The BUILD America 250 Act authorizes billions of dollars in funding for highways, bridges, transit, and rail programs through fiscal year 2031 to support infrastructure construction and safety improvements across the United States. Key provisions include establishing new competitive grant programs for rural and urban areas, increasing funding for bridge repairs, and creating a pilot program that allows certain states to receive transportation funds as a single lump sum. The bill also streamlines environmental reviews and project approvals to speed up construction while adding specific requirements for safety, accessibility, and disadvantaged business enterprise participation. Additionally, the legislation introduces new fees on electric and hybrid vehicle registrations to generate revenue for the Highway Trust Fund and sets stricter standards for roadside safety hardware.
The No TAP Act of 2026 modifies federal surface transportation laws to prohibit the transfer of funds designated for specific highway projects to other uses. This legislation directly affects state and local transportation departments by removing the ability to move money set aside for certain infrastructure initiatives into their general transportation pools. The bill achieves this by amending the United States Code to strike existing clauses that allowed for the transferability of these specific funds and reorganizing related subsections. Consequently, funds earmarked for particular projects must remain dedicated to those projects rather than being reallocated by state officials.
The LIFT Act creates a new tax incentive for states and municipalities by allowing them to receive a direct credit from the federal government on interest payments made for specific infrastructure bonds. To qualify for this credit, the bonds must be used entirely for capital projects or maintenance, and the interest would normally be tax-exempt, with the credit amount varying by the bond's maturity date. The legislation also clarifies rules for refinancing these bonds and adjusts tax limits for financial institutions that issue certain types of tax-exempt debt. These changes are designed to lower the cost of borrowing for local infrastructure projects while maintaining strict guidelines on how the funds can be used.
The Gas Tax Suspension Act temporarily eliminates the federal excise tax on gasoline and diesel fuel for purchases made between the date of enactment and a specified end date. To prevent this tax break from reducing government revenue, the bill requires the Treasury Secretary to transfer money from the general fund to the Highway Trust Fund and the Leaking Underground Storage Tank Trust Fund to make up for the lost tax income. The tax holiday is set to last for at least 90 days, but the President has the authority to extend it to 180 days if economic conditions warrant it.
The Surface Transportation Research and Development Act of 2026 updates federal programs to extend their funding periods through fiscal year 2031 and establishes a new Transportation Statistics Coordination Council to oversee data collection across the Department of Transportation. The bill also creates a study on the safety impacts of new headlamp technologies and requires a strategy to increase the use of reclaimed asphalt in road construction. Additionally, it expands rail research to address safety challenges in modern commuter and freight systems while ensuring data standards remain consistent.
This bill amends federal law concerning the distribution of highway funds to states. It establishes a new minimum funding guarantee, ensuring that each state receives at least 0.5 percent of the total funds allocated through the federal highway apportionment formula. This change provides a baseline level of federal funding for state highway programs.
The Gas Prices Relief Act of 2026 would temporarily suspend federal gasoline taxes and the Leaking Underground Storage Tank Trust Fund financing rate from its enactment until October 1, 2026, aiming to reduce costs for consumers who purchase gasoline. Specifically, it sets the federal excise tax on gasoline to zero during this period. To prevent funding shortfalls, the bill directs the Treasury to transfer equivalent amounts from the general fund to the Highway Trust Fund and the Leaking Underground Storage Tank Trust Fund. It also includes a policy that the tax reduction should be passed on to consumers and empowers the Secretary of the Treasury to ensure this, potentially through monetary penalties for producers and dealers who do not reduce prices.
This bill, known as the Gas Tax Reduction Act, directs the federal government to withhold 8% of transportation funding from any state that raises its gasoline tax to $0.50 per gallon or higher. The affected states would receive reduced federal highway and transportation funds until they lower their gas tax below the specified threshold. The mechanism automatically triggers the withholding on the first day of each fiscal year following the tax increase, without requiring additional federal approval. This policy change directly impacts state budgets and transportation infrastructure projects by linking federal funding to state-level gas tax decisions.
This bill amends the FAST Act to adjust funding limits for federal permitting improvement programs. It directly affects agencies and projects that rely on these specific funding allocations under the existing law. The key provision replaces a $200 million funding cap with a $50 million cap in two sections of the FAST Act. These changes take effect on January 1, 2027, or upon enactment, whichever occurs later.
The NO TOD Act prohibits the use of federal transportation funding for transit-oriented development projects, which are commercial or residential developments located near public transit. This legislation removes eligibility for the Transportation Infrastructure Finance and Innovation Act (TIFIA) program and eliminates certain planning initiatives that previously supported such developments. The changes apply to projects applying for funding after the bill is enacted, directly affecting developers, transit agencies, and local governments seeking federal assistance for mixed-use projects near transit stations.
