Obama Requests $78.8 Billion for DOT

The Department of Transportation would get an additional $2 billion next year if Congress approves the budget proposal made by President Obama on Monday.

Under the proposed spending plan, DOT would be allocated $78.8 billion for the year, an increase of roughly 2% from 2010 Transportation Secretary Ray LaHood said during a conference call with reporters.

Among the programs included in the administration’s request would be $4 billion for the creation of an infrastructure bank that LaHood said would provide “grants and loans for innovative multimodal projects,” and would fulfill a pledge made by Obama as a candidate in 2008.

The president’s budget also reiterates the administration’s request for a long delay in reauthorizing the highway bill.

LaHood, who just last month predicted Congress and the administration would get together on a new bill, said the “biggest dilemma for all of us here insufficient funding,” for a new surface transportation program.

DOT Chief Financial Officer Chris Bertram told reporters that in order to get to the administration’s target date for an extension of March 2011 the Highway Trust Fund will need transfers from the general treasury in 2010 and 2011.

In the safety arena, LaHood highlighted a request for $50 million to help states curb distracted driving, as well as new funds to hire 118 new truck and bus safety inspectors for the Federal Motor Carrier Safety Administration.

The budget request now goes to Congress for its consideration.

By Sean McNally
Senior Reporter