On September 1, the House of Representatives voted under a suspension of the rules by a margin of 370 to 48 to pass the Continuing Appropriations and Extensions Act, 2027 or HR 6500 – a measure known as a Continuing Resolution or CR passed by the Senate on August 8 by a vote of 90 to 6 – to fund the federal government and extend surface transportation programs from October 1, the beginning of fiscal year 2027, through December 11. President Trump subsequently signed the CR into Law on September 2.
[Above photo by AASHTO]
This action would prevent a federal government shutdown on October 1 and continue Highway Trust Fund programs and annually appropriated general fund programs at prorated FY 2026 levels through that December date, according to analysis by the American Association of State Highway and Transportation Officials.
However, because that CR does not provide funding for the Division J advance appropriations programs contained within the Infrastructure Investment and Jobs Act or IIJA, AASHTO said no FY 2027 funding would be available on October 1 for key transportation programs such as the Federal-State Partnership for Intercity Passenger Rail grant program, the Bridge Formula Program, the National Electric Vehicle Infrastructure or NEVI formula program, and, among others.
AASHTO also noted that the CR also includes a provision precluding the White House Office of Management and Budget from finalizing its proposed Uniform Guidance rule (2 CFR 200) through at least December 11.
[Editor’s note: OMB said its proposed Uniform Guidance revisions seek to improve transparency, accountability, and oversight for how federal taxpayer dollars are used in the context of federal grantmaking in order to prevent wasteful spending and misuse or mismanagement of federal funds. While AASHTO supports the overall intent, the organization expressed concerns with termination and suspension authority, loss of procurement flexibility, and lack of clear guidance in a letter to OMB, and sought clarification that the proposed action does not alter, narrow, delay, or condition the statutory distribution and use of Federal-aid highway formula funds established by Congress.]
Rep. Sam Graves (R-MO) – chairman of the House Transportation and Infrastructure Committee – praised the passage of the CR while stressing that “passing a multi-year surface transportation reauthorization bill before the end of this Congress remains a top priority for me” and his committee.
“House passage of the continuing resolution was important to prevent any lapse in federal surface transportation programs and to ensure the continued operation of the federal government in general” he said in a statement.
Graves added that he remains committed to passing the BUILD America 250 Act (H.R. 8870), a five-year surface transportation reauthorization measure that House T&I approved.
“I look forward to moving this bill through the legislative process and working with the Senate to complete a long-term bill that invests in America’s roads, bridges, and other surface infrastructure, cuts red tape in the project process, and ensures that states have the certainty and flexibility to carry out the projects most critical to them,” Graves said.
“AASHTO applauds Congressional leadership for advancing legislation that will continue Highway Trust Fund support for highway, transit, and safety programs,” noted Russell McMurry, president of AASHTO and commissioner of the Georgia Department of Transportation, in a statement.
He stressed passage of the CR prevents program lapses that would undermine state departments of transportation and their ability to deliver vital transportation projects for their communities.
“With this short-term extension, supporting Congress in its effort to pass a long-term surface transportation reauthorization bill this year remains the ultimate goal,” McMurry emphasized. “It is critical that the next federal surface transportation bill preserves the programs on which state DOTs rely and builds upon the funding levels established in current law. We look forward to working with Congress on getting a long-term reauthorization bill across the finish line.”
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