February 3, 2014 – A new analysis by the Associated Equipment Distributor’s (AED) Government Affairs Office based on recent data from the Federal Highway Administration shows the potentially devastating economic impact of the impending collapse of the federal highway program. The Congressional Budget Office reported in July 2013 that, due to inadequate resources in the federal Highway Trust Fund (HTF), Congress “would need to reduce the authority to obligate funds in 2015 to zero in both the highway and transit accounts.” This “Year Zero” scenario will put an entire year’s worth of federal highway and transit investment at risk, create enormous uncertainty for transportation planners, and send economic shockwaves through the construction industry. AED's state-by-state projection estimates the HTF Year Zero would jeopardize at least $2.4 billion in equipment market activity (i.e., dealer revenue from sales, rental, and product support) and close to four thousand equipment dealership jobs. See the data here.
Highway Trust Fund Warning
- Written by Mark Kuhar