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Transportation for America proposal creates more jobs than current transportation law, Economic Policy Institute finds

What if we could re-design our nation’s transportation policy to increase travel options, reduce oil dependency and create more jobs? According to an Economic Policy Institute study, we could do just that if Congress adopts Transportation for America’s proposal for the next surface transportation law.

The economy is showing some signs of growth, but that’s little encouragement for the millions of Americans without a job – the unemployment rate nationwide is still a notch below 10 percent. It is difficult to see how America’s economy can grow and recover without sustained job creation.

EPI ran the numbers and found that T4 America’s proposed $500 billion transportation bill would support 400,000 more jobs than would be created by continuing SAFETEA-LU, the existing transportation law, at that same $500 billion level. The T4 America proposal would support more than 7.2 million jobs.

T4 America’s proposal is an effective and swift job creator because it calls for investment in some of the more labor-intensive areas of transportation, such as repair and maintenance of existing infrastructure and public transportation, all reliable job creators. Many highway expansion projects take longer to move because they require permits and spend a larger percentage of funds on land acquisition rather than labor. As a result, many of these projects also end up employing less people.

Adopting T4’s plan would give a leg up to the Americans hardest hit by the economic downturn, especially low-wage workers and Americans who did not go to college. In fact, 80 percent of the new jobs created would be filled by Americans without a four-year degree. And the proposal is also a good deal for the working men and women of organized labor – 15 percent of the jobs created would be union jobs, compared to just 12 percent of the jobs in the overall economy.

And these are not just jobs for jobs sake – T4’s plan puts people to work building the transportation system we need for the 21st century, an all-of-the-above approach that rebuilds and maintains roads and bridges, expands travel options, implements real accountability for how we spend precious taxpayer dollars and ensures America’s small towns and rural areas take part in our economic recovery as well.

We need strong infrastructure to achieve steady growth and opportunity in the decades to come.

The ability of T4 America’s proposal to create good-paying jobs and promote economic growth has won our coalition broad support. Sam Williams, president of the Metro Atlanta Chamber of Commerce, a T4 partner, praised the proposal as “an important and timely message for Congress” and “critical to economic development not only in metro Atlanta but across the country.” Teamsters General President Jim Hoffa says the kind of investment in clean transportation advocated by T4 America “will create millions of good paying quality jobs and put our nation on a path to a lasting economic recovery.”

You can read the full report here, or check out T4 America’s release and fact sheet.

HIRE Act a down payment on transportation priorities

When President Obama signed the HIRE Act into law last week, he ushered in important progress on several important transportation initiatives.

The Act extends current transportation law until December 31, 2010 and restores $19.5 billion in interest to the Highway Trust Fund. This works out to $14.7 billion for highways and $4.8 billion for mass transit. The HIRE Act also restores $8.7 billion in contract authority that was rescinded due to late Congressional action last September.

This clean extension is far superior to the stop-gap measures of the past several months. State Departments of Transportation and regional officials can now move forward on new projects with confidence.

Also of note, the Act extends the ability of urban areas to apply mass transit funding to operating assistance. Painful cuts to public transportation are a real drain on communities across America. This provision will help keep people in their jobs while helping commuters access jobs.

For a more thorough run-down of how the HIRE Act affects transportation, read this summary prepared by T4 America.

FAQ: Transportation bill expires, emergency extension passed

The Senate Garage Fountain (Olmstead Fountain) and the US Capitol Originally uploaded by kimberlyfaye

UPDATED: We posted a similar question-and-answer document covering the specific issue of rescissions. Read that here.

As you may have read on Streetsblog Capitol Hill, where Elana Schor has been closely tracking the inexorable march toward expiration of the old transportation bill (SAFETEA-LU), the Senate passed an emergency one-month extension of the current law last night, just hours before the deadline.

There have been a lot of questions flying around today, so we’re going to try to post some simplified answers to clear up any confusion. Federal transportation policy is not the simplest code to decipher, but we’ll try our best to start with the basics.

The short explanation?

The Senate failed to pass an extension of their own to match the House’s recent 3-month extension before the transportation bill expired last night.

To prevent transportation spending from stopping entirely, Congress added a one-month extension of current transportation law to a last-minute bill (a Continuing Resolution) that keeps the federal government from shutting down in case they don’t pass the required individual spending bills for the next year. The one-month Continuing Resolution did not address the scheduled loss of $8.7 billion in transportation funds that will be taken from states, starting today.

Click through the jump below if you want much more detailed information. (more…)