Based on current spending and revenue trends, the U.S. Department of Transportation estimates that the Highway Account of the Highway Trust Fund will encounter a shortfall before the end of fiscal year (FY) 2014 according to a report issued this week.
According to the report, the Highway Account began FY 2014 with approximately $1.6 billion in cash. A $9.7 billion transfer from the General Fund to the Highway Account was processed shortly after the start of the fiscal year ($10.4 billion authorized in MAP-21, reduced by sequestration). The surface transportation program continues to outlay at a greater pace than receipts are coming in. As a result, the cash balance has dropped by nearly $3.5 billion since the General Fund transfer occurred. As of March 28, 2014, the Highway Account cash balance was $8.4 billion.
Based on current spending and revenue trends, the U.S. Department of Transportation estimates that the Mass Transit Account of the Highway Trust Fund will have a balance of approximately $1 billion at the end of FY 2014. The Mass Transit Account began FY 2014 with approximately $2.5 billion in cash. A $2 billion transfer from the General Fund to the Mass Transit Account was processed shortly after the start of the fiscal year ($2.2 billion authorized in MAP-21, reduced by sequestration). As of March 28, 2014, the Mass Transit Account cash balance was $3.2 billion.
