Ran across this on the NERAIL list. Any comments on its possible effect on rail preservation?

House Approves Eight-Month Extension Of Highway Law
The House passed today an eight-month extension of the surface
transportation law after defeating a Democratic bid to include
Senate-passed reauthorization levels. On a 409-8 vote, the House passed
the extension that would run from Oct. 1, the start of the next fiscal
year, through May 31. The House lawmakers defeated 199-218 a motion by
Transportation and Infrastructure Aviation Subcommittee ranking member
Peter DeFazio, D-Ore., to include the higher levels passed this year by
the Senate. The Senate bill authorized $318 billion in contract
authority and $301 billion in guaranteed funding over six years. The
House-approved extension would authorize a slight boost over FY04 for
highway and transit programs. The extension authorizes $23.1 billion for
highways, $5.2 billion for transit and $287 million for motor carrier
safety.
The extension would set aside about $2.7 billion -- nearly $2
billion of which would come from unobligated funding from the 1998
transportation -- to ensure that all states continue to receive at least
a 90.5 percent return on highway aid from what they pay out in motor
fuels taxes. It does not boost that rate of return, a goal sought by
so-called donor states that pay out more in motor fuel taxes than they
receive back in highway aid. The Senate is expected to approve the same
extension by unanimous consent today, although aides and lobbyists said
Senate Budget Chairman Nickles was waiting on an official scoring from
CBO.
Even with the extension, House members pledged to continue working
on a six-year bill this year with the slim possibility it could be
approved during a possible lame duck session. "I still intend to do
this,"House Transportation and Infrastructure Chairman Young said. "The
Senate might get smart real quick. I doubt it." House Republicans said
the extension was necessary because Senate GOP conferees could not agree
on reauthorization levels. DeFazio blamed the White House for forcing
House Republicans to offer reauthorization levels lower than those
passed in the Senate and lower than what many House lawmakers, including
Young, wanted in a six-year bill. Young said he does not think he can
offer reauthorization levels above the $299 billion in contract
authority and $284 billion in guaranteed funding even during a lame duck
session. "I don't see where we're going to get any more revenue," Young
said. He said the only quick way to gain the revenue needed to increase
the reauthorization levels is through higher gas taxes.
-- by Darren Goode

As has been reported a few times before, the Surface Transportation Program "Enhancement" handouts are almost certain to be continued without change in the new "highway reauthorization" bill, whenever Congress gets around to passing it. The STP Enhancement program is the source of grants in two categories that have funded many railroad historic preservation projects since 1987: historic preservation, and establishment of surface transportation museums. The 1997 edition of this law expired Sept. 30, 2003 and has been temporarily extended 5 times since then, each time continuing the STP program at 2003 levels with the Enhancement set-aside intact. The current extension runs until May, 2005, but don't bet that the new bill will be done by then, either. Amounts available may rise very slightly in the new bill, depending on how much of the total pie of federal gas taxes is diverted into Congressionally-selected pork-barrel projects.

Speaking of Enhancement handouts, I rode the Steam Railroading Institute's reinstalled and lengthened turntable around along with a C&O 10-6 that we were painting last week. Turns great, with the aid of a "transportation museums" handout that covered something under half the cost of this project (and with the 1225's old leaf springs over the drive wheels for traction). Remember that these aren't cash grants, but agreements with the Federal Highway Administration to cover up to 80 per cent of project cost on a reimbursement basis after construction is complete, to federal standards. In effect, this was a Michigan DOT bridge project, with the engineering done by SRI civil engineers.

Have any states doled out any Transportation Enhancement Program funds since TEA-21 expired? Here in New York State, I've been told there won't be another application window until after the full transportation bill passes, not the extentions. So, it has been two years and counting since they let us apply for TEP funds.

Maryland had a round of applications in March 2004. Our Museum has an award pending for railway construction to our long-awaited new building. I do not know what other projects received funding from the State.

Wesley Paulson
National Capital Trolley Museum