Sponsors (4)
The bill increases predictability and ties more highway funding to states' historical and current tax contributions—benefiting states that pay more into the Highway Trust Fund—but shifts dollars away from some states, raising equity concerns and risking project delays for communities that lose funding.
State governments (and their residents) get apportionments that combine historic FY2012 shares with recent highway-user tax contributions, directing more funds to states that pay more into the Highway Trust Fund.
State governments and local communities gain greater funding predictability because each State is guaranteed at least 95% of a formula share tied to current tax payments, reducing the risk of sudden drops in road and transit funding.
State transportation agencies obtain improved administrative certainty from a fixed annual apportionment date (October 1), helping with budgeting and project planning.
States with relatively low FY2012 shares may see reduced federal highway funding compared with recent-formula levels, potentially forcing cuts or delays in local projects.
Linking minimums to estimated Highway Trust Fund tax payments favors higher fuel/highway-user tax states and can divert funds away from lower-paying states that still need infrastructure investment, disadvantaging low-income and rural populations.
Changing the apportionment formula can complicate multi-year project planning for states that lose funding, potentially delaying road improvements and affecting construction and transportation workers.
Based on analysis of 4 sections of legislative text.
Revises the formula for distributing specified federal highway formula funds so each state’s allocation is based on a 2012-share anchor and at least 95% of an amount tied to recent Highway Trust Fund tax-payment shares.
Official title: Modify a provision relating to adjustments of certain State apportionments for Federal highway programs, and for other purposes.
Introduced March 3, 2026 by Rafael Edward Cruz · Last progress March 3, 2026
Changes how federal highway formula funds are calculated and distributed to states starting in FY2027, replacing the current apportionment method with a two-step formula that anchors allocations to each state’s 2012 share and then adjusts upward so every state receives at least 95% of an amount tied to its most recent share of Highway Trust Fund tax payments (excluding the Mass Transit Account). The Secretary of Transportation must carry out the apportionments each October 1 under the new method for a specific set of surface transportation formula programs.