It will come as no surprise that the nation's most important transportation research organization considers security to be the government's chief transportation priority since the terrorist attacks on Sept. 11, 2001.

In its recent report, Critical Issues 2002, the Transportation Research Board (TRB) of the National Academies in Washington, D.C., acknowledges both that transportation has become a target because it concentrates people in aircraft, in terminals and on vehicles and that enhancing transportation security "will be difficult and costly, but necessary." Although the TRB urges the adoption of new security technologies, operations and strategies, it has not offered specific suggestions.

In its report, the research board also addresses the problem of congestion in the transportation system, which is worsening as demand outstrips capacity. It estimates that delays due to air and roadway congestion cost an estimated $75 billion annually in lost time and wasted fuel.

The report notes that public agencies in the United States invest more than $30 billion annually to maintain highway and transportation infrastructure. Despite that large sum, the board observes, the U.S. Department of Transportation says that funding increases in recent federal legislation for highway and transit systems have fallen short of meeting the needs for upkeep. To deal with that problem, the board recommends that transportation agencies change their focus from building and maintaining infrastructure to managing and operating capital assets for maximum public benefit.

The board also calls for revisiting the method of financing public transportation needs. It notes that taxes on fuel have financed most of the nation's highway and transit facilities. But it cautions that in the long term, fuel-tax revenues are threatened by the growth in tax-exempt additives such as ethanol, increased fuel efficiency and the development of propulsion technologies that are not based on gasoline. Although some jurisdictions have begun moving away from user fees to pay for transportation, the TRB suggests that the adoption of alternative methods such as general and sales taxes would be more sensitive to changes in economic and political priorities.

The report also expresses concerns that consumer benefits derived from transportation deregulation are being eroded by industry consolidation. Although the partial deregulation of transportation industries has resulted in lower costs and expanded services, ongoing reductions in the number of airlines and railroads may be leading the industry once again toward insufficient competition. Yet the government has been reluctant to oppose some mergers, the report suggests, because it wants to avoid the failure of venerable, well-established companies and the resulting impact on shippers and travelers.

Finally, the report makes a pitch for more funding for transportation research, noting that expenditures on research and development are out of balance with national needs. Researchers say that although transportation's share of GDP is nearly equal to that of health care, the number of federal dollars devoted to health care research is 10 times greater than the amount earmarked for transportation. (See accompanying chart.) The report specifically calls for research into such areas as intelligent technologies for traffic operations; more efficient, less-polluting vehicles; and new construction techniques for building transportation infrastructure.