Senate leaders this week outlined plans to address the extension of the federal highway and transit programs and funding for the Highway Trust Fund as part of a $81 billion economic recovery finance package.

Senate Majority Leader Harry Reid told reporters that the Senate's jobs agenda would address the following transportation issues, in addition to various tax issues. He said that the bill would address:

• a one-year extension of surface transportation programs, and
• an expansion of the Build America Bonds program that subsidizes interest payments on taxable bonds to finance infrastructure projects.

Other possible provisions might enact an extension of the TIGER infrastructure grant program first included in the recovery act last year. The TIGER grant program provided $1.5 billion for discretionary grants by the Secretary of Transportation. The DOT received nearly 1,400 applications from the 50 states and the District of Columbia totaling $56.5 billion. The recovery act requires that the grant awards be announced by February 17.

A second jobs bill would provide infrastructure funding, but no specific dollar amounts have been released. It is uncertain which bill might proceed first, although Reid indicated he may call for a procedural vote on Monday.

The House-passed bill, H.R. 2847, approved on December 17, includes $37.3 billion for transportation programs, including $27.5 billion for highways and $8.4 billion for transit. It would also provide an infusion of $19.6 billion from the General Fund into the Highway Trust Fund, to keep that funding source solvent probably until March of 2011, experts say. It also would extend the authorization through the end of the year.

Majority Whip Dick Durbin of Illinois and Democratic Policy Committee Chairman Byron Dorgan of North Dakota said that the jobs bills would be unveiled for fellow Democrats on Thursday. The hope is that some action would be taken before the President's Day recess beginning February 15. The current authorization of federal highway and transit programs expires on February 28.