Vermont to Cut Road Paving Nearly in Half Amid Budget Strains

April 7, 2025
Officials say reduction signals challenges in transportation funding

Vermont is set to significantly reduce the number of state-owned road miles it repaves in the coming year, raising concerns about long-term infrastructure sustainability.

According to the Vermont Agency of Transportation, just 125 miles are scheduled for repaving in the 2026 fiscal year — a nearly 45% drop from the 220 miles expected by June. Lawmakers say this reduction, the lowest in years, highlights deep challenges in transportation funding.

“This is a symptom of a broader issue,” said Sen. Richard Westman, chair of the Senate Transportation Committee. “We’re in a bad place.”

Funding shortfalls stem from declining gas tax revenues and surging construction costs, up to 40% in some cases, according to a report from VTdigger.org. As vehicles become more fuel-efficient and electric vehicle ownership grows, gas tax collections continue to shrink.

At the same time, the state’s 10-year paving cycle goal is slipping, with projections suggesting intervals could stretch to 25 years.

Transportation Secretary Joe Flynn said the agency prioritized a “responsible budget” without raising taxes, but acknowledged paving often gets cut first due to federal funding rules.

Lawmakers are considering measures to stabilize funding, including capturing all vehicle sales tax revenue for transportation and exploring new fees for electric vehicles and delivery trucks.

Without new revenue, Vermont could forfeit hundreds of millions in federal dollars.

Source: VTDigger.org, Ground.news

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