Highway Funding

Federal Distribution Formulas Should Be Changed Gao ID: RCED-86-114 March 31, 1986

In response to a congressional request, GAO reviewed the statutory formulas used to apportion federal highway funds to the states.

More than $13 billion in highway funds have been apportioned among the states in fiscal year 1986 on the basis of highway formulas enacted by Congress over the years. GAO found that: (1) the factors used in formulas to apportion highway funds should reflect the extent and usage of today's highway system; (2) lane-miles is a direct measure of the size of the road network and should be used to reflect the extent of the system to be preserved; (3) highway use can be measured by both vehicle-miles of travel and motor fuel consumption; (4) each method of measurement has advantages and disadvantages as a formula; (5) the interstate resurfacing, restoration, rehabilitation, and reconstruction program is the only formula currently using a combination of these factors; and (6) the primary, secondary, and urban formulas need to be revised to be consistent with the extent and use of the current system. Changing the factors used in arriving at these apportionment formulas would result in some states receiving more or less funds than under the present formulas.

Recommendations

Our recommendations from this work are listed below with a Contact for more information. Status will change from "In process" to "Open," "Closed - implemented," or "Closed - not implemented" based on our follow up work.

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