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Connecticut DOT outlines multi‑billion dollar construction pipeline and warns of Special Transportation Fund pressure

Finance, Revenue and Bonding · March 21, 2026
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Summary

Connecticut Department of Transportation officials told the Finance, Revenue and Bonding subcommittee that federal grants and a busy construction pipeline have driven up contractor payments but the Special Transportation Fund faces future revenue pressures that may require new statewide revenue decisions.

Connecticut Department of Transportation Commissioner Garrett Icolito told the Finance, Revenue and Bonding subcommittee that the agency's long-running design pipeline has shifted into construction, pushing annual contractor payments from about $1.3 billion a decade ago toward roughly $2.6 billion in 2026 and an estimated $3.0 billion in 2029.

Icolito said the department's success in securing federal formula and discretionary grants has helped fund the work but warned that the broader funding picture is uncertain because the federal five-year surface-transportation authorization expires Sept. 30. "We can't go backwards; we need at least the same level of funding adjusted for inflation," Icolito said, and he urged the state's congressional…

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