How Can President Bush Say We Can Afford War in Iraq but Not Safe Bridges, Affordable Housing?

Monday, September 10, 2007

Bridge Collapse and Suffering Housing Market are Reminders Congress Should Invest in America and Stand up to President Bush's Veto Threat

Washington, DC -This summer two major crises have come to light for Americans - our infrastructure is crumbling and the housing market is suffering the repercussions of subprime loans. The Minnesota bridge disaster and the subprime mortgage debacle underscore that after six years of Bush budget cuts, Congress needs to act now to reinvest in the safety and financial security of all Americans. This week, they will have that chance, as the Senate takes up the Fiscal Year 2008 Transportation, Housing and Urban Development and Related Agencies legislation. On Monday, the Senate devoted an additional $1 billion of the bill to bridge repair, but the onus is still on Senators to support the underlying Transportation-HUD bill , which includes vital funding for our highway and bridges safety and important funds to keep American families and veterans in their homes and off the streets.

America's Bridges and Highways:

"President Bush says we must continue to invest in Iraq but won't stand up for desperately needed investments here at home. The President has yet to propose any funding to repair the more than 70,000 bridges the Federal Highway Administration has found to be structurally deficient. By modernizing the country's infrastructure, the Transportation-HUD bill would make America's transportation systems safer and more efficient, all while creating new investments and job opportunities. This week members of Congress will have a chance to stand up to the Administration's claims that we can continue to funding the war in Iraq but not create jobs and make our bridges safe here at home?" said Cara Morris Stern, spokeswoman for the Emergency Campaign for America's Priorities (ECAP). "The U.S. Senate should pass the Transportation-HUD bill and send the President a message that if he vetoes this important bill, they will override it."

The Transportation-HUD bill the Administration's threatening to veto contains more than $40 billion in nation's highway system for construction of new roads, repairs and improvements. The bill also provides much needed funding for air and rail safety, each of which were under-funded in the President's proposed FY 2008 budget. By modernizing the country's infrastructure, the Transportation-HUD bill would make America's transportation systems safer and more efficient, all while creating new investments and job opportunities. But if President Bush gets his way and Congress doesn't have the courage to stand up to the President's reckless veto threats, the clock will be turned back on these needed advancements to our roads, bridges, and other transportation infrastructure.

Even before the tragedy of the Interstate 35W Bridge in Minneapolis, the President had been warned by a 2005 report card by the American Society of Civil Engineers that gave the nation an overall grade of "D" on its crumbling physical infrastructure, which includes roads, bridges, dams, levees, water and sewer systems, the electric power grid and schools. Today, after seeing the consequences of ignoring an aging infrastructure, the President has done little to fix this crisis. The American Society of Civil Engineers estimates that $1.6 trillion is needed over five years to bring the nation's infrastructure up to par, but President Bush has not made this a priority.

America's Housing Crisis:

Another major crisis to come to light over the summer was the untenable state of the subprime mortgage industry and its ripple effects throughout the economy, which put the financial security of millions of Americans at risk. As many as 2.2 million families could lose their homes in the next few years, and some states reported as much as a 700-percent increase in foreclosures from 2005 to 2006 [Center for American Progress]. As the number of families across the country facing foreclosure climbs, millions more lower- and middle-income households are seeing their home values diminish. In July, according to the National Association of Realtors, existing home sales hit a 5-year low, and new home sales are suffering as well [Center for American Progress].

But the President is threatening to veto aid for even the most vulnerable Americans, including $3.77 billion in Community Development Block Grants to invest in neighborhoods and communities and $735 million in housing for the lower-income elderly. While the President has tried to spin this year's appropriations as huge new spending bills, the reality of the situation is that these two numbers are equal to the FY 2007 levels. President Bush proposed cutting these critical needs, slashing both by at least 20-percent. A presidential veto would also put $75 million in new vouchers for homeless veterans at risk, a joint program through HUD and the VA that would benefit many of those retuning from Iraq.

"The Transportation-HUD bill the Senate is expected to take up on Monday begins to reverse the reckless budget policies of the last six years and reinvest in the infrastructure and housing needs that have been neglected by this White House and previous Republican-led Congresses," said Stern. "With a showdown between Congress and the White House looming, we're at a critical stage in determining whether we continue down the President's dangerous course, or whether we stand up for the needs and safety of Pennsylvania families. Will members of Congress show the courage and leadership their constituents expect, or will they turn their backs on the crises our country faces today? The stakes are high and the welfare of millions of Americans is at stake."

The Transportation-HUD the President's threatening to veto represents a $5.3 billion boost in needed funding over the FY 2007 level and invests in the following priorities:

Rebuilding America's Crumbling Infrastructure: $40.2 billion to improve road conditions and bring an additional 30,000 new jobs into the economy
Improving Rail Safety: $155.2 million for investments in innovative technology to improve the safety of transporting hazardous chemicals by rail
Making Air Travel Safer: $14.94 Billion to the Federal Aviation Administration to expand and improve airports, retain and hire air safety inspectors, and modernize air traffic control systems
Investing in Our Communities: $3.77 billion in Community Development Block Grants, which invest developing communities and housing across the Untied States - President Bush wants to cut this program by 20-percent
Standing Up for the Elderly and Disabled: $735 million for low-income elderly housing - President Bush wants to cut this program by 22-percent - and $237 million for housing for the disabled, which the President wants to cut by $112 million
Supporting Veterans: $75 million in new vouchers for homeless veterans at risk, a joint program through HUD and the VA that would benefit many of those retuning from Iraq