Markell

Gov. Jack Markell of Delaware delivered the first-ever
National Governors Association “State of the States”
address Wednesday at the National Press Club in Washington (Marshall Cohen/Medill)

 

WASHINGTON — National Governors Association Chairman Jack Markell of Delaware and Vice Chair Mary Fallin of Oklahoma said Wednesday that governors are deeply concerned the uncertain future of federal funding will make it difficult for states to write their own spending plans.

Markell, delivering his portion of the first-ever NGA “State of the States” address, stressed the importance of getting long term federal funding for transportation and other infrastructure projects.

Markell said states are pushing for more spending on infrastructure in a time when U.S. investment is falling behind that of other countries.

Even with the threat of federal sequestration on the horizon, Markell said the upkeep and expansion of transportation infrastructure will remain a priority for states across the country. He said states would continue to funnel money into transportation capital projects, despite being forced to cut spending in other areas across the board if the federal government sequesters its debt obligations.

If the White House and Congress do not agree on sufficient deficit reduction measures by early March, the government could default on its debt, leading to blind, automatic across-the-board cuts to programs, projects and the military.

Both governors devoted significant portions of their speeches to the need for more job growth nationwide.

Markell sees spending on infrastructure as more than just improving roads or rails. “One of the great things about transportation projects is you put people to work today on things that will help our future,” Markell said.

Breaking ground on capital projects, though, will be tough for states given the uncertainty of the federal budget. Construction projects of large scale cannot be undertaken with funding that is granted on a month-by-month basis, Markell said. Until a predictable budget can be achieved at the federal level, states will not know how much money they will received to help finance projects, or how much they can do and of what scale.

Gov. Fallin stressed the need for “flexibility and partnership” in the relationship between state and federal governments while the Congress and White House try to find a comprehensive solution to federal budget problems. Fallin said she does not want more unfunded mandates handed down to the states from the federal government. “Reducing the deficit by shifting costs to the states is not indicative of a good partnership,” she said.