ABSTRACT
For years, states have struggled with chronic gaps between transportation revenues and investment needs due to aging infrastructure, cost inflation, and declining motor fuel tax revenue. States have confronted constrained resources in the face of changing demographics and growing demand and have, as a result, developed a wide array of approaches to providing transportation funding and financing options including state fuel taxes, vehicle fees, sales taxes, and tolls. Shifts in the makeup of state highway program revenue sources over the past several years reflect changing dynamics: bond revenue and state revenue have increased while highway user fees and federal investments have declined. Here, Howard discusses how states are advancing revenue measures and options for the future.