Representative Tom Davis (R-VA) is requesting the House of
Representatives to consider an amendment (H.R. 3496, as revised) to
the Deep Water Energy Resources Act (H.R. 4761) that would divert
$1.5 billion of federal revenues earned through offshore drilling
to subsidize the deeply troubled Metro transit system serving the
nation's capital and his congressional district. If enacted, this
earmark would be one of the largest ever passed-seven times larger
than Alaska's "Bridge to Nowhere" and twice as large as
Mississippi's "Train to Nowhere." This earmark would reward Metro's
poor performance with an astounding sum of money while enabling the
system to put off essential reforms.
Mr. Davis justifies taxpayer funding for this local project on the
grounds that "Metro, the public transit system of the Washington
metropolitan area, is essential for the continued and effective
performance of the functions of the Federal Government, and for the
orderly movement of people during major events and times of
regional and national emergency."
But Metro provides no such service. Unreliable and poorly run, the
system is subject to frequent shutdowns and service interruptions
due to equipment failure, bad weather, suicides, driver error, and
passenger medical emergencies. In mid-June, heavy rain and winds
caused a shutdown of two of its five routes, significant delays on
the other three, and the complete shutdown of the two commuter rail
lines serving suburban Virginia. While some roads in the area were
damaged as well, none suffered the kind debilitating closures and
interruptions that Metro did. And as for the need to get the
federal workforce to the office, a Metro spokeswoman noted that
"Because nearly half of Metro's daily commuters are federal
government employees…delays could be less severe if large
numbers of them take advantage of the unscheduled leave option and
stay home." In other words, Metro's service can be improved if
federal workers don't go to work-so much for being an essential
service.
Beyond such posturing lies a legislative effort whose origins
sprang from an act of constituent service, and chief among the
constituents served is the Congressman himself. As originally
introduced in July 2005, H.R. 3496 was written to force a
resolution of a dispute between Mr. Davis and Metro over its plan
to sell 3.75 acres of land it owns beside a rail station to a
developer who wanted to incorporate the land into a large,
mixed-use development near Mr. Davis's home. Concerned about
traffic congestion and the displacement of suburban charm by urban
density, Mr. Davis threatened to do something about it. While most
Americans can only complain about encroaching development, Mr.
Davis can use his congressional powers to prohibit it, and H.R.
3496 was written to do exactly that. Specifically, Section 4(a) of
the bill prohibits Metro from selling the 3.75 acres in question
until it has submitted a detailed study of the proposed land sale
and planned development to Congress. But as Metro has since sold
the land to the developer, this legislative prohibition is
pointless, and all that remains of the bill is a massive federal
and local bailout of the faltering system.
In fairness, Metro confronts serious problems, chief among them a
legacy of mismanagement and high-cost operations, which was
described in great detail in a four-part series published in
The Washington Post in June 2005. As a consequence of its
many operating inefficiencies and the deep subsidies to its riders,
Metro is broke and has no funds to add to capacity, replace
unreliable rolling stock, or make other necessary repairs and
improvements. Although it has raised fares twice in the last two
years, the increases were modest and well below the cost increases
incurred by local motorists due to soaring gasoline prices.
Metro has also avoided opportunities to save money and improve
service through competitive contracting, due in part to its timid
management's unwillingness to confront opposition from its
unionized workforce. Although Metro fears contracting, the
communities it serves do not, and virtually all of the newer public
transit services in the Washington, DC, area are operated by
private contractors because the alternative is too expensive.
Another troubling aspect of this costly earmark is the regressive
nature of the spending policies the bill promotes. Notwithstanding
H.R. 3496's contention that subsidizing the daily commute of civil
servants is an essential national need, Washington area workers are
among the best paid in the nation. Whereas the median household
income for the entire nation was $44,684 in 2004, it was $88,133
for Fairfax County, VA, the most populous part of Mr. Davis'
congressional district. As such, Mr. Davis is proposing a costly
exercise in trickle up economics to compel Americans across the
country to subsidize the transportation needs of a small slice of
one of the nation's most prosperous communities. As the U.S. Census
Bureau reports, only 9.6 percent of Fairfax County residents and
4.2 percent of those in Prince William County, VA, use Metro or
another form of transit to get to work.
As troubling as these inequitable transfers are, Mr. Davis's H.R.
3496 also requires that, as a condition of receiving the $1.5
billion federal bailout, the communities in Metro's service area
raise their taxes (euphemistically referred to as a "dedicated
funding source" in H.R. 3496) to match the federal subsidy. In the
communities supportive of the plan, discussions have centered on an
increase in the sales tax to provide their share of the $1.5
billion, thereby compounding the regressive nature of the limited
benefits it would provide to a small segment of the area's
population.
While Representative Davis is justified in his concern about
Metro's poor performance as it struggles to serve a small fraction
of his constituents, H.R. 3496 would reward that poor performance
with a costly taxpayer bailout. Instead, Congress should force
fundamental market-based reforms on Metro by linking the
continuation of the system's existing federal subsidies to
reductions in operating costs, improvements in service, and an
aggressive program of competitive contracting similar to the
successful reforms implemented elsewhere. In recent years, Denver,
the Washington, DC, suburbs, and London, to name just a few, have
given up on the socialist transit model by implementing aggressive
contracting programs. Metro should join them.
Ronald D. Utt,
Ph.D., is Herbert and Joyce Morgan Senior Research Fellow
in the Thomas A. Roe Institute for Economic Policy Studies at The
Heritage Foundation.
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H.R. 3496: The Biggest Pork Barrel Earmark in History?
July 17, 2006 4 min read
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Ronald Utt
Visiting Fellow in Welfare Policy
Ronald Utt is the Herbert and Joyce Morgan Senior Research Fellow.
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Ronald Utt
Visiting Fellow in Welfare Policy
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