HIGHWAY BILL PASSES CONGRESS

The Congress approved, on April 3, a $1.5 billion emergency highway bill with the following major provisions:

• An additional $400 million for fiscal year 1959 was authorized for immediate apportionment for projects to be allocated to the states, 45% for primary, 30% for secondary, and 25% for urban extensions thereof. The additional $400 million is to be made available only for expenditures on contracts-awarded by the states before December 1, 1958, which provides for completion of construction before December 1, 1959. The state is authorized to spend its share of the increase without limitation as to the percentage to be utilized on any one system. Project costs will be shared on a two-thirds federal, one-third state basis.

• $115 million is authorized for loan purposes to the states to help them meet their share of the cost. The amount loaned cannot exceed two-thirds of the state's share of the cost of the project and would be repaid from future federal aid allotments.

• For the ABC system, the bill provides $900 million for fiscal year 1959 and $925 million for fiscal 1961 at existing ratios of allocation.

• For the interstate system, the measure increases the authorization for fiscal '59 by $300 mil-

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Page 101 / Illinois Municipal Review / May 1958

HIGHWAY BILL PASSES CONGRESS

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lion and for fiscal years '60 and '61 by an additional $300 million for each year. Thus total authorizations for fiscal year '59 amount to $3.2 billion, for fiscal year '60 $2.5 billion, and for fiscal year 1961 $3.5 billion. The $300 million additional for fiscal '59 is to be appropriated immediately upon the bill's enactment.

• The measurement suspends for fiscal years '59 and '60 Section 209 (g) of the Highway Revenue Act of 1956 (Byrd amendment). Thus expenditures for highway purposes are not limited by amount of money available to the Highway Trust Fund.

• The bill also establishes, as a new national policy "that it is in the public interest to encourage and assist the states to control the use of and improve the areas adjacent to the interstate system. by controlling outdoor advertising in those areas." Portions of the interstate which pass through municipalities are excluded. The federal share or payment on the interstate system shall be increased to 90 1/2% to those states participating.

Page 103 / Illinois Municipal Review / May 1958