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Port Orchard mayor warns federal highway changes could delay local transportation projects
Summary
Mayor Putansu told the Feb. 11 council that leadership changes and policy uncertainty at the Federal Highway Administration may pause or slow reimbursements and approvals for multiple locally funded transportation projects, potentially affecting cash flow and schedules.
Port Orchard — Mayor Putansu told the Port Orchard City Council on Feb. 11 that recent discussions with the offices of the city's federal delegation raised concerns about federal transportation funding processes that could delay reimbursements and approvals for several local projects.
The mayor said meetings with a congressional and a senatorial office signaled uncertainty at the Federal Highway Administration, which could disrupt reimbursements the city depends on for work already performed. "We have five awards and four projects with federal transportation funding," Putansu said. He listed three projects already under contract — the Bay Street Pedestrian Path, the Bethel‑Lincoln Roundabout and the Bay Street road design — and said two other awards not yet under contract (a Bay Street roadway construction award for $2.2 million and the Bethel roundabout award) were paused and may face additional review.
Putansu said the Bay Street design work is about 60% complete and that the city has drawn $200,000 of a $1 million award for that design; the city must perform work and then seek reimbursement from the federal government, putting potential strain on cash flow if reimbursements are delayed. He said the city's WSDOT contact indicated project approvals may not be a high priority as the federal agency reorganizes and that projects tied to climate or equity initiatives could be at greater risk of additional review.
The mayor emphasized that day‑to‑day city operations are not currently affected, but he warned that delays in federal reimbursements or approvals could affect timing and cash flow for ongoing and planned transportation work. Council members were notified of the risk and staff indicated they will continue to monitor communications with federal and state agencies.
