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Witnesses tell subcommittee discretionary grants are slow; states rely on formula dollars to deliver projects
Summary
AASHTO and state DOT advocates said formula funding from IIJA spends out far faster than discretionary competitive grants, a gap that affects project delivery and local planning.
State DOTs and their national association told the House Subcommittee on Highways and Transit that formula apportionments under IIJA deliver results faster and more predictably than discretionary competitive grants.
AASHTO Executive Director Jim Timon told members that Congressional Budget Office estimates show an estimated 67% spendout of formula dollars provided to states in the first two years after allocation, compared with a 1%–7.4% spendout rate for discretionary grants in the same period. Timon and several…
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