Texas Transit Association

A money fight is apparently looming in Congress over the transportation reauthorization bill, the President wanting to control spending and perhaps choosing this major infrastructure bill as the target to “hold the line.” All this after passing other discretionary spending bills that have significantly increased overall spending against the backdrop of rising and dramatic federal deficits. If this is the case, then it is the wrong case: Highways and Public Transit need a dramatic rise in funding levels if congestion and air quaility issues are to be addressed. Read on…

The Hill.com (Jan. 30):
A Ticket to Override?
The fight over the transportation bill is heating up, and it pits the administration-which wants to control spending in at least one area this year-against members of Congress on both sides, who are looking to brag about bridges and highways they built during their reelection campaigns. Look for a veto threat from the White House, and maybe even an actual veto. While it’s risky business vetoing a bill like that in an election year, it could give President Bush ammunition against those who accuse him of letting spending get out of hand. And when Congress overrides his veto, it will give members some pork to bring home for supper. But it leaves the GOP leadership in a bad place, and could weaken its standing with both the White House and rank-and-file Republicans.

Energy bill
Let the games begin. Now that Senate Republican leaders acknowledge the energy bill is just too expensive to pass, watch for a lobbying fight as segments of the energy sector try to defend what’s theirs. Nearly every type of energy business would benefit from the $31 billion bill, and all may have to give a little. But because the bulk of the tax breaks goes to fossil fuel industries, they might have to give the most. Still, increasing domestic production is the major reason for the measure, and some part of the tax cuts will likely survive, if in a downsized form. Sen. Pete Domenici (R-N.M.) is expected to discuss the energy bill Friday afternoon at the GOP congressional summit in Philadelphia. One lobbyist predicted some altered version of the energy bill would pass as an amendment to the transportation package, with an electricity title largely intact but without a controversial liability protection for MTBE producers.