[Budget of the United States Government]
[III. Creating a Better Government]
[9. Transportation]
[From the U.S. Government Publishing Office, www.gpo.gov]


 
                           9.  TRANSPORTATION

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                           Table 9-1.  Federal Resources in Support of Transportation
                                            (In millions of dollars)
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                                                                               Estimate
               Function 400                   2000   -----------------------------------------------------------
                                             Actual     2001      2002      2003      2004      2005      2006
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Spending:
  Discretionary Budget Authority..........    15,172    18,912    16,836    17,790    18,190    18,558    18,970
  Mandatory Outlays:
    Existing law..........................     2,107     2,219     1,796     2,046     1,982     1,913     1,890
Credit Activity:
  Direct loan disbursements...............       323       403       709     1,109     1,542     1,993     2,221
  Guaranteed loans........................       886       634       418       218       218       218       218
Tax Expenditures:
  Existing law............................     2,090     2,220     2,370     2,520     2,670     2,840     3,010
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Discretionary Budgetary Resources ........    49,668    57,261    57,736    60,099    61,449    62,790    64,195
----------------------------------------------------------------------------------------------------------------

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  The security, economic prosperity, and social well being of the Nation 
are dependent on the efficient movement of people and commerce. 
America's transportation system is an indispensable component in moving 
people and goods. Our transportation system must enable the Nation to 
sustain its economic growth and enhance the quality of life for all 
Americans. In 2002, the Federal Government will invest over $57 billion 
on transportation to continue to improve the Nation's transportation 
system, build and maintain the transportation infrastructure, and ensure 
safety for the traveling public.
  Significant investments have been made in Federal transportation 
infrastructure in recent years. The challenge the Administration and the 
Department of Transportation (DOT) now face is how to maximize the 
effectiveness of new investments and ensure vigilant management and 
oversight of taxpayer resources. DOT plans to target its efforts on a 
number of unresolved critical transportation problems over the next year 
in the areas of tire and truck safety, aviation system modernization, 
Coast Guard fleet replacement, and highway grant oversight and 
accountability. (See Chart 9-1.)

Transportation Safety

  Ensuring transportation safety is one of the highest priorities of the 
Federal Government. This budget continues Federal efforts to work with 
State and local governments and private groups to minimize the safety 
risks inherent in transportation. DOT leads efforts to regulate motor 
vehicle design and operation; inspect commercial vehicles; design, 
build, and operate safer roadways; educate the public regarding safety; 
direct air and waterway traffic; rescue mariners in danger; monitor 
railroad safety; and conduct safety research. The budget recommends $7.3 
billion for safety programs to meet this challenge.
  A range of Federal programs and activities has helped to reduce the 
number of deaths and injuries from highway crashes. Federal programs 
reach out to State and local partners, industry, and health care 
professionals to identify the causes of crashes and develop new 
strategies to reduce deaths, injuries, and the resulting medical costs. 
These partnerships yield results. For example, the partnership against 
drunk driving helped the Nation hold alcohol related highway fatalities 
to an estimated 38 percent of all highway deaths in 2000. And, efforts 
continue to

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reduce the roughly 41,000 deaths and three million injuries that occur 
each year on the Nation's roadways.

  Highway and Truck Safety: The budget includes $196 million for the 
National Highway Traffic Safety Administration (NHTSA) Operations and 
Research program. Along with coordinating national traffic safety 
efforts such as increasing seat belt use, NHTSA regulates the design of 
motor vehicles, researches design improvements for crash worthiness, and 
investigates reported safety defects. In 2002, safety defect 
investigations will continue to focus on improved defect testing, 
database modernization, and enhanced consumer complaint processing. 
NHTSA will also concentrate its efforts on updating the tire safety 
standard and increasing crash data collection to capture information 
regarding tire failure. In 2002, NHTSA will distribute $223 million in 
highway traffic safety grants that target increased seat belt use, 
decreased alcohol-related fatalities, and efforts to improve State 
safety data. Additional programs are designed to reduce drunk and 
drugged driving, and focus on reducing injuries and fatalities among 
minorities and youth, and in rural communities.
  In partnership with the highway community and NHTSA, the Federal 
Highway Administration (FHWA) works to identify top roadway and vehicle 
safety issues and countermeasures. In 2002, safety construction programs 
will contribute an estimated $765 million to correct unsafe roadway 
design, remove roadway hazards, and fund other safety construction 
programs.
  Highway safety programs are targeted to reduce the rate of highway-
related fatalities and injuries per 100 million vehicle miles traveled 
(VMT). In 2000, NHTSA estimated that there were 1.6 fatalities per 100 
million VMT, and 119 highway-related injuries per 100 million VMT. The 
Department's 2002 goal is to:

