The House Appropriations Committee appropriates funds for the Virginia Department of Transportation to support the maintenance, planning, repair, and construction of Virginia’s roads and bridges with the goal of enhancing safety, reducing congestion and supporting economic development throughout the Commonwealth.
Budget Overview
The FY 2026 appropriation for the Department of Transportation includes $7.5 billion in appropriations to support the agency operations and an additional $1.0 billion in transfer payments which are transferred to the regional transportation authorities to support their regional projects.
Out of the $7.5 billion in direct appropriations, $3.0 billion is for road maintenance and operations and $3.0 billion is allocated for the construction program. The remaining funding is allocated for debt service, toll facility operations, administration and other programs.
How are Transportation Projects Funded?
The Virginia Department of Transportation provides a detailed overview on how transportation projects are funded. The Commonwealth Transportation Board, a 17-member policy advisory board appointed by the Governor, allocates funding for all transportation projects including road improvement projects and operations using a variety of processes.
The Commonwealth Transportation Board updates the Six-Year Improvement Program for transportation projects annually. This document contains all planned spending on transportation projects over 6-years across all modes. This plan funds transportation projects that are selected through the state’s prioritization process, referred to as SMART Scale. Projects are evaluated and selected for funding based on a number of factors, such as safety, congestion reduction, accessibility, land use, economic development, and impact on the environment.
Specifically for roads, funding is first allocated to the maintenance of existing infrastructure. After the needs of existing infrastructure have been met, the Virginia Department of Transportation distributes funding to the following purposes: State of Good Repair of structures and pavement (30%); High-Priority Projects Program for key statewide needs (20%); Highway Construction District Grant Programs (20%); Interstate Operations and Enhancement Program (20%); and, Virginia Highway Safety Improvement Program (10%).
Program / Policy Highlights
- Interstate 81 Corridor Improvement Program
Invested $70.0 million in FY 2025 and $175.0 million in FY 2026 from the general fund. VDOT’s FY 2025 six-year plan assumed $3.4 billion to support increased capacity along I-81 from FY 2025 to FY 2030
- I-64 Widening Project
Estimated total cost for widening I-64 widening from Richmond to Hampton Roads is $750 million
- Toll Relief in Hampton Roads
The 2024-26 biennial budget includes $101 million general fund for additional toll relief in Hampton Roads through 2036
- Repair of Special Structures
Chapter 327 of the 2025 Acts of the Assembly authorizes the Commonwealth Transportation Board to issue revenue bonds of up to $1 billion, not more than $200 million in a single year, to expedite the repair of special structures in Virginia.
Reports and Presentations
Resources and Deep Dives
Staff Contact
