APPROPRIATIONS:
DOE-Army Corps spending bill would cut rail grants to pay for flood relief
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The contentious Energy and Water 2012 spending bill is drawing the ire of rail advocates over a provision that would rescind up to $2.3 billion in unobligated high-speed rail grants and spend the money on disaster relief in the Midwest.
The language from Rep. Rodney Frelinghuysen (R-N.J.) would apply to high-speed rail funds from the stimulus law that have already been promised to states but not yet paid out. Among that pool is $795 million in grants for Amtrak's Northeast Corridor service, $368 million for California and more than $400 million for a network connecting eight Midwestern states.
Frelinghuysen said it was important that the money be used to offset more than $1 billion in emergency funding for the Army Corps of Engineers' response to flooding along the Mississippi and Missouri rivers this spring. But Democrats have bristled at the notion of stripping the high-speed rail funds, especially after a compromise on the fiscal 2011 spending package cut all funding for the rail program.
Frelinghuysen's amendment was adopted in committee last month by a voice vote along party lines. Subsequent Democratic attempts to take back the rescissions were blocked and no motion to reverse the cuts came up in floor debate on the spending bill yesterday.
"It is terribly important that we pass this amendment to provide the funding we need to make sure the levees get fixed, the waterways remain open and the infrastructure is repaired," Appropriations Chairman Hal Rogers (R-Ky.) said during the June committee markup. "It is equally important for the federal government to learn to live within its means."
In a Statement of Administration Policy released last week, the White House slammed the rescission provision, saying the cuts "would significantly disrupt states' planning and construction efforts" on a job-creating project.
Transportation interest groups -- including America 2050 and the Midwest High-Speed Rail Association -- have rallied against the bill, and rail-supporting Democrats, including Reps. Louise Slaughter (D-N.Y.) and Jim Costa (D-Calif.), have vowed to fight the cuts on the floor.
However, observers have noted that the Obama administration could avoid possible cuts by sending out checks for the money before the spending bill takes effect, since the language only applies to unobligated funds.
Much of the money that would be rescinded came from the $2.02 billion in grants returned by Florida Gov. Rick Scott (R) this spring, which was redistributed by the Federal Railroad Administration in May.