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   Reduce the rate to 1.4 highway-related fatalities per 100 
          million VMT and 111 highway-related injuries per 100 million 
          VMT.
  The Federal Motor Carrier Safety Administration (FMCSA) prescribes 
motor carrier safety regulations and conducts interstate enforcement 
efforts to enhance motor carrier safety. FMCSA also collects motor 
carrier safety data and reviews safety operations. States will continue 
to receive dedicated funding to heighten oversight of commercial (e.g., 
large truck and bus) license, vehicle, and driver inspection at roadside 
locations in an effort to keep unsafe vehicles and drivers off our 
Nation's highways. The budget includes $183 million for grants to States 
to enforce Federal and State standards for commercial motor vehicle 
safety inspections, traffic enforcement, and compliance reviews.
  To ensure that trade between the United States and Mexico, under the 
North American Free Trade Agreement, is accomplished safely, the budget 
includes $88 million for additional inspectors and $56 million for State 
funding for construction and operation of border safety inspection 
facilities. An additional $17 million is included for information 
systems and strategic initiatives aimed at improving motor carrier 
safety and $5 million is provided to continue a comprehensive study on 
commercial motor vehicle crash causation initiated in 2001. One of the 
prime highway safety goals of FMCSA is to:
   Reduce the number of motor carrier fatalities to no more than 
          4,710 in 2002.

  Aviation Safety: Perhaps the Federal Government's most visible 
transportation safety function involves air traffic control and air 
navigational systems. The Federal Aviation Administration (FAA) provides 
air traffic service to over two flights per second, moving 1.8 million 
passengers safely each day. In 2002, the FAA will perform nearly 325,000 
safety-related inspections. The budget includes $6.9 billion for FAA 
operations and $2.9 billion for capital modernization. In total, a 6.7-
percent increase over 2001. FAA seeks to:
   Achieve an 80-percent reduction in the fatal accident rate 
          for U.S. commercial air carriers by 2007. The 2002 target is 
          .038 accidents per 100,000 departures. While FAA's annual 
          targets may fluctuate due to the limited number of accidents, 
          they generally follow a downward slope to the 2007 80-percent 
          reduction goal.
   Reduce the number of runway incursions with a target for 2002 
          of 236 incursions. In 2000, there were 403 incursions, up from 
          330 in 1999. To counter the increase in runway incursions, the 
          FAA has identified and established strategies under its Runway 
          Incursion Program 2000 Blueprint.

  Coastal Waterway Safety: The Federal Government plays a key safety 
role on our waterways. On average, Coast Guard efforts result in the 
rescue of one life every two hours. The Coast Guard works to improve 
maritime safety by preventing incidents and mitigating the effect of 
accidents. In 2000, the Coast Guard saved 93 percent of all mariners 
reported in imminent danger. To accomplish this, the Coast Guard 
operates radio distress systems, guides vessels through busy ports, and 
operates reliable and safe navigation systems. It also regulates vessel 
design and operation, enforces United States and international safety 
standards, provides boating safety grants to States, and supports a 
35,000-member voluntary auxiliary that provides safety education and 
assistance to regular Coast Guard units. The budget includes more than 
$4 billion for Coast Guard operations and capital, a 12-percent increase 
compared with 2001. With this funding, the Coast Guard seeks to:
   Limit the number of recreational boating fatalities to less 
          than 742 in 2002. In 2000 there were 742 recreational boating 
          fatalities in our coastal regions and inland waterways.

  Rail Safety: The budget includes $154 million in 2002 for Federal 
railroad safety programs that work in partnership with the rail 
industry. The Safety Assurance and Compliance program brings together 
rail labor, management, and the Federal Government to determine causes 
of safety problems. This partnership has produced results: record low 
levels in the number and rate of overall rail-related fatalities and 
injuries. In 2000, the fatality level was the lowest level since 1981. 
The Federal Railroad Administration seeks to:

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   Reduce the rate of rail-related fatalities to 1.20 fatalities 
          per million train miles or less in 2002. In 2000, the rate was 
          estimated to be 1.29 fatalities per million train miles.
   Reduce the grade crossing accident rate in 2002 by 0.35 
          percent compared with 2000.

