marketplace where a number of states have announced their intention it testimony. N much a couple of states have already publicly said that. People are not hiring now. They are already pulling back. Even though we are at the height of the construction season and most of the country, they are holding back because of the uncertainty of the marketplace right now, what congress is going to do. Themost importantly, current Highway Trust Fund. It is alarming. Iat is why senator vitter and are working hard and why it is important for us to work with the finance committee here. Congressman shuster wants to move as well. Hancock. Ld turn to mr. From kentuckys perspective, as well as all of the states you represent in your position, how important is it for the states toartments of transportation have reliable funding for five years or more . Madam chairman, it is incredibly put on your mic. Im sorry. It is on. The states simply cannot functionally plan in an environment where the target changes day by day in terms of funding. As you probably no im quite certain you do it takes years to get a project off the ground and to construction and to be built. Everyding is a question step of the way, it takes people longer. The states are really having difficulty with adequately planning, knowing when the money is coming, knowing when we will have the ability to put the money to work. Hancock. You emma mr. My time is about up. I have to finish. Why is this so important to the Business Community that the chamber would take the position of supporting raising user fees for transportation . That is unusual. Could you explain what youre driven to do this . I dont think its unusual for the members of the chamber of commerce to support these user fees. The people who run the Trucking Industry understand i mean they run 400 billion miles or Something Like that. 3 million big trucks. Every night. They understand, if they dont have facilities to do and in a safe and effective productive way, they are behind it. Think, a very i unlike and position recognizing people are driving all over the place. Very enlighted a position, recognizing people are driving all over the place. The Business Community builds them. The Business Community moves on them. And if you want to look for the single biggest improvement, in my opinion, in recent time to make it is what we have been able to do in the supply chain. From Raw Materials to finished products and everywhere in between. Not only capital goods, but also. Nformation energy resources. I mean, this is, for the Business Community, whether you second end, service and, capital goods and manufacturing and, if you cant move it, you cant do it. Thank you. That movement is so critical, because we all know what happens when it takes a long time. Thank you. Senator vitter . Thank you, madam chair. Thank you to all of you. As i suggested in my Opening Statement we have been hard at work for some time as cussing a bill to move out of this committee as soon as possible and the i hard at work for some time discussing a bill to move out of this committee as soon as possible. Really want to help in sent the finance committee to do the tougher work on the finance side and be are full partner on completing that bill. With that process in mind, let me ask a few questions. Dr. Wayne. Hwa, you and h w a four no, thank you all, your organization as opposed to fhwa, for proposing very good data attached to your testimony for. He impacts for every state one problem is you all have to spend hours and hours and hours producing that data, and it seems to me that data should be readily available through the program, to make it transparent and clear what the trust fund does or doesnt do. Would you agree with that, that there are reforms that could be made. I absolutely agree. It is absolutely tragic that one should have to use the freedom of information act to get such information. I am not here to unfairly criticize any government agency, you but you would think that they would want to get that information out there and tell the story. You recall the effort that was made by the administration in telling the story under the stimulus program. There were routine, very commentary, what was being done around the country. We think that should be pro forma. That should be routine. They should be celebrating these investments and telling the resources arehese going. And what they are achieving. Most importantly what they are achieving. Use ofuld not have to andral information information act request to get this. It is incredible story, what it is accomplishing in our economy and in our nation. I is certainly a great. There is a specific provision unfortunately it has not been responded to yet. So, we need that Greater Transparency. Im real concerned, as are many of my howblican colleagues about the epa and the new proposed rule about federal jurisdiction on the clean water act i think this poses a threat of dramatically increased permitting requirements and decreased flexibility on transportation projects. Im also concerned the rulemaking may have been received before. Viewers even review it and that is supposed to be a key part of the process. Are your members concerned about this . Do you have any thoughts about this . We have not actually seen will making yet, but we are very much concerned about it. At we have been told that it affects roadside ditches. Most of those were built as we build our road system. They are not intermittent streams. We are very interested in looking at that and hearing from federal highways. Ons, thank you for your testimony. Can you expand on that just a bit . The advantage or disadvantage visavis other nations relative to the cost of infrastructure, and i presume it will be a cost disadvantage in terms of Global Competitiveness . I dont have a specific number for you, senator, but i can tell you anecdotally that there is a disadvantage, what some of the other folks have been talking about, what our major competitors are doing with regard to Infrastructure Projects. This project do allow more goods to make it to market much more efficiently. There is in general a 20 cost this advantage for manufacturers in this country versus our Major Trading partners, because of several factors. That 20 disadvantage is after you take up the cost of labor. We are talking taxes and regulation, going back to your on the proposed rule from epa on waterways. Anything that detracts or adds to the disadvantage obviously hurts manufacturing in this country. Thank you. Final question for mr. Hancock area for mr. Hancock. [indiscernible] yousume that means that think that there is room for improvement reform, Greater Transparency to build, rebuild trust. Can you expand on that, a couple of your priorities . Sure. We do believe there is room to improve. 