Legislature Passes State Budget, Now to the Governor |
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On Tuesday, the Assembly approved a 2021-23 budget. Four Democrats joined the Republican majority, passing the plan with a vote of 64-34. The Republican-led Senate followed suit yesterday and passed the budget 23-9 with the support of three Democrats.
The legislature’s transportation budget highlights include increased funding for the State Highway Rehabilitation Program, $100 million in supplemental funding for the Local Road Improvement Program, and enumeration of the I-94 East-West Corridor in Milwaukee. See TDA Budget Update #3 – JFC Transportation Motion for more information.
The budget now heads to the governor. He can accept it, reject it, or modify it with partial vetoes.
Today is the start of the new fiscal year. In the absence of a signed budget, spending continues at the previous budget's baseline levels, enabling state agencies to maintain operations.
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Legislature Passes Personal Property Tax Repeal, Shores Up Transportation Fund |
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This week the legislature passed a bill to eliminate the personal property tax. The bill would backfill the state transportation fund with money from the general fund – $20 million in fiscal year 2022 and $44 million in subsequent fiscal years – to cover the loss of tax revenue from railroad equipment. In addition, the state budget passed by the legislature includes $202 million for local governments to offset lost revenue beginning in 2022.
Governor Evers has not said whether he intends to sign the measure.
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Bipartisan Federal Infrastructure Agreement Reached, Work Remains |
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Last week, President Biden and a bipartisan group of 21 Senators announced support for an infrastructure framework calling for $579 billion in spending above current baseline levels. Over eight years, the framework outlines $1.2 trillion in baseline and new spending.
Below is a comparison of proposed new transportation spending (in billions) under the bipartisan agreement versus the Biden Administration's American Jobs Plan (AJP).
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Beyond transportation, the framework includes billions in above-baseline spending for other “hard” infrastructure: $73 billion for power, $65 billion for broadband, $55 billion for water, $47 billion to improve infrastructure resilience, $21 billion for environmental remediation, and $5 billion for western water storage.
According to a White House fact sheet, the bipartisan framework is paid for “through a combination of closing the tax gap, redirecting unspent emergency relief funds, targeted corporate user fees, and the macroeconomic impact of infrastructure investment.”
But the path forward and the timing is uncertain and not without challenges. Democrats are wary passage of a bipartisan infrastructure plan may hurt efforts to move the American Families Plan (AFP) through reconciliation. AFP contains priorities beyond traditional infrastructure - education, health care, child care, tax cuts for families, senior care, housing, and clean energy. Reflecting this concern, House Speaker Nancy Pelosi (D-CA) said before the deal's formal announcement, “We will not take up a bill in the House until the Senate passes the bipartisan bill and a reconciliation bill.”
While President Biden's comments on the day of the announcement mirrored Speaker Pelosi’s and were interpreted by many as a veto threat if the two bills did not arrive on his desk in tandem, Biden issued a detailed clarifying statement over the weekend. In it, he says: "The bottom line is this: I gave my word to support the Infrastructure Plan, and that’s what I intend to do. I intend to pursue the passage of that plan, which Democrats and Republicans agreed to on Thursday, with vigor. It would be good for the economy, good for our country, good for our people. I fully stand behind it without reservation or hesitation."
President Biden was in La Crosse earlier this week touting the economic benefits of the infrastructure package.
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Other Federal Transportation News |
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Also in D.C., Congress made progress on reauthorization of surface transportation programs:
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The House of Representatives is expected to vote on the surface transportation bill (H.R. 3684) today. The $547 billion measure is combined with drinking water and wastewater infrastructure legislation to comprise the five-year, $715 billion INVEST in America Act. The act would provide $343 billion for roads, bridges, safety; $109 billion for public transportation; $95 billion for passenger and freight rail; $51.25 billion for wastewater infrastructure; and $117 billion for drinking water infrastructure and assistance.
- The Senate Commerce, Science, and Transportation Committee approved a $78 billion bill providing the highway and motor carrier safety, intercity railroad, and multimodal components of a surface transportation reauthorization bill. The vote was largely bipartisan. The Senate Environment and Public Works Committee passed its portion of a surface transportation bill in May. The Banking and Finance committees still must act on their sections of the legislation – public transportation and revenue – before the full Senate can consider a bill.
The current surface transportation authorization extension expires on September 30.
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Other Transportation News |
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TRIP Report Documents Needs of Aging Interstate System |
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As elected officials in D.C. work to hammer out an infrastructure plan and a long-term surface transportation reauthorization, the U.S. Interstate Highway System turns 65 years old. In a recent report, TRIP, a national transportation research nonprofit, lays out the challenges facing this critical transportation link – deteriorating conditions, congestion, and growing system demands.
In Wisconsin, Interstate vehicle miles traveled grew 42% between 2000 to 2019, the ninth fastest growth rate in the nation.
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Millions of Americans to Travel July 4th Holiday Weekend |
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Travel volume for the long Independence Day holiday weekend (July 1–5) is expected to approach pre-pandemic levels. AAA projects more than 47.7 million Americans will hit the roads or take to the skies, a 40% increase in Fourth of July travel compared to last year. While all modes of travel will see an uptick from last year, road trips continue to dominate summer travel.
Wisconsin travel is also rebounding. More than one million Wisconsinites plan to travel over the Fourth of July holiday weekend, the second most on record and 28% more than the 2020 holiday period.
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For more news around the state, take a look at TDA's About TIME publication. |
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Clasen Quality Chocolate (CQC), a wholesale manufacturer of chocolate, confectionery coatings, and soft set fillings, plans to invest $105 million to build a 350,000-square-foot chocolate plant in Milton. WisDOT has awarded a $1 million Transportation Economic Assistance (TEA) grant to help construct a rail spur so the manufacturer can receive its sugar and oil by rail.
The Village of Cassville in Grant County has been looking to construct a bridge across the Mississippi River for nine decades. The vision for this bridge is to create a new economic connection for both Grant County and Clayton County, Iowa.
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TDA Podcast: EAA AirVenture is Back |
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In the latest On The Go podcast, TDA Executive Director Debby Jackson speaks with Dick Knapinski, EAA director of communications. EAA AirVenture, described as the closest thing America has to a national airshow, returns to Wittman Regional Airport in Oshkosh July 26 through August 1 after a one-year hiatus due to the pandemic.
The greatly anticipated return of AirVenture will include new features and attractions in addition to safety-minded COVID protocols. This year’s event will salute aviation’s vital role in assisting humanitarian efforts around the globe, commemorate the 75th anniversary (plus one) of the end of World War II, feature the aircraft and personnel of the Air Force’s specialized mission group, and much more. Knapinski also talks about how Whitman Regional Airport has evolved to become an essential piece of Wisconsin’s transportation infrastructure.
New in 2021, all kids 18 and under are admitted free, with support from Boeing. As Knapinski pointed out, this makes the event more affordable for families to come and enjoy the fun.
Aviation fans from around the world are ready to return to Wisconsin. "The wait is over. Come on back to Oshkosh for EAA AirVenture,” Knapinski enthused.
Listen to the podcast here.
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Thanks to Our Organizational Sponsors |
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2021 Annual Meeting - Tuesday, November 16 |
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Transportation Development Association of Wisconsin
10 East Doty Street, Suite 201 | Madison, WI 53703
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