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Legislators hear experts blame understaffing, procurement rules, permitting and poor data for U.S. highway mega‑project cost overruns

Joint Interim Committee on Transportation Oversight · February 3, 2026
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Summary

At a Feb. 3 informational hearing, three national experts told Oregon legislators that understaffed DOTs, restrictive procurement, lengthy permitting and uneven data help drive mega‑project cost overruns. Panelists urged staffing up internal capacity, simplifying procurement and improving data access; the committee adopted its rules and signaled follow‑up oversight amid a $300 million shortfall.

EUGENE, Ore. — Oregon lawmakers on the joint interim Committee on Transportation Oversight heard national experts Feb. 3 say that chronic understaffing at state departments of transportation, procurement rules that limit competition, lengthy permitting and weak data systems help explain why U.S. highway mega‑projects often run over time and budget.

“State DOTs are understaffed,” said Zachary Liscow, an economist and law professor at Yale Law School. “They don’t pay enough for quality and there’s too much outsourcing. These choices end up being, penny wise, pound foolish.” Liscow summarized national survey and cross‑state analyses showing staffing levels and consultant use correlate with project cost and overruns.

Eric Wareham, a city and regional planning professor at the University of Pennsylvania…

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