Behind-the-scenes maneuvers in the last two days have failed to produce much progress in the effort to arrive at an authorization level for Federal surface transportation and research programs through fiscal 2009. However, there are some signs of movement towards a compromise.

Transportation industry leaders met June 15 with White House Chief of Staff Andrew Card, Transportation Secretary Norm Mineta and Federal Highways Administrator Mary Peters to discuss the funding level. The Federal officials laid out their case for sticking with the Administration's number of $283.9. The industry representatives were divided on the issue with some, notably John Horsely of AASHTO, arguing for the Senate's number of $294.5 billion. Mr. Card hinted at a willingness to compromise by saying that if the Senate came to him with a number that a majority of Senate conferees (16) could support, discussions could start from there. He said he hasn't seen a number yet that has that support.

Senate conferees are discussing informally whether there is a potential compromise number that could draw the support of a majority of their group. With Democrats hanging tough as a group for the higher number, GOP members who support a compromise will need to come forward in search of a consensus. Sen. Jim Inhofe (R-OK), Chairman of the Committee on Environment and Public Works and leader of the Senate conferees, said yesterday a meeting would take place today (June 16) at which Senate conferees would discuss their options. Later in the day a key staffer said there would be no meeting. Confusion reigns as this is written as to how they will proceed.

In the meantime, very little substantive discussion is taking place at the staff level. If this week passes with virtually no progress towards an agreement, the prospects for completion before June 30 will be dimmer.

We will have further updates as events warrant.