As Congress kicks off its workweek, here is a quick look at the what to expect on transportation issues.

Reauthorization of TEA-21

The House-Senate Conference is slated to meet tomorrow -- July 13 -- to discuss again the overall funding level for the program. Since last week's meeting, at which harsh words were exchanged, we have seen little sign of compromise between the three parties -- the House, the Senate and the Administration. Tuesday's meeting will be important in that it may determine whether or not conferees can find a way to move forward in the absence of an overarching agreement on funding. It will also potentially be a forum to discuss the extension of the programs, now due to expire on July 31. Congress departs for a five-week recess on July 23, so action on the extension will need to take place by then. Staff members have still not discussed any controversial issues.

Appropriations

The House Appropriations Committee Subcommittee on Transportation-Treasury is planning to mark-up on July 15 its version of a fiscal 2005 spending plan for agencies under its jurisdiction. Full committee action is slated for July 23. Because of the lack of an authorization bill, the funding levels for highway and transit to be included in this legislation are very much up for grabs. Chairman Ernest Istook (R-Oklahoma) is playing it close to the vest and very little is known about his intentions for key programs. We are hearing there is a strong potential that because of the uncertainty over the authorization process and, therefore, the final funding levels, project earmarks may NOT be included in either the subcommittee of full committee version of this legislation. This would leave the committee maximum flexibility to make adjustments in conference in the event a reauthorization bill is done by that time.

Over on the Senate side, it appears action will be delayed until September. However, we are keeping a close eye on the situation there as it seems to be quite fluid.

We will have updates throughout the week as developments unfold.