  Pipeline and Hazardous Material Safety: Similarly, the Federal 
Government has implemented several important initiatives in its pipeline 
safety program to reduce the risk of pipeline failures. These include 
oversight and enforcement of recently strengthened Federal pipeline 
safety standards, assistance to communities in protecting their citizens 
from pipeline failures, expanded partnership with States, and research 
and development efforts. The budget includes $54 million for pipeline 
safety programs, a 15-percent increase above 2001. The Research and 
Special Programs Administration, through its Office of Pipeline Safety, 
seeks to:
   Reduce the number of natural gas transmission pipeline 
          failures by almost four percent since 1999 to no more than 
          4,301 failures in 2002.
   Reduce the spillage rate of hazardous liquid materials 
          shipped by pipelines (in tons) per million ton-miles to 0.0142 
          in 2002. In 2000, the spillage rate was 0.0131.
  The Federal Government also develops regulations and standards to 
ensure the safe transportation of hazardous materials, and enforces 
those standards for every mode of transportation. The budget includes 
$113 million for hazardous materials safety programs, an eight-percent 
increase over 2001. The Federal Government seeks to:
   Reduce the number of serious hazardous materials incidents in 
          transportation to 391 or fewer in 2002. In 2000, there were an 
          estimated 396 serious hazardous material incidents.

Infrastructure and Efficiency Investment

  Mobility as much as any other factor defines us as a Nation. It 
connects people with work, school, community services, health care, 
markets, religious facilities, and other people. The U.S. transportation 
system carries over 4.6 trillion passenger miles of travel and 3.9 
trillion ton miles of freight every year--generated by more than 276 
million travelers and six million businesses. The Federal Government 
helped develop large parts of the system, with funding supported by user 
fees and transportation taxes. Investment is targeted to maintaining and 
improving the existing system while at the same time advancing safety, 
quality, efficiency, accessibility, and the intermodal character of 
transportation infrastructure. This investment ensures the Nation will 
meet commerce needs and enhance its efficiency. The budget includes 
$42.3 billion in mobility funding to meet this challenge.

  Highways and Bridges: More than 958,000 miles of roads and bridges are 
eligible for Federal support, including the National Highway System 
(NHS) and Federal lands roads. For 2002, the Transportation Equity Act 
for the 21st Century (TEA-21) provides $31.6 billion for the Federal-aid 
highway program. About 90 percent of these funds are distributed to the 
States by formula, primarily for highway-related projects, including the 
preservation and expansion of eligible roads and bridges. This funding 
comes from Federal motor fuel and truck taxes, mainly the gasoline tax, 
which is currently 18.4 cents per gallon, of which 15.44 cents goes into 
the Highway Trust Fund's Highway account to finance grants to States and 
local governments for highway related repair and improvement.
  In aggregate, State and local governments provide 63 percent of 
highway and bridge infrastructure spending, most of which they generate 
through their own fuel and vehicle taxes. The average State gasoline tax 
was approximately 20 cents per gallon in 2000. State and local 
governments accelerate their infrastructure projects through debt 
financing, such as bonds and revolving loan funds. FHWA will work with 
State and local governments in 2002 to:
   Maintain 95 percent or more of NHS miles in a condition that 
          meets pavement performance standards for acceptable ride 
          quality. The NHS carries one trillion, or 43 percent, of all 
          vehicle miles traveled.

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           The condition of the system affects public safety, wear-and-
          tear on vehicles, fuel consumption, travel time, congestion, 
          and comfort. In 2000, the estimated percentage was 94 percent.
   Hold the growth in average annual hours of extra travel time 
          due to delays over 30 minutes to a total of 34 hours in 2002. 
          In 1999, the individual urban traveler experienced an average 
          32 hours of extra travel time due to delays. Without projects 
          that improve traffic flow, this would grow to 35 hours of 
          extra travel time. Clearly, traffic congestion is a problem 
          which DOT will need to devote increasing attention.
   Reduce the percentage of bridges on the NHS that are 
          deficient--from 21.5 percent in 2000 to 21 percent in 2002.

  Transit: As with highways, the Federal Government assists State and 
local governments to improve mass transit. Of the Federal motor fuels 
tax, 2.86 cents per gallon goes to fund mass transit improvements. 
Federal capital grants comprise about half of the total spent each year 
to maintain and expand the Nation's 6,000 bus, rail, trolley, van, and 
ferry systems. Together, States and localities invest over $3.5 billion 
a year on transit infrastructure and equipment.
  Federal funding growth has been substantial. In 2002, TEA-21 provides 
$6.6 billion for transit infrastructure. The Federal role is especially 
important in financing new urban bus and rail transit systems, as well 
as rural bus and van networks. Millions of Americans use transit for 
their daily commute, easing roadway congestion and reducing air 
pollution. Many riders depend on public transportation to access 
employment, schools, healthcare, and social services. Transit can also 
provide economic opportunity. For example, the Job Access and Reverse 
Commute program helps provide transportation services in urban, 
suburban, and rural areas to assist welfare recipients and low-income 
individuals reach employment opportunities. The Administration proposes 
to target transit funding to communities with the greatest need. To 
ensure that local governments play a major role in funding transit ``New 
Starts,'' the budget recommends a cap on Federal participation at 50 
percent starting in 2004. The Federal Transit Administration seeks to:
   Increase transit ridership to 47.5 billion passenger-miles 
          traveled in 2002. In 2000, transit rider ship was 45.3 billion 
          passenger-miles traveled.

