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Lawmakers hear that Vermont's Transportation Fund faces long-term pressure and a looming federal-match gap
Summary
At a joint hearing, agency presenters told the House Transportation and Ways & Means committees that fuel-based revenue is stagnating, construction costs have risen sharply and a projected $33.4 million state match shortfall threatens the ability to draw federal funds; an updated forecast and further committee review are expected.
A joint hearing of the House Transportation Committee and the House Ways & Means Committee was told that Vermont's Transportation Fund faces structural revenue pressure and rising costs that threaten maintenance and capital plans.
Unidentified Speaker 3, the agency presenter, told members that federal dollars account for a large portion of transportation funding and that state revenue sources have mixed trends: gasoline and diesel tax receipts are declining while the motor vehicle purchase-and-use tax has been a growing source. "With federal funding, there's often a funding match," the presenter said, adding that federal funds made up roughly half of the agency's FY26 funding…
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