Category: Legislative Updates

US DOT Agrees DBE Program Implementation Unconstitutional

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by LICA-National

The US Department of Transportation (US DOT) said in a court filing this week it has agreed to end consideration of race or gender in DOT’s Disadvantaged Business Enterprise Program (DBE) program when awarding billions of dollars in federal highway and transit projects. USDOT agreed with plaintiffs in the suit that the DBE “program’s use of race- and sex-based presumptions in awarding contracts is unconstitutional." USDOT previously defended the policy as seeking to remedy past discrimination but said it has since reevaluated its position in light of factors including a 2023 Supreme Court decision.


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DOGE Spending Cuts to be Formalized in Future Legislation

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by LICA-National

This week President Trump indicted that the administration will send legislation to the Hill to formalize spending cuts made by the Elon Musk headed Department of Government Efficiency or DOGE. Those cuts would have to be done in subsequent rescissions and appropriations legislation, because of rules excluding changes to discretionary spending in the current budget reconciliation package. Passing a rescissions bill would claw back money that has been previously approved by Congress. This news comes as Musk announced his time at DOGE has come to an end.

In a statement on X, House Speaker Mike Johnson praised Musk and DOGE, saying they did “incredible work.” He said Republicans were eager to write the cuts into law, once the White House sends its rescissions package to the House. Office of Management and Budget Director Russell Vought has said the administration plans to propose a $9 billion package of DOGE cuts that include cuts to foreign aid, the Corporation for Public Broadcasting, National Public Radio and the Education Department.

Reconciliation Package Faces Strong Push Back in Senate

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by LICA-National

The House reconciliation bill, now officially called “One Big Beautiful Bill,” passed by a vote of 215-214 prior to the Memorial Day recess. It is intended to implement President Trump’s domestic agenda by extending expiring tax cuts; removing taxes on tips and overtime pay; increasing funding for border security, including continued construction of a border wall, and enhanced military funding, including a golden dome satellite defense system. In addition, the bill cuts spending on Medicaid, food aid, higher education and clean energy investments to pay for these new initiatives and to reduce overall federal expenditures. According to Congressional Budget Office estimates, however, the bill is expected to increase budget deficits by $3.3 trillion by 2034, compared with doing nothing, though a final official estimate is not yet available. Also included in the bill is a $4 billion increase in the debt ceiling over the next two years.


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Court Finds Swampbuster Rules Constitutional

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by LICA-National

Agri Pulse reports that a federal judge on Thursday upheld the constitutionality of the farm bill’s Swampbuster provision, which puts producers at risk of losing access to farm program benefits if caught destroying protected wetlands. U.S. District Judge C.J. Williams of Iowa’s Northern District wrote in an opinion that Congress has the power to place conditions on federal funding given to farmers.


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Reconciliation Legislation Moves Along in House

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by LICA-National

House Republicans moved closer to completing action this week on a reconciliation plan to implement President Trump’s “one, big, beautiful” agenda bill. The final three committees completed action on their portion of the package to renew the 2017 tax cut legislation with some additional tax cuts and to cut roughly $1.5 trillion in spending over the next decade to pay for the tax provisions and reduce overall federal spending. Congress has few legislative days scheduled until the Memorial Day recess, which is Speaker Mike Johnson’s deadline to push the reconciliation package through the House to get the package on Trump’s desk by July 4. The House Budget Committee consolidate the work of the various committees into one package and bring it up for a vote next week. As of right now, Speaker Johnson does not have the votes to pass this big chunk of Trump domestic agenda. It is anticipated changes to this legislation will have to be made in the Rules Committee or on the floor to ensure its passage.


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Water Funding Comes Into Focus

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by LICA-National

The Senate Environment and Public Works Committee held a hearing April 30 for water and wastewater experts to report on the impacts of the Infrastructure Investment and Jobs Act (IIJA) in addressing major infrastructure repairs and upgrades much needed by state and local agencies. The experts called repeatedly for Congress to fully appropriate funding at authorized levels for fiscal 2026. This would mean at least $3.25 billion for both the Drinking Water and Clean Water SRFs and for the legislation to be reauthorized with increased infrastructure funding for rural communities, in particular, with focus on ways to improve the 2021 law's water infrastructure provisions.


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Senate Looks at NRCS Cutbacks

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by LICA-National

At a Senate Agriculture Committee hearing on conservation programs this week, a panel of conservation leaders told senators that cutbacks in staffing as the Natural Resources Conservation Service (NRCS), would impact producer access to technical assistance necessary to ensure that farmers continue trying out practices that reduce soil erosion and prevent nutrient runoff.


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DOT Approves $607 Million Infrastructure Grants

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by LICA-National

The U.S. Department of Transportation recently approved 180 infrastructure grants worth $3.2 billion from more than 3,200 projects that were awarded by the previous administration without project agreements. USDOT announced that it has approved 329 grants so far this year.

Those approved grants include a wide range of modal administration programs, from airport improvement grants to rail, port, and highway infrastructure initiatives.


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Congress Begins Work on Reconciliation Package

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by LICA-National

The House returned from a two week Easter recess and began work on a reconciliation package that will address the President’s priorities to continue and enhance the 2017 tax cuts, increase spending on defense and border enforcement while significantly cutting overall federal spending. Various committee of jurisdiction have been issued targets to fulfill their part of the reconciliation puzzle to accomplish these goals. According to Punch News, Congress is scrambling to come up with a package that meets Trump’s goal of cutting taxes for Americans making less than $200,000, plus four years of no taxes on tips, overtime and Social Security payments.


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House Committee Addresses Highway Funding Shortfall – Recommends Increased Vehicle Registration Fees

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by LICA-National

The House Subcommittee on highways and transit held a hearing on April 29 to address long-term solution for the Highway Trust Fund revenue shortfall. The HTF has faced an insolvency crisis dating back to at least 2008, as current user fees are no longer sufficient to sustain necessary investment in our surface infrastructure needs. The Infrastructure Investment and Jobs Act (IIJA) failed to address this issue and only made matters worse by increasing spending $102 billion and relying on a general fund transfer of $118 billion in support. The subcommittee chairman said Republicans support investing in infrastructure, but our highway funding system is founded upon the principle that roadway users must pay for their use of the system. Failing to restructure our surface transportation funding sources will have severe consequences for our nation’s transportation system and the American people. He said, as part of reconciliation, the Committee will vote on a proposal to leverage existing state vehicle registration systems and assess a new fee of $200 on electric vehicles (EVs), $100 on hybrid vehicles, and a $20 fee on most other passenger vehicles. If approved, these new user fees would represent the first new funding streams into the Highway Trust Fund in more than 30 years.


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