Transportation Infrastructure

Better Tools Needed for Making Decisions on Using ISTEA Funds Flexibly Gao ID: RCED-94-25 October 13, 1993

The Intermodal Surface Transportation Efficiency Act (ISTEA) of 1991 offers states and localities unprecedented opportunities to use federal highway and mass transit funds across modal lines. About $80 billion of the $155 billion authorized by the act for the six-year period ending in fiscal year 1997 can be used to underwrite either highway; mass transit; or nontraditional projects, such as high occupancy vehicle lanes. The flexibility allowed under the act will be critical as states and localities begin tackling highway congestion, air pollution, and investing in highway and mass transit infrastructure. This report evaluates the (1) extent to which states and localities have used the act's highway and mass transit capital funds flexibly to finance different types of projects; (2) factors that have influenced the flexible use of the act's funds; and (3) adequacy of analytical tools in deciding on transportation investments. GAO summarized this report in testimony before Congress; see: Transportation Infrastructure: Implementation of Funding Flexibility Under ISTEA and Use of Transportation Control Measures, by Allen Li, Associate Director for Transportation Issues, before the Subcommittee on Investigations and Oversight, House Committee on Public Works and Transportation. GAO/T-RCED-94-50, Oct. 14, 1993 (22 pages).

GAO found that: (1) states' and localities' use of ISTEA funds to finance mass transit projects has been limited; (2) flexible use of ISTEA funds is facilitated by congestion and air quality concerns; (3) state fuel tax restrictions and infrastructure needs hinder the flexible use of ISTEA funds; (4) states will need time to adapt to changes resulting from ISTEA; (5) better tools are needed for making investment decisions; (6) common measures would enhance state and local governments' ability to make modal trade-offs; (7) improved travel demand models are needed to analyze the impacts of transportation projects on air quality; and (8) the travel model improvement program does not adhere to the Department of Transportation's (DOT) policy on coordinating program research with related efforts.

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.

Director: Team: Phone:


The Justia Government Accountability Office site republishes public reports retrieved from the U.S. GAO These reports should not be considered official, and do not necessarily reflect the views of Justia.