Bend MPO reviews options for State Highway Fund distribution as revenues shrink

Bend, Ore. — The Bend Metropolitan Planning Organization’s Technical Advisory Committee on March 4 discussed how to allocate State Highway Fund (SHF) dollars for fiscal years 2028–2030 after the MPO learned the funding stream will be about $300,000 a year smaller than prior federal Surface Transportation Block Grant (STBG) levels.

Andrea Napoli, BIM and PEO senior planner for the MPO, told the committee that the MPO will bring final distribution scenarios to the policy board later this month and was “not necessarily asking for a formal recommendation” from the TAC but instead wanted “high level feedback” to shape those scenarios. Napoli said the region expects about $1.4 million a year in SHF dollars going forward, down from roughly $1.6 million under STBG.

The discussion focused on how much of the SHF dollars to continue directing to the City of Bend’s street preservation program — historically between roughly 45% and 48% of the MPO’s allocation — versus preserving a competitive project fund, planning/staffing support and a modest reserve. Napoli described the most recent three‑year distribution as: about 45–48% to City of Bend street preservation (roughly $700,000–$800,000 annually under the 2025–27 cycle), about 29–26% to the competitive call‑for‑projects (roughly $427,000–$465,000), about $350,000–$370,000 for MPO…