TDOT outlines delivery gains, spot safety projects and $2 billion annual letting target while warning revenue shortfall

Tennessee Department of Transportation Commissioner Reid told the House Transportation Committee on Jan. 20 that TDOT has used recent appropriations and organizational reforms to accelerate project delivery and target safety and pavement work across the state. Reid said the department seeks "excellence in three key areas: program delivery, staff development and system modernization" and that "we're gonna press forward and get it done."

Reid credited the Transportation Modernization Act (TMA) and newly available recurring general‑fund dollars with enabling immediate work. He said the spot safety program was increased to $13,000,000 in recurring funding from a prior $8,000,000 and that those funds support signal upgrades, turn lanes and intersection improvements that typically cost $500,000 to $2,000,000. He described such projects as "small in size" with "huge impact," saying they often return "80 to 90% of the operational improvement."

On pavement, Reid said a $16,000,000 recurring increase plus one‑time and TMA funds allowed TDOT to advance 50 resurfacing projects for the coming year and add another 16 through efficiencies in heavy construction procurement. He highlighted the department's record contract lettings: $1.7 billion in 2023, $1.9 billion in 2025 and a projection of $2.0 billion for 2026, noting a target that "90% of the TMA dollars are on the street by 2029."

Deputy Commissioner Lori Lang told the committee that internal EPIC reforms ("empowering people, influencing culture") raised retention to 92% and reduced turnover from 17.8% in 2022 to 8% this year. Brian Ledford, head of TDOT's new Major Projects Bureau, said the TMA unlocked the department's ability to pursue megaprojects, citing King’s Crossing (described in the presentation as about $1 billion) and multi‑billion dollar choice‑lane projects in Nashville.

Reid warned that Tennessee's funding picture remains constrained: the department is roughly a 50/50 mix of federal and state funds. He noted the federal gas tax, at 18.4¢ per gallon (last changed in 1993), would be about 40.7¢ if indexed to inflation; Tennessee's state tax is 26¢ (approximately 33.3¢ if indexed). "The same dollars are buying fewer projects," he said, adding the department faces a tradeoff between new project delivery and maintenance as costs rise.

Reid described a new rural service patrol program funded at $16,700,000 to provide roadside assistance on rural interstates and major state routes, with Region 2 planned to receive the first deployment this spring. TDOT staff said the rollout will be phased by region over several weeks between deployments, with a goal of broad deployment within about six months depending on contractor capacity.

TDOT also outlined planning and grant work for transit and passenger rail. Deputy Commissioner Preston Elliott said TDOT administers mode‑specific grants across 95 counties, provided match dollars for federal grants, and released roughly $42,000,000 in recent transit grants; he noted a federal corridor planning award for a study of passenger rail linking Atlanta–Chattanooga–Nashville–Memphis.

The presentation concluded with an emphasis on continuing federal advocacy — including pushing for more formula funding in highway reauthorization — and on the need to evaluate recurring revenue options so the state does not "run the risk of falling backwards" to earlier spending levels. The committee adjourned after completing calendar business (HB 84864 set for special calendar; HB 2536 taken off notice).