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The Honolulu Advertiser
Posted on: Wednesday, May 18, 2005

Senate transportation bill better, Akaka says

By Ledyard King and Dennis Camire
Gannett News Service

WASHINGTON — Hawai'i would see some $21 million more per year in federal transportation money through the end of the decade under a bill the Senate approved yesterday.

The $295 billion package includes federal money for light rail on O'ahu that would augment local funds raised by increasing the 4 percent general excise tax to 4.5 percent. A measure to approve the surcharge is now before the City Council, which must decide by the end of the year.

Passage of the federal measure sets up a showdown with the House, which has passed a $284 billion bill. The White House is threatening to veto any legislation authorizing more than that.

"I hope the Bush administration reconsiders its position and accepts the $295 billion Senate approved legislation instead of the lower amount," said Sen. Daniel Akaka, D-Hawai'i. "We need as many resources as possible to try to alleviate congestion and improve our roads and transit systems."

Efforts to pass a highway bill have stalled for nearly two years while lawmakers have debated how much to spend. The last six-year program ended in Sept. 30, 2003, but has been extended six times to keep highway aid flowing to the states. The current extension expires May 31.

Both bills would provide much more than the $218 billion the last six-year program provided in transportation aid to Hawai'i and other states.

The Senate bill would send an average of more than $163 million a year to Hawai'i compared with the almost $141 million the state received under the old program. The Senate measure also contains a number of safety measures aimed at reducing highway deaths, which the U.S. Department of Transportation said totaled 42,643 in 2003.

House and Senate negotiators now will begin meeting to try to negotiate a final version of the bill.

Sen. Dan Inouye, D-Hawai'i, said he was pleased the state would see a boost in highway and transit money under both bills.

"This is the first step toward a final transportation bill that will strengthen the long-term planning of Hawai'i's transportation needs," Inouye said.

The total cost of the bill is one of several differences the Senate and House must iron out. Among the others:

• The Senate would give states greater flexibility to install tolls on existing interstates. The House would let states add tolls only if the money raised creates new highway capacity, except in rare circumstances.

• The House bill would require Congress to revisit the highway aid formula next year and substantially improve it for states that send more to Washington in fuel taxes than they get back in highway aid. Conservatives worry that the provision could force a gas tax increase. The Senate version calls for a more modest increase in the rate of return.

• The House version includes more than 4,000 specific road projects sprinkled throughout every state, which fiscal conservatives criticize as pork barrel spending. The Senate bill does not name any, although senators are expected to add them during negotiations with the House.