United States Congress
CONGRESSMAN ED TOWNS
10TH DISTRICT, NEW YORK
NEWS RELEASE
 
  For Immediate Release   Contact:  Andrew Delia
June 15, 2004 (202) 225-5936
 
Towns Opposes Efforts to Reduce NY's Share of Federal Transportation Dollars
Says proposed formula change unfairly targets New York
 

Washington, DC - Congressman Ed Towns (D-Brooklyn) joined several members of the New York delegation at a press conference today to oppose efforts that would reduce New York's share of federal transportation funds.  Currently, House and Senate negotiators are drafting the final version of the transportation reauthorization bill, which provides billions of dollars to states and localities for transportation related projects.   One proposal under consideration by negotiators would change the allocation formula, costing the state of New York funds for critical infrastructure improvements.  
 
"Overall, New York sends the federal government $20 billion more to Washington than it gets back in federal programs," said Towns.  "Transportation is the one area that helps even out this incredible imbalance.  Any change in current formula could jeopardize or lengthen the time it will take to improve our roads, bridges and highways."
 
Under the current funding formula, each state has a minimum guarantee of receiving 90.5 percent of the amount of it pays into the highway account of the Highway Trust Fund.   Because New York has a high percentage of transit riders and thus, uses less gasoline per person than most states, it winds up getting more funds than it contributes.  As a result, raising the guarantee in the formula would reduce New York's share.
 
"Changing the formula would in effect penalize the State and City of New York for making investments in our extensive public transportation system which has great importance not only to the City but to the national economy as well," said Towns.  "Additionally, the change would have the perverse effect of rewarding states that consume more gasoline, which defies common sense."
 
In addition to the press conference, Towns joined the entire New York delegation in sending House and Senate negotiators a letter opposing any formula changes.  The letter noted that federal programs, including transportation, should be based on need.
 
"Our roads, ports, rail facilities and airports serve essential national trade corridors and our transit systems carry millions of commuters to and from work each day," the letter stated. "New York is also home to some of the nation’s most heavily used highways and most extensive and aging system of bridges. Ignoring these real needs in favor of redistributing highway dollars to other states is fundamentally unfair and flawed policy."
 
Towns says that he will continue to press for a funding formula that meets New York's transportation needs.  A final bill is expected to be drafted by this summer.

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