On September 30, the five-year surface transportation authorization bill, the Infrastructure, Investment, and Jobs Act (IIJA), expired. On September 2, Congress enacted a short-term extension of IIJA extending contract authority for Highway Trust Fund programs until December 11. However, Congress did not extend advanced appropriations, leaving a a $36.8 billion annual shortfall beginning on October 1, 2026.
The funding lapse affects a wide range of federal transportation programs that have relied on advance appropriations since enactment of the IIJA. As Congress considers both a long-term reauthorization bill and potential additional extensions, transportation stakeholders across the country are closely monitoring the impacts on project delivery, planning activities, and state and local transportation investments.