  Innovative Financing: There are a number of financing innovations 
designed to streamline procedures, improve existing programs, and 
implement new ideas for improving the Nation's transportation 
infrastructure. In total, these initiatives are helping advance over 200 
projects, representing a total capital investment of more than $20 
billion. For example, there is the Transportation Infrastructure Finance 
and Innovation Act (TIFIA) program, authorized by TEA-21. TIFIA provides 
Federal credit assistance to major transportation investments of 
critical national importance, such as: intermodal facilities, border 
crossing infrastructure, highway trade corridors, and transit and 
passenger rail facilities with regional and national benefits. In 2000, 
$37 million of TIFIA budget authority supported $637 million in credit 
assistance. In 2002, an estimated funding level of $108 million should 
provide for as much as $2.4 billion in credit assistance.
  Passenger Rail: The budget includes $521 million in 2002 to support 
Amtrak capital improvements and equipment maintenance. The Federal 
Railroad Administration seeks to:
   Increase Amtrak's intercity ridership to 26.7 million 
          passengers in 2002. In 2000, 22.5 million passengers rode 
          Amtrak. Amtrak ridership in 2000 was an all-time annual 
          record, reflecting a 4.7-percent increase over 1999.
   Amtrak's financial condition will demand continued oversight by DOT.

  Aviation and Airports: The Federal Government seeks to ensure that the 
aviation system is safe, reliable, accessible, well integrated, and 
flexible. In 2002, the Administration will continue aggressive 
modernization of FAA air traffic control equipment, including the 
development of new technologies and instituting improvements to existing 
systems to decrease air traffic delays. The Free Flight Phase I program 
is implementing air traffic automation aids that allow controllers to 
use airspace and runway capacity more efficiently.

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 In addition, FAA is developing controller pilot data link and Global 
Positioning System technologies to improve efficiency in handling 
aircraft. Ongoing replacement of airport surveillance and beacon radar 
systems will improve the reliability of equipment used for air traffic 
control.
  About 3,300 airports throughout the country are eligible recipients of 
Airport Improvement Program (AIP) funding provided in the Aviation 
Investment and Reform Act for the 21st Century, which reauthorized this 
program. AIP helps enhance airport capacity, safety, security, and noise 
mitigation. These funds augment other airport funding sources, such as 
bond proceeds, State and local grants, and passenger facility charges 
that airports are permitted to establish. With 98 percent of the 
population living within 20 miles of a public airport, most people have 
excellent access to air transportation. The budget includes $6.9 billion 
for FAA operations and $2.9 billion for modernizing air traffic control 
capital assets--in total $619 million, or seven percent, more than 2001. 
To ensure the most ``bang-for-the-buck,'' the Administration is 
proposing to modify the Essential Air Service (EAS) program. EAS, which 
provides subsidies to air carriers serving small airports, would be 
targeted only to communities with limited transportation alternatives 
and which face great distances to air carriers. The Federal Government 
seeks to:
   Reduce the rate of air travel delays to 171 delays per 
          100,000 activities in 2002. In 2000, the rate of air delays 
          was 250 delays per 100,000 activities.
  While the FAA is funded at historically high levels, the 
Administration recognizes that substantial reform is necessary to make 
the aviation system more efficient. Current levels of aviation delay are 
unacceptable. The Administration supports efforts to institute improved 
business practices, organizational changes, and market-oriented 
techniques to strengthen FAA's operations and reduce system delays, 
recognizing the role of airlines and airports. As part of this effort, 
over the next year the Administration will work with the aviation 
community and Congress to develop a plan of action for improving the 
Nation's aviation record. In particular, the Administration will examine 
the success that various nations, including Canada, have experienced 
with individual air traffic control systems owned and operated by 
private companies.

