Presentation by Sarah Puro, Principal Analyst in CBO’s Budget Analysis Division, at the Transportation Research Board’s annual conference. The Fixing America’s Surface Transportation Act was signed into law on December 4, 2015. The bill provided $281 billion in contract authority for surface transportation programs through 2020. Under provisions of the bill, CBO estimates, the Highway Trust Fund will be able to meet obligations through 2020.

1. Congressional Budget Office
The FAST Act and the
Status of the Highway Trust Fund
The Transportation Research Board Annual Conference
January 10, 2016
Sarah Puro
Principal Analyst
The Fixing America’s Surface Transportation (FAST) Act was signed into law on December 4, 2015, as
Public Law 114-94.

2. 1CONGRESSIONAL BUDGET OFFICE
The FAST Act: Funding
■ Authorized surface transportation programs through 2020
■ Provided $281 billion in contract authority
■ Authorized $25 billion subject to further appropriations,
mostly for transit and rail programs
■ Provided $275 million to $300 million per year for the
Transportation Infrastructure Finance and Innovation Act (TIFIA)
– Allows states to transfer core program funds for TIFIA subsidy

3. 2CONGRESSIONAL BUDGET OFFICE
The FAST Act: Receipts
■ Transferred $70 billion from the general fund of the Treasury
to the Highway Trust Fund, financed mostly by reducing both
the surplus account of the Federal Reserve and the dividends
paid to large member banks on their capital stock in the
Federal Reserve
– Interest is credited to the balances in the Highway Trust Fund created
by the transfer
■ Did not create any new revenue sources from transportation users

4. 3CONGRESSIONAL BUDGET OFFICE
Trigger Mechanism for More Authority to Spend
■ Under Section 1403, contract authority and obligation
limitations from 2017 to 2020 would automatically increase in
the next fiscal year if another law provided for the deposit of
additional funds into the Highway Trust Fund.

5. 4CONGRESSIONAL BUDGET OFFICE
Status of the Highway Trust Fund Under the FAST Act
■ Spending from the Highway Trust Fund exceeds revenues
credited to the fund from taxes on motor fuels, heavy trucks,
and tires.
■ CBO projects that, under the FAST Act, both the highway and
transit accounts of the Highway Trust Fund will be unable to
meet all obligations in 2021.

6. 5CONGRESSIONAL BUDGET OFFICE
Status of the Highway Account of the Highway Trust Fund
Billions of Dollars
2006 2008 2010 2012 2014 2016 2018 2020 2022 2024
-80
-60
-40
-20
0
20
40
60
80
100
Outlays
Receipts
End-of-Year
Balance or Shortfall
Actual Projected

7. 6CONGRESSIONAL BUDGET OFFICE
Status of the Transit Account of the Highway Trust Fund
Billions of Dollars
2006 2008 2010 2012 2014 2016 2018 2020 2022 2024
-30
-20
-10
0
10
20
30
Outlays
Receipts
End-of-Year
Balance or Shortfall
Actual Projected

8. 7CONGRESSIONAL BUDGET OFFICE
More Information
■ The FAST Act was signed into law on December 4, 2015, as
Public Law 114-94; see CBO’s cost estimate for the conference
agreement on H.R. 22, theFASTAct(December2,2015),
www.cbo.gov/publication/51051.