21 was ael that map major step forward. There are some tweaks that likely will need to be made. Ist of the issue right now we have not seen the will making regarding those. We will be eagerly awaiting those and will have some that we, im quite sure will tweak. Not significant. We look forward to that. Thank you, madam chair. Thank you. I believe senator grassley is next. Thank you, madam chairman. Mr. Hancock, following up on your previous testimony i talked previously about the roadblocks in construction raw checks, the red tape, which does things more costly, not create a meaningful jobs youre trying to create. Can you talk about recommendations you might have to further accelerate project deliveries . There are a number of activities underway as we beat. Underway as we speak. We are working very diligently to see one project forward. Also, we have these strategic Highway Research programs that involve projects, give them time to get things done faster. Many, many things on the horizon. We see the value of doing this and i promise you we will be sticking to our guns in that regard. Does anyone want to respond to that, in terms of how we can get the money moving more quickly . Full implementation of the reforms in map 21. Committee, congress made great changes to the legislation in that bill. It is a matter of intimidation. They are on the way. But they could be accelerated. You talked about a 20 mile six lane bridge that in china only took two years to build, kind of from pen to pavement. The Vice President made a Statement Last week about going to laguardia airport. If you take someone blindfolded there at two in the morning, they will think that they are in a third world country. What do you think would be the do acase scenario to project like you saw in china it might take 10 years to get that whole process done here. What can we do in the United States to really excel rate project deliveries . Accelerate project deliveries . One thing is we can have longterm predictability and planning. We need a longterm bill so people can actually plan, start confidence itave is going to follow through. If you want to talk about publicprivate partnerships that could offer real potential thats not going to happen without the ability to plan and be predictable and go forward. Its just think having the will. To say as a nation we are going to do this. When we decided to go to the on a we got the nation footing. Our infrastructure, according to the World Economic forum has dropped from seventh in the world to 15 in just five years. It will continue to drop. The American Society of Civil Engineers say, look. There is a 7 trillion deficit. A third of our roads are in poor or mediocre condition. We need as a nation to say, we are going to be the most competitive when it comes to infrastructure and understand that that investment today is going to reap tremendous benefits down the road. I think us coming together, the nation coming together, everybody up here has come together to say we need it and then to have the political will to go forward, i think, is what we need. It is just the determination to say we will do it and get together and do it. I applaud the people, the members of this committee, theuse you understand importance to the country of infrastructure and us maintaining our infrastructure, whether it is a bridge, whether it is a road. I would urge you to go further and think bolder and Start Talking about highspeed rail. It is a great system that does not waste electricity. A Delivery System where you do not have the and seeps and draining gas and water oil into the environment. All of these things can create jobs and make us competitive, and i think the most important thing is for us to just have a vision and the will and make a decision to do it. When we decided to go to the moon, nothing could stop us. Same thing here. If we decide we will have worldclass infrastructure to complete, to compete in the global economy, i have no doubt that we can do it and can do it the best in the world. Mr. Donohue . To go to thecided moon, senator, we had a compelling national interest, and we didnt have all the that wers and lawyers have today. Build and told major project is preceded by permitting and zoning arguments and lawsuits, and by environmental lawsuits by the way, i have no problem with looking critically at the but repetitive lawsuit after lawsuit have been resolved. The reason we cant do things as quickly as others, one of the long to is it takes so get a conclusion of all these all the all these zoning, all the lawsuits. We are talking years and years and years. I think we all went to school and studied that there were three parts to our government. The executive, the legislative, the judicial. We lived in a part where one was bigger than the others. That is not something that we talked about. The litigation art. It is absolutely strapping this nations ability to compete. Madam chairwoman. Thank you, senator. We turn to senator bozeman. Thank you, madam chair. I appreciate you and senator meeting. Ving this we hear a lot about the partisanship in congress, and in yet in this particular area, gets inmittee, when it the environmental issues, there is differences of opinion, but theres very little difference of opinion when it regards infrastructure. Not here or in the house, also. Panel, it ist the the same deal. We have the chamber here, labor here, the road builders, all of you all. Bedfellows,trange coming together, as we all are, talking about the interest. Know, i have real concerns becausee harsh winter, you simply cannot get work done with these sustained cold temperatures. You just cant do it. It sounds like already contracting is an issue. I know we have had this is not hypothetical. We have had the same situation in the past and very definitely people quit fulfilling contracts. Again, im very concerned