Federal Funding Problems Cited as Tennessee Delays $400 Million in Projects

AASHTO Journal, 31 October 2014

In a sign of the trouble many states face from uncertainty about highway and transit funding out of Washington, Tennessee Transportation Commissioner John Schroer wrote his state’s General Assembly and congressional delegation to say he is delaying almost $400 million in infrastructure projects.

Schroer noted in his letter to lawmakers that the temporary government funding measure Congress passed in September only allowed money from federal programs to be obligated through Dec. 11.

Although Congress is expected to quickly extend that spending authority when lawmakers return for the lame duck session after the Nov. 4 elections, Schroer added that Congress has only provided revenue for Highway Trust Fund programs through next May.

“This piecemeal funding of projects and programs is having a significant impact on how and when state DOTs and MPOs deliver much-needed investment in our transportation networks,” Schroer wrote.

He made a pitch for Congress to fix federal funding problems: “I urge you to work with your counterparts in Congress to find common ground in developing long term transportation funding legislation that will allow us as Americans to remain leaders in transportation and thus support the strong economic prosperity we have so long enjoyed.”

Some lawmakers and industry officials have been pushing for Congress to address Highway Trust Fund issues in the lame duck session, but House GOP leaders have indicated they plan to tackle it early next year.

Schroer said the Tennessee Department of Transportation had to scale back future contracting “and re-prioritize which projects” TDOT contracts for from December through May.

He included a list of 12 projects that were ready for construction but shifted out of TDOT’s current fiscal year due to the uncertainty of federal funding, and 21 more that were poised for acquisition of rights of way but also pulled from the current-year pipeline.

Schroer also drove home the impact, saying the delayed projects “could be helping to modernize our transportation network and reducing congestion and making Tennessee a more attractive destination for economic expansion.” He added that delaying infrastructure upgrades also hurts the economy’s long-term competitive posture in international commerce.

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