Overview
Title
To modify a provision relating to adjustments of certain State apportionments for Federal highway programs, and for other purposes.
ELI5 AI
H. R. 10462, or the Highway Formula Fairness Act, is a plan to make sure that each state gets at least 95% of the money back that it puts into a big pot for building roads. This way, no state gets too little to fix their roads and bridges.
Summary AI
H. R. 10462, also known as the Highway Formula Fairness Act, aims to amend how certain state apportionments are calculated for federal highway programs. The bill changes Section 104 of title 23 in the United States Code by ensuring that each state's share of apportionments will be adjusted to not fall below 95% of a percentage based on the state's contributions to the Highway Trust Fund. This adjustment is intended to ensure a fair allocation of federal highway funds among the states relative to their contributions.
Published
Keywords AI
Sources
Bill Statistics
Size
Language
Complexity
AnalysisAI
General Summary
The bill titled the Highway Formula Fairness Act aims to amend the way federal transportation funds are distributed to states in the United States. It proposes a methodology to calculate these apportionments based on fiscal year 2012 data, alongside adjustments to ensure states receive a fair allocation reflecting their contributions to the national Highway Trust Fund. By redefining how funds are apportioned, the bill seeks to make the distribution process more predictable and reflective of states' highway use.
Significant Issues
Several key issues arise from the proposed changes in this bill:
Use of Historical Data: The reliance on data from fiscal year 2012 to determine the 'State Share' may not accurately represent current economic conditions or states' needs. This could disadvantage states whose infrastructural demands have significantly evolved since then.
Lack of Transparency in Calculations: The term 'applicable percentage' is used without a detailed formula or methodology for its determination, which may lead to inconsistencies or lack of transparency in how funds are allocated. This absence might cause confusion or mistrust among states regarding how their shares are computed.
Adjustment Review Guidelines: The bill does not specify how often adjustments to these apportionments will be revisited. Without clear guidelines, it may be challenging to adapt to changing state needs over time, potentially leaving important considerations unaddressed.
Equity Concerns: The stipulation that no state receives less than 95 percent of the applicable percentage could be considered unfair to states with less highway use or fewer needs. This approach might not adequately consider the diverse conditions and requirements across different states.
Complexity in Language: The technicality in the language surrounding formulas and adjustments may pose interpretation challenges, particularly for stakeholders unfamiliar with legislative jargon. This complexity might lead to unintended misunderstandings or misapplications.
Impact on the Public
Broadly, this bill could influence public infrastructure and transportation systems. By altering funding allocations, the way states plan and implement highway projects may be affected. Communities might experience enhancements in their road networks if funds are fairly and effectively distributed. However, the impact significantly depends on rigorous application and monitoring of the proposed funding model.
Impact on Specific Stakeholders
Positive Impacts:
States Contributing More: States that contribute significantly to the Highway Trust Fund may benefit from receiving a more equitable portion of federal funds.
Federal Budget Planners: The bill provides a new framework that could streamline and simplify budgetary processes, making distribution more straightforward over the long term.
Negative Impacts:
States with Growing Needs: States that have witnessed significant population growth or industrial expansion since 2012 might find their current needs inadequately met. This could hinder their ability to maintain or expand highway infrastructure effectively.
Policy Makers and Planners: Due to complex language and a lack of clear guidance on calculation methods, state authorities may face challenges in understanding or predicting funding allocations, complicating long-term infrastructure planning.
In summary, while the Highway Formula Fairness Act attempts to ensure fairer funding distribution for state highway programs, it presents several challenges that need addressing to ensure transparent, fair, and effective allocation reflective of contemporary needs.
Issues
The calculation method for the 'State Share' is based on apportionments from fiscal year 2012 (Section 2), which may not accurately reflect current economic conditions or state needs, potentially disadvantaging states with changed economic landscapes or increased infrastructure requirements.
The section uses the term 'applicable percentage' (Section 2) without a clear or comprehensive formula or methodology for its calculation, which may lead to inconsistent or non-transparent allocation methods and perception of unfairness among states.
There is no clear guideline on the frequency or conditions for reviewing and revising the apportionment amounts (Section 2), potentially making it difficult to address or adjust to changing circumstances or state needs over time.
The requirement that no State can receive less than 95 percent of the applicable percentage (Section 2) could be seen as unfair to states with a smaller share of highway use or needs, potentially not reflecting actual usage or fiscal contributions.
The complex language in describing the formula components and adjustments (Section 2) might be difficult for stakeholders who are not familiar with legislative or financial terms, leading to potential misunderstandings or misinterpretations.
Sections
Sections are presented as they are annotated in the original legislative text. Any missing headers, numbers, or non-consecutive order is due to the original text.
1. Short title Read Opens in new tab
Summary AI
The Highway Formula Fairness Act is the title given to this legislative bill.
2. Adjustments to certain State apportionment amounts Read Opens in new tab
Summary AI
In this section, the United States Code is amended to define how the federal government will calculate the distribution of transportation funds to each state starting in 2024. The distribution is based on a state's share of funds received in 2012, with adjustments ensuring that a state's allocation is not less than a percentage of the tax payments made by its highway users to the Highway Trust Fund.