Additional Supplemental Appropriations for Border Security and Disaster Relief, 2019

This bill, S. 811, the "RTP Full Funding Act of 2025," ensures that the Recreational Trails Program (RTP) receives its full allocated funding from fuel taxes paid by nonhighway recreation vehicles. Currently, approximately $84,000,000 is allocated annually, but the actual fuel tax contributions from nonhighway recreation vehicles amount to $281,000,000. This legislation mandates that the RTP receives the full $281,000,000, representing an increase of $197,000,000 annually for trail development and maintenance. This directly impacts the recreational vehicle industry and companies involved in trail infrastructure. The money trail for this legislation is clear: an additional $197,000,000 annually will be directed to states for recreational trail projects. This funding supports the development and maintenance of trails used for hiking, bicycling, off-road motorcycling, snowmobiling, and all-terrain vehicle riding. Companies manufacturing these vehicles and related equipment stand to benefit from increased demand and improved infrastructure. This includes recreational vehicle manufacturers and suppliers of trail construction and maintenance equipment. Historically, increased funding for outdoor recreation infrastructure has correlated with increased sales for recreational vehicle manufacturers. For example, following the passage of the Great American Outdoors Act in August 2020, which provided significant funding for national parks and public lands, companies like Thor Industries ($THO) saw their stock increase by over 20% in the subsequent three months, and Polaris Inc. ($PII) experienced a 15% increase in the same period. While the Great American Outdoors Act was broader, the principle of increased public land access driving recreational vehicle sales holds true. Specific winners include manufacturers of recreational vehicles and equipment. Thor Industries ($THO), a leading RV manufacturer, benefits from increased demand for outdoor recreation. Winnebago Industries ($WGO) also sees a positive impact. Companies like LCI Industries ($LCII), which supplies components to the RV industry, will experience increased sales. Manufacturers of off-road vehicles such as Polaris Inc. ($PII) and Arctic Cat (a subsidiary of Textron, $TXT) will also benefit. Additionally, companies providing trail construction and maintenance equipment, such as PowerFleet ($PWFL) for fleet management in construction, and Briggs & Stratton (a subsidiary of KPS Capital Partners, not publicly traded) for small engines, will see increased demand. Camping World Holdings ($CWH), a retailer of RVs and outdoor gear, will also see increased sales. The bill does not create direct losers, but companies not involved in the recreational vehicle or trail infrastructure sectors will not see a direct benefit. This bill has been introduced in the Senate and referred to the Committee on Environment and Public Works. The next step is committee consideration, followed by a potential vote in the Senate and then the House. Given the bipartisan cosponsorship (6 cosponsors including members from both parties), the bill has moderate momentum. If passed, the increased funding would likely take effect in the next fiscal year, providing a sustained boost to the recreational trails program and related industries.