about that. Another thing about the the realcture is economic thing comes after the bill has increased in the values all of the Economic Activity that comes about. I would argue and it is sad to hear the statistics now but i think one of the reasons we became the economic powerhouse that we have with the vision of the Eisenhower Administration in congress. I am committed to doing anything i can to get this thing done. One thing i would like to ask mr. Hancock, one of the frustrations we have, not only with this but other things states are struggling right now. More effort to try to push money into infrastructure, there is a tendency at the state level this is not true of arkansas. This is something other states need to look at doing and help define projects and get those kinds of things done. Like if you are pushing more money out, the state acts up. Then they can divert to prisons and schools and things that are necessary. You dont go forward. Can you comment on that . I would be very glad to. In kentucky, the state has stepped up with bond issues and made other money available as well. In kentucky we have been able to do a lot of Major Projects through that. Of the money the state has to build projects is federal funding, and that 45 constitutes more of the larger. Rojects so it is a critical piece of what we are. But the states are doing a lot. These states are enacting new funding mechanisms and so forth. We are certainly in courage and everyone to do what they must to find money to invest in transportation. But you are right. It is a difficult dance with state budget and so forth. We find a lot of our colleagues interested and expanding and spending more on transportation. Senator, you made a great point about the harsh winter and when people go back to work it will be to you make a great point, not only in the sense that not only can they not do the work now, but freezing and thawing, its going to be very, very difficult. Theres going to be a tremendous amount of damage. How long does it take an average significant project to get done now . 9, 10 years . We did a recent average of seven years. Yes. You mentioned the project in china. The thing that impressed me was the situation we had in minnesota. That thing was rebuilt in the year. In a year. In todays climate, it could take 10 years or whatever. But instead of these agencies having an adversarial and gotcha attitude, people worked together. Labor worked together. It was just the attitude of we can get this done and get it wasened essentially, it something that was quite extraordinary. But i do think, and you guys can be a tremendous help in this do have to with limited resources that we have, not to skirt rules, not to get around them, but just have the agencies do things. We have put stuff in bills before and this and that, but really just to make the agencies where they are talking together, doing it together. We need to have a goal as a nation to cut that time in half. That is a very doable thing. Inflation, the cost increase in things like that is something that would save us a tremendous amount of money. Again, thank you all. We appreciate you being here. I am committee i am committed, the committee is committed to doing anything we can to move this forward. Well, i just want to say to each and every one of you how much i appreciate your testimony here today. Say thisy have to transportation bill, in order to get out of your, is not going to be one big environmental writer. Bes be clear. We have to clear where we agree. Just ask the businesses of West Virginia if they want a little more illumination on that chemical that spilled . It is killing Economic Development right now according to my colleagues. I just think what we need to do is find the sweet spot. We need to speed up, for sure. We have a lot of businesses and then the last bill we have to make sure that they are working. And we also have to understand a great deal of the slowdown, senator, is funding, too, because sometimes the funding does not come through. Of tifia came from the Los Angeles Mayor at the time, who pointed out that they had a sales tax but it would take them dirty ears to build all of the projects, but they could change it to 10 because there was 30 years to build all of the projects, but they could change it to 10 because there was really no risk. So, i really appreciate all of this. Colleague. E have a do we have time for another round . [indiscernible] senator. Ad, i will withhold and finish later. Thank you. I had a conflict. Everything is happening at once. Mr. Donahue, i notice that you called for an increase in gasoline tax. Is it the position of the chamber of commerce that we need to be raising taxes to increase spending today . We have not raised the andral user fee fuel tax almost 20 years. So you want to raise taxes on alabamians who want to commute to work and you can spend it however you want to spend it senator, whether you raise the tax or seek the funds through some other means of federal expenditure, the citizens of alabama are going to pay for it. You propose raising the tax . Yes. Would it be acceptable to you if we found wasteful spending in washington and reduce that to pay for the highway . If you actually got the money. The longest singsong in washington in my time here was waste, fraud, and abuse you read will get rid of it and waste, fraud, and abuse. We will get rid of it and use the money. And the money never appears. So you would support that . Some of my people would rather increase the Corporate Tax rather than the gas tax . You would not be in favor of that, would you . The Corporate Tax in this country is far more than we pay anywhere else in a competitive basis. I think you should ask billy canary who runs the expanded chamber of commerce in alabama whether he could get his members to support a user fee to move goods and workers. Ok, i guess i understand why you want to see. You do not believe it is possible to cut spending and save the Highway Program without raising taxes . I want to get a clear. It clear. I think it would be very, very hard to do that in the next seven months. If you could do it, i would vigorously supported. Good, i think thats what we should do. There are places we could save money. I just want to know we would like to reduce the corporate rate. It is hurting america. It