The House Transportation & Infrastructure Committee has released its markup of the surface transportation reauthorization bill, which includes several provisions that have raised concerns among rail stakeholders. The bill, rebranded as the BUILD America 250 Act, is part of the larger Infrastructure Investment and Jobs Act (IIJA) passed in 2021.
The rail industry has welcomed robust authorization of the Federal Railroad Administration's Consolidated Rail Infrastructure and Safety Improvements (CRISI) grant, which helps fund rail projects. However, critics argue that the guaranteed funding included under the IIJA is not being maintained in the final legislation.
One major concern is the increase in truck weights to 91,000 pounds in some states through a 10-year pilot program. This change would shift freight from the safer and more sustainable rail network onto the more dangerous highway network.
The rail industry has long argued that heavier trucks pose a significant risk to safety and infrastructure, and this amendment is seen as a step backward for rail investment.
Another issue is the adoption of revenue streams obligating truckers to pay their fair share of publicly-funded highway maintenance. Most rail infrastructure is privately-owned, and operators have to pay real estate and other taxes on it.
The Railway Safety Act, which was endorsed by President Donald Trump, has been problematic for the biggest railroads and their short line partners. These provisions would impose costly and inflexible mandates on the rail network if passed into law.
Critics argue that these amendments do not serve the nation well, especially at a time when rising costs are a major concern. The rail industry is calling on Congress to restore a sustainable user-funded model for the Highway Trust Fund or restructure the system to reduce subsidies for highways.
The bill also includes first steps toward creating a user-pay system for the Highway Trust Fund, which would be a significant shift in the way funding is allocated. However, federal funding is still needed to make up the $50 billion annual shortfall between planned contract authority spending and HTF revenue.
Overall, the rail industry is pushing back against what it sees as trucking-friendly legislation that prioritizes the interests of heavy trucks over those of rail transportation.
The rail industry is concerned about the potential impact of these amendments on the safety and sustainability of rail transportation.
