Issue / Federal Funding
Federal, state, and local governments all play a significant role in funding $300 billion in annual transportation spending. The federal government, which funds about a third of the system, supplies important capital funding for highways, transit systems, airports, waterways, and ports while also operating the nation’s air traffic control system. State and local governments augment federal spending with their own to invest in and operate their transportation networks. Federal transportation law dictates how and where transportation is spent. Local funding and finance rely on a broad range of revenue sources, from ballot box measures to tolling and VMT fees.