Surface Transportation: Preliminary Observations on Efforts to Restructure Current Program Page: 2 of 22
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GAO
Accountability. Integrity. Reliability
Highlights
Highlights of GAO-08-478T, a testimony
before the Committee on Environment and
Public Works, U.S. Senate
Why GAO Did This Study
The nation has reached a critical
juncture with its current surface
transportation policies and
programs. Demand has outpaced
the capacity of the system,
resulting in increased congestion.
In addition, without significant
changes in funding mechanisms,
revenue sources, or planned
spending, the Highway Trust
Fund-the major source of federal
highway and transit funding- is
projected to incur significant
deficits in the years ahead.
Furthermore, the nation is on a
fiscally unsustainable path.
Recognizing many of these
challenges and the importance of
the transportation system to the
nation, Congress established The
National Surface Transportation
Policy and Revenue Study
Commission (Commission) to
examine current and future needs
of the system and recommend
needed changes to the surface
transportation program, among
other things. The Commission
issued its report in January 2008.
This testimony discusses 1)
principles to assess proposals for
restructuring the surface
transportation program and 2)
GAO's preliminary observations on
the Commission's
recommendations. This statement
is based on GAO's ongoing work
for the Ranking Member of this
Committee, the Chairman of the
House Transportation and
Infrastructure Committee, Senator
DeMint, as well as a body of work
GAO has completed over the past
several years for Congress.
To view the full product, including the scope
and methodology, click on GAO-08-478T.
For more information, contact JayEtta Z.
Hecker at (202) 512-2834 or
heckerj @ gao.gov.SURFACE TRANSPORTATION
Preliminary Observations on Efforts to Restructure
Current ProgramWhat GAO Found
GAO has called for a fundamental reexamination of the nation's surface
transportation program because, among other things, the current goals are
unclear, the funding outlook for the program is uncertain, and the efficiency
of the system is declining. A sound basis for reexamination can productively
begin with identification of and debate on underlying principles. Through
prior analyses of existing programs, GAO identified a number of principles
that could help drive an assessment of proposals for restructuring the federal
surface transportation program. These principles include (1) defining the
federal role based on identified areas of national interest, (2) incorporating
performance and accountability for results into funding decisions, and (3)
ensuring fiscal sustainability and employing the best tools and approaches to
improve results and return on investment. GAO developed these principles
based on prior analyses of existing surface transportation programs as well as
a body of work that GAO developed for Congress, including its High-Risk,
Performance and Accountability, and 21st Century Challenges reports. The
principles do not prescribe a specific approach to restructuring, but they do
highlight key attributes that will help ensure that a restructured surface
transportation program addresses current challenges.
Principles For Evaluating Restructuring Proposals
'/Define the federal role based on areas of national interest
'/Incorporate performance and accountability for results into funding decisions
~ Ensure fiscal sustainability and employ the best tools and approaches to improve results and
return on investment
Source: GAO.
In its report, the Commission makes a number of recommendations for
restructuring the federal surface transportation program. The
recommendations include significantly increasing the level of investment by
all levels of government in surface transportation, consolidating and
reorganizing the current programs, speeding project delivery, and making the
current program more performance- and outcome-based and mode-neutral,
among other things. GAO is currently analyzing the Commission's
recommendations using the principles that GAO developed for evaluating
proposals for restructuring the surface transportation program. Although this
analysis is not complete, GAO's preliminary results indicate that some of the
Commission's recommendations appear to be aligned with the principles,
while others may not be aligned. For example, although the Commission
identifies areas of national interest and recommends reorganizing the
individual surface transportation programs around these areas, it generally
recommends that the federal government pay for 80 percent of project costs
without considering whether this level of funding reflects the national interest
or should vary by program or project.United States Government Accountability Office
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United States. Government Accountability Office. Surface Transportation: Preliminary Observations on Efforts to Restructure Current Program, text, February 6, 2008; Washington D.C.. (https://digital.library.unt.edu/ark:/67531/metadc294392/m1/2/: accessed April 19, 2024), University of North Texas Libraries, UNT Digital Library, https://digital.library.unt.edu; crediting UNT Libraries Government Documents Department.