Congresswoman Eddie Bernice Johnson Introduces Transportation Infrastructure Finance And Innovation Act Of 2009

Press Release

Congresswoman Eddie Bernice Johnson introduced H.R. 2663, the Transportation Infrastructure Finance and Innovation Act (TIFIA) of 2009, last night. The legislation would increase the share of overall project cost that can come from the TIFIA program, from 33 percent to 49 percent of the anticipated eligible project cost, and authorizes $285 million in budget authority per year over the life of the bill.

The TIFIA program, which was established by the Transportation Infrastructure Finance and Innovation Act of 1998, provides credit assistance to eligible applicants for infrastructure projects of regional or national significance. The costs of eligible projects may not be less than $50 million.

"The TIFIA program works," Congresswoman Johnson said. "Since 1998, $4.8 billion in TIFIA assistance has leveraged more than $18.6 billion in transportation project investments, and every single penny that the federal government has loaned through the TIFIA program has been repaid. In today's constrained budget environment, increasing the amount of funding available to eligible projects makes sense. More infrastructure projects can be started quickly."

The Transportation Infrastructure Finance and Innovation Act of 2009 would also modify the existing non-subordination clause so that it would not apply to debt financing that is contemplated at the time that the TIFIA loan or line of credit is agreed to.

Paying Our Way: A New Framework for Transportation Financing, the Final Report released by the National Surface Transportation Infrastructure Financing Commission in February, recommended a reauthorization of TIFIA, but with more credit capacity and flexibility.

Source