is hurting employees. It is hurting Economic Development and we certainly agree on that. I totally support that. I was just teasing you little supportingou somebody else paying taxes, but not you. When the Unemployment Rate was around four percent, the New York Times wrote an editorial opposing amnesty for 6 million illegal workers in the country, and the fed said that amnesty would undermine the countrys immigration laws and depressed the wages of the lowest paid nativeborn workers. The New York Times. Today the Unemployment Rate is workforcethe Participation Rate is the lowest it has been in 40 years. Wagers are lower today than they were in 1999. Get you have endorsed a bill that not only grants amnesty to 12 million Illegal Immigrants but also provides green cards for 20 million new legal immigrants may i ask my friend, and he is my friend, why are you talking about immigration . This is a hearing about the Highway Trust Fund. And i have never seen this type of an attack on various members. Im confused about it. It doesnt help. Its not an attack on members. Im raising a question. I did not know we were strictly is not the committee that does immigration reform. I could call out reports that boon to our great economy. Im not going to get into that. This is getting offtopic. If you could just keep your questions to the topic at hand, it would mean a lot to this chairman. Fairu know, you are such a chairman. I will acquiesce. Maybe i will submit a letter and he will have a chance to respond because i know hes given a lot of thought to the issue. I would welcome that, senator. I really would. Those 6 million or 12 Million People with no rights they help drive down the wages of every other american out there. Until we fix that system, everyone will have less income, less economic growth. I would look forward to that letter. To put this glad off to another day. [laughter] and by the way this legislation that cleared which you supported, would dramatically increase the legal flow. I think this is beyond what the economy can afford wisely. But that is an issue for a different day. Thank you for your testimony. Have the budget report yesterday of mr. Elmendorf. He suggests we could have another fiscal crisis, because our debt is reaching 90 on gdp. We could reach 100 of gdp. We cant just tax our way out of this. We cant just keep raising taxes. That is not the growth we would like to have. Madam chairman, again, you have led effectively on this. And id senator vitter, hope we can come up with something that strengthens our Infrastructure Program in a fiscally responsible way. Senator, i certainly do hope so. I would say this. This committee is going to deal with the reauthorization. Whenwe heard from everyone you were at your other and a important duties is we need certainty here, because businesses do not know what the future holds. What i am hopeful of is we can a bill out of your. I have spoken with senator vitter and he agrees. It is the intent to have that bill before this committee in april. It will not deal with funding, it does that is a matter for in theiryden and hatch committees. I have lots of ideas. 350of them is to go after billion dollars of uncollected taxes every year. Im sure others would agree with that. There are many other ways we can get this trust fund going. But we have to be real. We have to be real. And that is why to use the fund however you use the fund, what ever it is. Fee at the, user refinement level, all of that, it has to be a dedicated tax going into the fund. Because of our economic situation, we need to have this. If you are really worried about deficits and debt, which each one of us is and im so glad i was here when we voted to balance the budget. I remember saying to my husband, we are not going to have any more bonds because the debt is disappearing. I was here. I know we are ahead of that problem. But the Highway Trust Fund is envisioned by a republican president. It has a separate fee. It is very important. I think we should keep the user fee concept because it does give that type of certainty. To beecision is going made by another committee. And they are very excited about us doing our part. And i cant speak for every member. I have sat down with most of my colleagues. I have two more to sit down with on the republican side. I am hopeful we can unite. And we dont get into environments about into arguments about environmental of that. D all im excited about the challenge. We all resolved we could do that last time. A friend to me and this committee senator sessions. We do not see eye to eye on a lot of things, but we work well together. I appreciate his knowledge of the debt situation. As a former member of the budget committee, i know that in the committee you do see the big picture going down the road. There is nothing that we will do in this bill that will hurt the deficit. Nothing. It will be a selfsustaining trust fund, which is absolutely critical. All that, i want to thank of you. Report back to me your conversations. I hope you will. I will ask senators hatch and. Yden today lets find that Common Ground and not get into arguments about other issues. I think that gets us off track. Thank you very much. Yes, senator. Thank you. [captioning performed by national captioning institute] [captions Copyright National cable satellite corp. 2014] cspan. We bring Public Affairs for grants from washington directly to you, putting you in the room at congressional hearings, white house events, briefings and conferences, and offer complete gaveltogavel coverage of the u. S. House. We are cspan, created by the cable tv industry 35 years ago and funded by your local cable or satellite provider. Watch us in hd, like us on facebook, and follow us on twitter. Newsmakersnext with the chairman of the privacy oversight board. After that, conversation about National Security and freedom of the press. At 8 p. M. Eastern, q and a with a former air force pilot who talks about his this week, david medine, chairman of the privacy and Civil Liberties review board. Thank you for being here. We are joined by josh gerstein, with politico. What is the privacy and Civil Liberties review board . We decide what went wrong and what could be done better. We created the 9 11 commission to look at how we could he for intelligence gathering and connect the dots