Transportation programs to face federal funding cuts
Despite Congress passing the Continuing Appropriations and Extensions Act, 2027, or HR 6500, to avoid a complete lapse in federal funding for transportation infrastructure projects, many popular funding programs could face major cuts next year.
The National League of Cities (NLC) estimates that as much as $36.8 billion in transportation funding gaps will occur after the Sept. 30 deadline passes.
This includes 25 competitive grant programs, such as the Better Utilizing Investments to Leverage Development (BUILD) grant program and the Safe Streets and Roads for All (SS4A) Grant Program.
“Regrettably, Congress’ transportation cuts will impact local governments more than most,” said Brittney Kohler, Legislative Director of Transportation and Infrastructure at the NLC. “Congress provided local governments with increased access to federal funding over the last five years in the IIJA primarily through grants, but now, with this 30 percent cut, local access to federal transportation programs drops considerably unless we can either encourage Congress to 1) supplement Division J funding or 2) fully reauthorize the transportation programs.”

