Congress Approves 30-Day Extension of Current Highway Funding

Unable to make progress in resolving differences between House and Senate versions of highway reauthorization legislation by the May 31, 2005 expiration of current funding authority, Congress on May 26, 2005 approved a 30-day extension of existing authority. The House/Senate conference is still likely to have difficulty resolving differences between the two pieces of legislation by the new June 30, 2005 deadline. The Senate version has an overall projected cost of $295 billion over six years and includes tax provisions that would raise a total of $20 billion in revenue over ten years. The House version would cost $284 over six years and does not include revenue raisers. The President has demanded a $284 spending limit on the legislation and has threatened to veto any legislation that exceeds that amount. The vote in the Senate was by a veto-proof margin.