DALLAS – The Texas Department of Transportation (TxDOT), along with the 49 other state departments of transportation, were informed today that the federal Highway Trust Fund (HTF) is running out of money. The balance in the highway account of the HTF dropped sharply over the past two months, from $4.2 billion at the end of July to less than $1.4 billion at the beginning of September.

Until the situation is fixed, the Federal Highway Administration (FHWA) must slow the rate of reimbursements they make to the states. When Texas or any other state sends in a bill, the FHWA will reimburse the state its pro rata share, up to the amount they have. Currently, the FHWA is assessing how much they will have to slow down the reimbursement rate.

There is no quick or simple way for TxDOT, or any other state DOT, to quantify the exact impact of this action; therefore, until further clarification is received from the FHWA about the depth and duration of this unprecedented slowdown in reimbursements, the effect on TxDOT’s projects remains uncertain.