States Falling Behind On Road Maintenance Needs As Costs Increase

(Source: MIRS.news, Published 08/10/2026) (CHICAGO) – Thirty-three states are falling short of their own goals for maintaining roads, bridges and other transportation infrastructure as construction costs rise faster than the revenues traditionally used to pay for repairs, lawmakers were told earlier this month.

State fuel tax receipts grew about 50% between 2003 and 2023, while construction costs nearly tripled over the same period, David Draine of the Pew Charitable Trusts told lawmakers during a National Conference of State Legislatures (NCSL) panel.

A majority of states expect either a funding shortfall, an infrastructure condition shortfall or both over the next decade, based on projections in their transportation asset management plans, Draine said.

The problem is compounded by years of deferred maintenance. When states delay preserving roads and bridges, the need does not disappear and repairs can become significantly more expensive, leaving future taxpayers with the bill and potentially crowding out other state spending priorities.

At the same time, the gas tax that states have traditionally relied on to fund transportation is becoming less dependable as vehicles become more fuel efficient and electric vehicles account for a larger share of those on the road.

States have responded by increasing fuel taxes, imposing or raising fees on electric and hybrid vehicles and considering other options, including expanded tolling and charges based on the number of miles a vehicle travels.

Draine said those efforts have generally been incremental rather than based on identifying the full size of a state's transportation funding gap and finding enough revenue to close it.

The funding challenge persists despite increased investment by states and the federal government.

Caroline Sevier of the American Society of Civil Engineers said the nation's overall infrastructure grade reached a “C” for the first time in the organization's most recent report card, reflecting improvement following state investments and an infusion of federal money through the Bipartisan Infrastructure Law.

But the nation's overall infrastructure investment gap continues to grow and is now projected at $3.7 trillion over the next 10 years, Sevier said. Rising costs are driving part of the gap, along with growing infrastructure needs in areas including water and energy.

“There is still a lot of room for improvement,” she said.

Illinois offers one example of how states have tried to address the problem.

Holly Bieneman, director of the Office of Planning and Programming at the Illinois Department of Transportation, said that a decade ago the state did not have enough money available to take full advantage of federal transportation grants.

Illinois lawmakers responded in 2019 with a capital package that doubled the state's motor fuel tax, indexed it to inflation and added $50 to vehicle registration fees.

Since then, Illinois' capital program has doubled in size, Bieneman said.

“We made a lot of good progress, but still have a long way to go,” she said.

The state continues to face challenges, including a declining transportation workforce that has forced Illinois to rely increasingly on outside consultants.

Bieneman said lawmakers were able to make the case for higher transportation taxes and fees in part because residents could see the deterioration of the state's roads themselves and data showed what would happen without additional investment.

“I think that really helped to make our case,” she said.

Panelists also emphasized that continued maintenance is cheaper in the long run than allowing roads, bridges and other infrastructure to deteriorate until major reconstruction is necessary.

Draine said deferred maintenance ultimately shifts costs to future taxpayers while making it harder for states to fund other priorities and prepare transportation systems for extreme weather and other future risks.