LaHood: Super Committee failure will hit transpo funds

Cuts would come next October

David Crossley, Nov 22, 11.

Transportation Secretary Ray LaHood decried the failure of the congressional super committee to reach an agreement on budget reductions on Monday, warning the collapse of the effort could lead to major cuts in transportation and infrastructure programs, according to a story at The Journal of Commerce:

“We now face across-the-board cuts to programs that are critical to rebuilding our crumbling transportation infrastructure and putting Americans back to work,” LaHood said in a statement.

He did not detail the cuts that may happen, but the DOT controls billions of dollars in ongoing spending on projects ranging from highways to airport and seaport improvements.

Those infrastructure plans have been at the heart of efforts to stimulate the U.S. economy and create jobs as private business has staggered out of the steep 2008-2009 recession.

Whatever cuts may come are at least a year away.

Failure by the joint Republican-Democratic committee to agreement on a budget blueprint means $1.2 trillion in cuts could kick in starting in the 2013 fiscal year, which begins Oct. 1, 2012.

LaHood, a Republican, said there is still time for Congress to act. MORE