In Addition to the new opportunities created by TEA-21, there are some new problems, or at least potential problems.  The most important are discussed in this chapter.

The New Money:
A Recipe for Sprawl or a Chance for Wise Investment_

  • TEA-21 represents a large increase in federal funds for transportation.
  • In general, areas with high population and economic growth will receive the most new money, and this money may end up fueling more sprawl.
  • Under ISTEA, the share of federal funds going to new roads began to decline, and this trend can continue. Most of the new money provided by TEA-21 will go into categories that cannot fund new roads.

Distribution of Funding Increase By End Use

 

ISTEA

TEA-21

Difference

Money That Must Be Used To Build New Highways
(Interstate Construction, ARC, earmarked funds)

$13 billion

$8 billion

$ -5 billion

Money That May Not Be Used to Build New Highways
(Bridge, Interstate Maintenance, CMAQ, Transit, Transportation Enhancements, Safety, etc.)

$74 billion

$111 billion

$37 billion

Flexible Money
(Surface Transportation Program, “equity” categories, etc.)

$68 billion

$97 billion

$29 billion

Totals

$156 billion

$216 billion

$61 billion

Streamlined Environmental Review:
Better Coordination or Cutting Corners_

  • TEA-21 requires federal agencies to establish new time periods for reviewing the environmental impacts of proposed highway and transit projects.
  • Proposals were made to substantively weaken the environmental review process, but these proposals were rejected.
  • State transportation agencies are now allowed to pass TEA-21 funds through to federal or state environmental agencies to cover the higher costs of expedited environmental review.
  • New regulations will be written to implement the new system, and advocates for sound environmental protections will need to make their concerns known to USDOT.

TEA-21 Reference:

Section 1309.

Congressionally Earmarked Funding:
The Good, The Bad And The Ugly

  • Earmarked funding is not new to TEA-21. Five percent of highway authorizations are earmarked to specific projects, the same as in ISTEA.
  • The TEA-21 earmarks result in spending patterns similar to what comes out of the underlying formulas—some good, some bad, and a lot in the middle.
  • Road projects that receive earmarked funds still have to follow all the requirements that apply to federal funds, including planning and NEPA review.
  • A significant percentage of earmarked dollars goes to transportation enhancement activities, transit and rail projects, and highway system repairs. The percentage of earmarked dollars going to new road construction is less than in ISTEA.

TEA-21 Reference:

Section 1602.

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