Transportation Spending for FY 2026 Poised for Enactment

What’s happening: Congressional leaders and the Trump administration Jan. 29 came to an agreement on a path forward for five of the six remaining annual appropriations bills for Fiscal Year (FY) 2026, including transportation spending. The Senate is poised to pass the five-bill package Jan. 30, sending it back to the House for a vote before heading to the President’s desk, likely Feb. 2.

With government spending set to expire at midnight, Jan. 30, a short government shutdown lasting three days is likely. However, federal transportation construction programs will continue operating unimpeded.

For details on the transportation portions of the FY 2026 spending bill, read here.

Why it matters: While the 2021 bipartisan infrastructure law authorized funding for five years for core highway and public transportation programs, Congress still needs to officially ‘spend’ those resources via the annual appropriations process.

What’s next: Once the package clears the Senate and House, President Donald Trump is expected to sign the bill into law, and Congress is expected to turn its attention to the next multi-year, surface transportation reauthorization bill due Oct. 1, 2026.