With action on a six-year reauthorization of surface transportation funding still not in sight, the second economic stimulus package currently in discussion among democratic leaders may provide some temporary relief. This second economic stimulus package will have a specific focus on short-term job creation. Rep. James Obertsar (D-MN), chairman of the House Transportation and Infrastructure Committee, and David Obey (D-WI) chairman of House Appropriations, are looking to propose a plan that would provide $100 billion in highway and transit spending from the general fund of the Treasury over the next two fiscal years.

This plan would place a freeze on new spending obligations from the Highway Trust Fund during those fiscal years. Ideally, the plan would allow for the recovery the Highway Trust Fund from its depleted state and would provide additional time to pass a six-year reauthorization for surface transportation programs (which would shift funding back to the Highway Trust Fund after two years and with hopefully higher spending levels).

However, simply replacing $100 billion in funding from the Highway Trust Fund with funds from the treasury would only maintain rather than create new jobs. Thus, another chunk of additional funding would have to be added in order to fulfill the goals of a second economic stimulus package. The plan may also raise concerns because of its temporary abandonment of the “user-financing” principle that governed transportation spending for more than a half century. While the change to general funding would be temporary, some worry that it could open up the Highway Trust Fund programs to the changes proposed by the Obama Administration, namely to eliminate contract authority and to repeal the remaining firewalls and guarantees applying to highway and transit spending.