Number: RL31735
Title: Federal-Aid Highway Program: "Donor-Donee" State Issues
Authors: Robert S. Kirk, Resources, Science, and Industry Division 
Abstract: The overall issue for Congress is how to structure and maintain a Federal-Aid Highway Program that meets federal highway policy objectives.  Secondarily, is the question of whether the Federal-Aid Highway Program provides, or should provide,as equitable as possible a return to the states on each tax dollar the states' highway users pay into the highway account of the HTF. This report begins with a general background discussion as well as a legislative history of the issue with emphasis on the donor-donee controversy during the two most recent surface transportation reauthorization debates, the Intermodal Surface Transportation Efficiency Act of 1991 (ISTEA) (P.L. 102-240) and the Transportation Equity Act for the Twenty First Century (TEA-21) (P.L. 105-178; P.L. 105-206) debates.  It then sets forth a number of statistical issues that may skew some conclusions about donor-donee status.  Finally, the report examines some of the issues that in the past have constrained efforts to increase donor state federal aid distributions to bring them more in balance with state revenue contributions. During the 109th Congress, both the House and the Senate passed surface transportation reauthorization bills (H.R. 3, and H.R. 3, as amended in the Senate), that included provisions designed to address some donor-donee issues, either by changing or replacing the TEA-21 Minimum Guarantee program.  As of this writing, the bills are under consideration in the committee of conference.
Pages: 21
Date: June 10, 2005