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WASHINGTON – U.S. Senator Kevin Cramer (R-ND) pressed U.S. Department of Transportation Secretary Pete Buttigieg to rescind their flawed guidance regarding the implementation of the bipartisan infrastructure law at a Senate Environment and Public Works Committee hearing.
On December 16, 2021, the Federal Highway Administration (FHWA) issued guidance, “Policy on Using Bipartisan Infrastructure Law Resources to Build a Better America,” regarding the funding of transportation projects stemming from the Infrastructure Investment and Jobs Act (IIJA) in complete contradiction with the spirit and letter of the law. During the EPW hearing, Senator Cramer highlighted the importance and conscious inclusion of federalism in the IIJA.
“We understand the importance of federalism and the importance of a partnership where the federal government yields to the local and state governments as opposed to the other way around. The memoranda did not just create confusion, but concern. With regard to the exact language that we specifically excluded from the bill, to see it turn up in a memorandum or guidance as opposed to a specific regulation appears as if it was designed to create some confusion. I hope that's not the case. But that's how it was taken. What I listened to you describe to Senator Capito, it sounded to me like you were arguing against the spirit of the law by using the letter of the law. Again, that adds confusion because we were very specific. Don't get me wrong, I know you have a big job and it's not as simple as I'd like it to be, but it's not as complicated as the bureaucracy likes it to be either,” said Senator Cramer.
In response, Secretary Buttigieg admitted discretionary grants reflect the Biden Administration’s priorities, but for formula funding “ultimately the states are making these calls.”
“Ultimately the left and right boundaries here are the letter of the law. That’s all that I can work within deciding what to do when implementing these formula programs,” responded Secretary Buttigieg.
“I think in this era of hyperinflation, where the supply side of the economic formula has been shorted, let’s get after it real quickly. I appreciate your commitment to that,” concluded Senator Cramer. “Federalism really does work. The absence of prohibition is not a license to do whatever the bureaucracy wants although that’s how it appears to some people. I hope that your clarification is comfort because my advice to my governor, to my state, and to the five state coalition of North Dakota, South Dakota, Montana, Wyoming, and Idaho that work together on these policies is to ignore the memo. Our five states know exactly what to do in rural America.”
Senator Cramer also highlighted IIJA’s permit streamlining provisions including codifying the Trump Administration’s One Federal Decision framework for highway projects, which is critical to addressing new infrastructure needs in rural and western states in a much more expeditious and straightforward manner. Simplifying the burdensome environmental review and permitting process were key components of the IIJA.
“The whole point of [One Federal Decision] is to simplify and to make it easy to implement,” said Senator Cramer.
Last month, Senator Cramer led his colleagues in two letters to the U.S. Department of Transportation pressing the Biden Administration to implement IIJA according to the law and highlighting concerns with the FHWA issued guidance. During bill negotiations, Senator Cramer secured the traditional split of Highway Trust Fund program dollars of 90 percent formula funding to 10 percent discretionary grants, ensuring states have consistent funding and the flexibility to meet their constituents’ needs. The IIJA also explicitly excluded language to limit states from expanding their infrastructure beyond the maintenance of existing roads and highways.
