The House Transportation and Infrastructure Committee late Wednesday advanced its portion of the Republican's budget reconciliation bill but
The committee killed a $20 national annual registration on all vehicles starting in 2031. A proposed electric vehicle annual fee was raised to $250 and a $100 fee on hybrids remains. To offset the lost revenue, the legislation trimmed investment in modernizing air traffic control to $12.5 billion from $15 billion in the original bill. Funding for the Coast Guard dropped to $21.2 billion from the original $23 billion proposal.
Committee Chair Rep. Sam Graves, R-Mo., said the annual vehicle fees are intended to "spark a conversation" about shoring up the long-insolvent Highway Trust Fund and move beyond the fuel tax. The new user fees, which are indexed to inflation, are expected to increase revenues "by a conservative estimate of more than $38 billion over 10 years, all of which will be deposited into the HTF," Graves said in a statement.
If enacted, it will mark the first time in over 20 years the HTF will be augmented by user-fee revenues, according to the American Road & Transportation Builders Association.
The committee is one of the first to advance its portion of the GOP's sweeping reconciliation bill tackling tax, energy and immigration policy and fiscal 2025 spending and cuts. Under the budget
Graves said the legislation features "historic" investments in the Coast Guard, to boost border security, and the troubled air traffic control system.
"We more than covered these critical provisions by cutting wasteful Green New Deal spending, ensuring that electric vehicles begin contributing to the Highway Trust Fund, and more," Graves said.
Wednesday's eight-hour markup hearing included more than 100 amendments from Democrats, all of which were voted down.
The committee voted to rescind $4.6 billion of unobligated funds from seven grant programs in the Inflation Reduction Act. The proposed recissions include money for neighborhood equity grants, low-carbon material for federal building assistance and environmental review implementation.
The bill passed along party lines, with all Democrats dissenting. "The Republicans' reckless budget cuts this committee off at the knees as we look to continue historic funding for transportation, water infrastructure, clean energy and stronger, healthier communities," said Ranking Member Rep. Rick Larsen, D-Wash., in a statement. "These investments benefit everyone, not a select few."
The House judiciary and oversight committees also marked up their portions of the reconciliation bill Wednesday. The oversight committee's bill would cut more than $50 billion over 10 years by reducing federal employees' salaries and cutting their pensions.
House Ways and Means, which will tackle the tax portion, may consider its portion as soon as next week.
The House panels, which are working on 11 separate bills, will send them to the House Budget Committee when they're done. The budget committee will put the pieces together ahead of a floor vote. The White House said it would like to see the bill on the president's desk by July 4.