  Marine Transportation and Law Enforcement: For our Nation's commercial 
shipping infrastructure, the Coast Guard establishes and operates 
electronic and visual aids-to-navigation infrastructure that enables the 
safe movement of shipping. This includes ensuring that winter shipments 
such as fuel oil arrive without delay. The Maritime Administration and 
the Coast Guard are co-leading a joint cooperative effort with other 
Federal, State, and local government agencies and the private sector to 
review the Nation's Marine Transportation System (MTS). The MTS is faced 
with growing levels of demand, shifting and competing user requirements, 
and safety and information system improvements. The Federal Government 
seeks to:
   Limit the number of days that critical waterways are closed 
          due to ice to no more than two days in an average winter. In 
          2000, there were no waterway closures due to ice conditions.
  As a military service with civil law enforcement missions, the Coast 
Guard plays an important role in maritime security, through enforcement 
of a wide range of Federal laws on the Nation's waters. The budget 
provides new funding for the Coast Guard to continue implementation of 
the Western Hemisphere Drug Elimination Act and to recapitalize its 
fleet of aircraft and ships under an initiative entitled Deepwater. The 
Coast Guard's deepwater acquisition plan will be an Administration 
management and procurement initiative over the coming year. This 
procurement will be monitored carefully to ensure that Federal funds are 
efficiently and productively spent. These efforts will enhance drug 
interdiction efforts and improve the Coast Guard's capability to:
   Reduce the rate at which illegal drugs successfully enter the 
          United States from the transit and arrival zones by 10 percent 
          as compared to the 1996 base year.

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   Hold the flow of undocumented illegal migrants entering the 
          United States via maritime routes to no more than 13 percent 
          of estimated entry attempts.

Research and Development

  The Federal Government has a role in developing transportation 
technology. Federal research helps build stronger roads and bridges, 
design safer cars, reduce human error in operations, lower barriers to 
people with disabilities, and improve the efficiency of existing 
infrastructure.

  Smart Roads: The Department's Intelligent Transportation Systems (ITS) 
program is developing and deploying technologies to help States and 
localities improve traffic flow and safety on streets and highways. ITS 
provides cost-effective ways to improve the management of our 
infrastructure, boosting efficiency and capacity. The Federal Government 
seeks to:
   Increase the number of metropolitan areas with integrated ITS 
          infrastructure from 52 in 2000 to 61 in 2002.

  Aviation Research: The FAA's research, engineering, and development 
programs help improve safety, security, capacity, and efficiency in the 
National Airspace System. For example, the development of improved 
weather forecasting and modeling tools will help reduce delays and 
prevent accidents and injuries caused by aircraft icing and turbulence. 
In 2002, the budget includes work on the impact of fatigue on 
performance and determining the causes of human error that lead to 
accidents. Work will continue on aircraft safety and fire protection 
methods that explore new ways to reduce the risk of aircraft fires and 
new inspection techniques to detect flaws in aging aircraft. Security 
and explosive detection systems research will develop machines that 
process baggage more rapidly and provide new technology for passenger 
and cargo screening. Research will continue on reducing aircraft noise 
and emissions.
  The National Aeronautics and Space Administration (NASA) coordinates 
closely with FAA to develop new technologies that address challenges to 
growth in the Nation's air-aviation system in the areas such as air 
system safety, aircraft noise and emissions, and airport system 
congestion. For example, NASA will be undertaking a Virtual Airspace 
Modeling project to produce an advanced computer-model of the Nation's 
air traffic aviation system. This model will help the FAA and NASA 
develop new operational concepts and better understand where the 
benefits of new technologies will have the greatest leverage in reducing 
airport crowding and delays, while improving aviation safety.
   DOT, NASA, the Department of Defense, and private industry 
          will work together on research to achieve an 80-percent 
          reduction in the fatal aviation accident rate for commercial 
          air carriers by 2007 (from a 1994-1996 baseline of 0.051 
          accidents per 100,000 departures). Research will focus on 
          preventing equipment malfunctions, reducing human error, and 
          ensuring the separation between aircraft and potential 
          hazards.

Regulation of Transportation

  Federal rules greatly influence transportation and constitute one of 
the key ways the Federal Government achieves desired transportation 
safety, mobility, accessibility, equity, and efficiency outcomes. In the 
past two decades, economic deregulation of the railroad, airline, and 
interstate and intrastate trucking industries has reduced costs for 
consumers and shippers, while improving service.
  The Federal Government also issues regulations that promote safer, 
cleaner transportation. The regulations--of cars, trucks, ships, trains, 
and airplanes--have substantially cut the number of transportation-
related deaths and injuries, improved the safe handling of hazardous 
materials shipments, and helped reduce the number of oil spills.
   Where regulations are used to meet our transportation safety, 
security, equity, and environmental goals, the Government aims for 
rulemakings that are timely, cost-effective, and make common sense.