Urgent Call for Infrastructure Funding as Deadline Approaches

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As the expiration date for the U.S. federal surface transportation law nears, the Associated General Contractors of America urges Congress to act on the BUILD America 250 Act, a $580 billion initiative aimed at securing long-term funding for crucial infrastructure projects.

With just under two months left before the expiration of the U.S. federal surface transportation law on September 30, the Associated General Contractors (AGC) of America has raised alarms about the increasing uncertainty surrounding future infrastructure funding. Central to this discussion is the BUILD America 250 Act, a proposed five-year, $580 billion transportation reauthorization bill designed to allocate funding and establish policy guidance for highways, bridges, transit systems, rail programs, and transportation safety initiatives through the fiscal year 2031.
The legislation successfully passed the House Transportation and Infrastructure Committee in May with a bipartisan vote of 62-2; however, it remains stalled, awaiting action from the full House and has not yet progressed through the Senate. This delay has sparked heightened anxiety throughout the construction sector, with contractors, labor organizations, and transportation stakeholders expressing concerns that a lapse in long-term funding authority could disrupt ongoing projects, jeopardize jobs, and hinder economic growth.
AGC officials have consistently warned in recent weeks that Congress must take action before the current authorization expires to avoid fostering uncertainty across the infrastructure sector. Surface transportation bills represent some of the most crucial infrastructure legislation enacted by Congress, as they set federal funding levels for highway construction, bridge rehabilitation, public transit, freight networks, rail programs, and safety initiatives. States depend on these multi-year authorizations to strategically plan and execute significant capital projects.
The BUILD America 250 Act aims to maintain funding for essential transportation programs while also significantly investing in bridges, freight corridors, rail systems, and highway safety. Proponents of the legislation argue that investment in transportation transcends mere infrastructure, as it also bolsters economic competitiveness, freight movement, business productivity, and job growth. According to AGC, highway construction is currently one of the most robust segments within the U.S. construction market, particularly as several private-sector construction categories exhibit slower growth. Public transportation infrastructure initiatives have played a vital role in sustaining construction activity, stimulating demand for construction materials and equipment, and creating jobs across nearly all states.
Over the past year, construction employment has increased by 64,000 jobs, with substantial growth observed in the heavy and civil engineering construction sector, which is particularly reliant on highway, bridge, and transit funding. The legislative journey of the BUILD America 250 Act has become complicated by political debates regarding federal transportation priorities. The Trump administration had proposed cuts to mass transit funding, the elimination of certain grants for electric vehicle infrastructure, and a restructuring of federal transportation spending programs. These proposals have drawn significant opposition from transit advocates and industry organizations, who have urged lawmakers to reject any reductions in transit funding.
As Congress continues to debate future priorities, the absence of a legislative timetable has amplified fears that lawmakers may miss the September deadline and be compelled to rely on a temporary extension. Some industry leaders have suggested that Congress could avert an immediate funding crisis through a short-term extension of the existing law. However, AGC contends that such a solution would only defer uncertainty rather than provide a definitive resolution.
Transportation agencies typically plan their projects years in advance, meaning that when uncertainty looms, it can create a ripple effect throughout the construction supply chain. Agencies often delay project approvals, and contractors may hesitate to make significant investments. Consequently, projects could face delays or be postponed altogether. The procurement of construction materials such as cement, concrete, steel, and aggregates could slow down, leading to reduced workloads for engineering firms, equipment suppliers, and contractors, while communities awaiting infrastructure enhancements may see upgrades pushed further into the future.
AGC chief economist Ken Simonson has cautioned that the current gains in construction employment could diminish if lawmakers fail to provide long-term certainty before the impending deadline. Heavy and civil engineering employment, which encompasses many highway and transit workers, is particularly susceptible to the ramifications of a lapse in federal support. Compounding the frustration within the industry is evidence that voters overwhelmingly desire Congress to finalize the legislation. A nationwide survey conducted by AGC in partnership with Morning Consult revealed that 78 percent of voters want Congress to pass a new highway, bridge, and transit funding bill before September 30. The survey, which included over 10,000 voters, also indicated that 78 percent believe passing a transportation bill on time should be a national priority, while 76 percent stated they would be more inclined to support elected officials who facilitate the enactment of a new bill.
Jeffrey Shoaf, CEO of AGC, emphasizes that lawmakers should heed the poll results. "The overwhelming support for a new bill should be seen as a bipartisan call on the House of Representatives to pass Build America 250," he stated. "The House committee has taken the initiative; now the full House must act. The polling indicates that Congress has an opportunity to unite the country by investing in a bill that creates jobs, enhances safety, and fosters economic growth." The survey also revealed widespread dissatisfaction regarding current transportation infrastructure. More than half of respondents reported experiencing issues with roads, bridges, or traffic in the previous two months, while 27 percent noted that their vehicle had sustained damage from a pothole. In response to these concerns, AGC has launched a nationwide advocacy campaign called America’s Moving Forward, aiming to educate voters and lawmakers about the advantages of long-term transportation funding. This campaign includes digital advertising, social media outreach, and grassroots engagement in key congressional districts, generating over 30,000 letters directed to members of Congress.

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