Maryland’s draft six-year transportation plan approaches $22 billion, with significant investments across the transportation network. But for counties and municipalities, the plan also confirms a looming funding cliff, with Highway User Revenues dropping by nearly $100 million in fiscal 2028.
The Maryland Department of Transportation’s draft fiscal 2027-2032 Consolidated Transportation Program lays out $21.93 billion in capital spending over six years. The CTP serves as Maryland’s capital budget for transportation projects and local transportation funding.
MDOT will take the draft plan to every county and Baltimore City this fall before submitting a final CTP with the governor’s budget in January. Those meetings give local leaders and residents a chance to address project priorities, funding changes, and unfunded work.
Most of the Money Is Already Committed
The State Highway Administration accounts for $10.15 billion of the capital plan, including Highway User Revenues and other local aid. The plan also includes $5.76 billion for the Maryland Transit Administration and $3.30 billion for the Washington Metropolitan Area Transit Authority.
MDOT says safety, system preservation, and better use of existing assets guided the draft. With resources constrained, the Department says it deferred projects, eliminated others, and reduced project scopes across every transportation mode to make room for higher-priority investments.
The Transportation Trust Fund must cover debt and day-to-day operations before it pays for capital projects. MDOT projects $3.2 billion in debt service and $21.7 billion in operating costs over the next six years, with nearly two-thirds of operating spending going toward transit.
The federal Infrastructure Investment and Jobs Act expires at the end of September 2026. Congress has not settled the next authorization, leaving future federal funding uncertain at a time when MDOT expects $9.5 billion in federal aid over the six-year plan.
Local Road Funding Falls Nearly $100 Million in One Year
Highway User Revenues fall from $428.8 million in fiscal 2027 to $334.4 million in fiscal 2028, a nearly $100 million reduction in local transportation funding in just one year.
The six-year HUR program also comes in $104.7 million below the previous CTP. That comparison covers the full plan, while the $94 million figure captures the drop from fiscal 2027 to fiscal 2028.
HUR provides Baltimore City, counties, and municipalities with support for local roads and bridges. The grants fund repair, maintenance, replacement, and other transportation work, and final distributions depend on actual transportation revenues.
Current law drives most of the fiscal 2028 drop. The local share of the Gasoline and Motor Vehicle Revenue Account falls from 20% to 15.6% beginning in fiscal 2028, reversing the temporary increases that remain in place through fiscal 2027.
The timing makes the drop particularly difficult. As previously reported on Conduit Street, a recent Pew analysis found Maryland identified approximately $5.9 billion in long-term roadway maintenance needs against $4.7 billion in planned spending, leaving a projected $1.17 billion gap.
Pew’s figures come from Maryland’s 2022 Transportation Asset Management Plan and do not capture all transportation revenues added since then. But the new CTP makes clear that the underlying pressure has not gone away.
MDOT says construction and operating costs continue to increase while transportation revenues remain uncertain. The Department describes the fiscal environment as the “new normal” and says those constraints forced it to defer or eliminate projects and reduce scopes throughout the capital program.
The CTP also places preservation near the top of MDOT’s priorities, citing the need to protect existing infrastructure and extend asset lifespans. In fiscal 2026, the State resurfaced 154 lane miles, performed preventive maintenance on another 490 lane miles, and treated 644 lane miles.
Counties face the same maintenance equation across the local network, but with less support coming in fiscal 2028. Local governments still need to resurface roads, repair bridges, maintain signals, clear snow, and address safety problems.
When State support falls, local budgets must cover more of that work, delay projects, or reduce their scope. Delaying maintenance carries its own cost, as Pew warns that growing maintenance backlogs can lead to more expensive repairs over time.
Local Transit Funding Also Matters
The CTP also maintains capital support for Locally Operated Transit Systems (LOTS), which provide transit service in rural and small urban jurisdictions across Maryland. The program funds buses, equipment, facilities, preventive maintenance, and other local transit needs while helping jurisdictions access federal funding.
MDOT increased the LOTS capital allocation by $7.4 million from the previous CTP by adding a new program year and making other adjustments. The project list includes replacement and expansion buses, transit facilities, technology, passenger ferries, and preventive maintenance across local systems.
Local systems provide service outside MTA’s core network and depend on State and federal assistance to replace vehicles, maintain facilities, and keep service operating.
Transportation Revenues Still Struggle to Keep Pace
The CTP also shows why the HUR problem extends beyond a single year. Revenue packages enacted in 2024 and 2025 stabilized the Transportation Trust Fund, but MDOT says those changes left significant challenges as costs continue to rise.
Most transportation revenue sources show little or no growth over the six years. Even the motor fuel tax, projected to generate $8 billion, faces pressure as declining fuel consumption limits revenue growth.
That leaves Maryland trying to maintain an aging transportation network with revenues that struggle to keep pace with its costs. The new CTP adds funding, but MDOT’s own financial outlook shows the broader transportation funding challenge remains unresolved.
Projects Added, Delayed, and Cut
Several costly projects remain funded, and MDOT added $348.7 million in projects to the construction program.
The plan includes $1.38 billion for Baltimore Light Rail modernization, including new vehicles, train control systems, power substations, station improvements, and maintenance facilities.
Other significant investments include continued work on the Purple Line, US 15 in Frederick County, I-81 in Washington County, I-97 in Anne Arundel County, MD 97 in Montgomery County, MD 5 in St. Mary’s County, and US 50 in Talbot County.
The CTP also continues planning and design work for the Baltimore Red Line. County leaders should read the individual project pages alongside the $21.93 billion headline because inclusion in the Development and Evaluation Program does not mean MDOT has funded construction. The CTP itself defines those projects as candidates for possible future addition to the Construction Program.
MDOT shifted the I-68 Cumberland Viaduct bridge project from construction back to development and evaluation. It also removed two BWI projects from the construction program.
Counties Will Weigh In This Fall
MDOT will meet with every county and Baltimore City this fall. Those meetings give local leaders a chance to compare the draft with their priority letters, question project changes, and identify work the State still has not funded.
The nearly $22 billion headline should not bury the HUR cut. The State’s own CTP prioritizes preservation and acknowledges that rising costs continue to strain available transportation dollars, while Pew estimates Maryland already faces a nearly $1.2 billion gap between planned roadway maintenance spending and identified needs.
Cutting local transportation funding in that environment moves Maryland in the wrong direction. Counties need predictable funding to plan projects, manage contracts, and keep the local network safe.
MACo will aggressively advocate in the 2027 session to prevent the looming HUR cliff and ensure a fair and reliable state–local funding partnership.
Useful Links
MDOT Capital Programming and Fall CTP Tour
Previous Conduit Street Coverage: Pew: Maryland Faces $1.2B Road Maintenance Funding Gap
