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Highway Program “Year Zero” Would Devastate Equipment Industry

Background

The Highway Trust Fund (HTF) faces an unprecedented crisis. Current estimates indicate by mid-summer 2014 the HTF will be unable to support any new highway infrastructure investment. The long-term situation is equally bleak, according to the Congressional Budget Office (CBO), by FY 2015 the HTF will be unable to maintain any obligated highway or transit spending, jeopardizing nearly $51 billion in annual investment - the "Year Zero" scenario.

Take action and urge your lawmakers to address the looming shortfalls facing the HTF and a solid future for national infrastructure investment. Congress must move quickly to protect our equipment dealers, distributors, and service providers from a devastating loss of resources.

To review AED's analysis of potential state-by-state impacts of HTF insolvency, please visit our state-by-state impact assessment.

Your Letter

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[U.S. Representative]

Highway Program Cuts Would Devastate Equipment Industry

[Each Recipient listed above receives a letter with their name inserted here]

As a member of the construction equipment industry, I am writing to urge immediate action to avert the looming crisis the country will face if we don’t correct the funding deficit for the Highway Trust Fund (HTF).

Federal surface transportation programs are facing an unprecedented crisis. According to the Congress Budget Office (CBO), by mid-summer 2014 the HTF will be unable to support any new highway infrastructure investment. As things stand right now, by FY 2015 the HTF will be unable to maintain any obligated highway or transit spending, jeopardizing nearly $51 billion in annual investment.

The potential long-term loss of almost $36 billion in core annual highway investment alone would take an enormous toll on the equipment industry. Each dollar in highway spending generates 6.4 cents in equipment market activity (sales, rental, and product support) and dealerships average $606,000 in sales per employee. Consequently, AED estimates the HTF “Year Zero” scenario would cost the equipment industry $2.4 billion in lost market activity and threaten nearly 4,000 dealership jobs.

You can see the equipment market and jobs impact our state faces from the looming highway funding cuts with AED’s state-by-state chart, available at http://www.aednet.org/government/pdf-2014/AED-YearZeroAnalysis-20140122.pdf.

Thank you for your time and consideration.

Sincerely,

[Your Name]

[Your Address]

I authorize Associated Equipment Distributors to share a copy of this letter with members of Congress during its outreach efforts on Capitol Hill.