What happened: Congress ended the year with little progress on Fiscal Year (FY) 2026 transportation appropriations, setting up a busy start to the New Year. A bill is expected to move through the Senate in early January, with potential House action soon after. Current appropriations sunset Jan. 30, 2026.

Congressional leaders reached agreement on overall totals for the FY 2026 transportation spending bill, but details have not been released.

Why it matters: Passing spending legislation will be an early test of the congressional appetite for bipartisanship ahead of next year’s surface transportation reauthorization efforts.

What’s next: The transportation spending bill is slated to be combined with other appropriations measures, and on track to pass both chambers in advance of the January deadline.

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