In one day, Tennessee loses $190 million in federal highway funding

Tennessee can find solace in the fact that they are not alone. With SAFETEA-LU expiring on Sept. 30, the state lost $190 million in federal funding for highway and bridge projects.

Several other states faced the same demise due to a requirement in SAFETEA-LU that DOTs would lose authorized funds if those dollars were not committed to a project by Sept. 30.

“[We] are now going to have to totally reprioritize things,” Paul Degges, chief engineer with the Tennessee Department of Transportation, told Tennessean.com.

Degges added that the four largest metropolitan areas in the state will lose the most because they are the ones that carry the most expensive projects. Tennessee receives about $800 million in federal funds each year, and took in an additional $500 million this year behind the American Recovery and Reinvestment Act.

With Congress wrapped in healthcare reform talk, the extension of SAFETEA-LU has been delayed. The House passed a three-month funding cover last week, but the Senate has yet to act.