The $15 billion Hiring Incentives to Restore Employment (HIRE) Act is now set for the President to sign into law. The HIRE Act includes the Surface Transportation Extension Act of 2010, which extends SAFETEA-LU programs through December 31, 2010 at the current levels. This also includes a transfer of $19.5 billion in funds from the General Trust Fund in order to insure the solvency of the Highway Trust Fund, which is the primary source of federal financing for surface transportation. The Act also restores the $8.7 billion that was rescinded with the expiration of SAFETEA-LU authorization on September 30, 2009.

As the HIRE Act awaits President Obama’s signature, the House is looking to utilize the FAA Extension hill (H.R. 4853) as a mechanism to pass modifications to surface transportation programs passed in the HIRE Act. This Surface Transportation Extension Modification Act of 2010 would redistribute funds for the Projects of Regional and National Significance and the National Corridor Infrastructure Improvement to all states based on their share in fiscal year 2009. Additionally, it would distribute funds among all of the highway formula programs rather than the six currently funded. Rep. Jim Oberstar, chairman of the House Transportation and Infrastructure committee, sponsored the bill.