Restructuring the Federal Approach to Surface Transportation

• The nation's surface transportation system is critical to the nation's economy and affects the daily life of most Americans. However, as illustrated by the 2007 bridge collapse in Minnesota, the system is under growing strain, and the cost to repair and upgrade it so that it can safely and reliably meet current and future demands is estimated in the hundreds of billions of dollars.

  Highlights of GAO-08-763T (PDF)

• Despite large increases in expenditures for transportation in recent years, this investment has not commensurately improved the performance of the system, as congestion continues to grow and looming problems from the anticipated growth in travel demand are not being adequately addressed. The economic and environmental implications are significant, ranging from wasted fuel and lost time as cars idle in traffic to increased costs for businesses as the system grows more unreliable. Transportation policy decisions are inextricably linked with economic, environmental, and energy policy concerns.

  Highlights of GAO-08-744T (PDF)

• Many current surface transportation programs are not effective at addressing key challenges because federal goals are numerous and sometimes conflicting, roles are unclear, programs lack links to the performance of the transportation system or of the grantees, and programs in some areas do not use the best tools and approaches—such as rigorous economic analysis—to ensure effective investment decisions.

  Highlights of GAO-08-400 (PDF)

• Calls for increased investment come at a time when traditional funding sources are increasingly strained. The federal motor fuel tax rate has not been increased since 1993, and thus the purchasing power of revenues to support the Highway Trust Fund has eroded with inflation. That erosion will continue with the introduction of more fuel-efficient vehicles and alternative-fuel vehicles in the coming years, raising the question of whether fuel taxes are a sustainable source for financing transportation. The ability to address these issues is complicated by the fact that the federal government’s financial condition and fiscal outlook are worse than many may understand. GAO has designated financing the nation’s transportation system a high-risk area.

  Highlights of GAO-07-310 (PDF)

^ Back to topWhat Needs to Be Done

GAO has called for a fundamental re-examination of the nation’s surface transportation policies that recognizes emerging national and global imperatives, such as reducing the nation’s dependence on foreign fuel sources and minimizing the effect of transportation systems on global climate. A number of principles can help guide this re-examination, including

Highlights of GAO-08-400 (PDF)

• ensuring goals are well-defined and focused on the federal interest,
• ensuring the federal role in achieving each goal is clearly defined,
• ensuring accountability for results by entities receiving federal funds,
• employing the best tools and approaches to emphasize return on targeted federal investment, and
• ensuring fiscal sustainability.

^ Back to topKey Reports

Highway Public-Private Partnerships: More Rigorous Up-front Analysis Could Better Secure Potential Benefits and Protect the Public Interest

GAO-08-44, February 8, 2008

Summary (HTML)   Highlights Page (PDF)   Full Report (PDF, 96 pages)   Accessible Text   Recommendations (HTML)

High Risk Series: An Update

GAO-07-310, January 31, 2007

Summary (HTML)   Highlights Page (PDF)   Full Report (PDF, 98 pages)   Accessible Text

Surface Transportation: Principles Can Guide Efforts to Restructure and Fund Federal Programs

GAO-08-744T, July 10, 2008

Summary (HTML)   Highlights Page (PDF)   Full Report (PDF, 33 pages)   Accessible Text

Surface Transportation: Restructured Federal Approach Needed for More Focused, Performance-Based, and Sustainable Programs

GAO-08-400, March 6, 2008

Summary (HTML)   Highlights Page (PDF)   Full Report (PDF, 91 pages)   Accessible Text   Recommendations (HTML)