Reminder: States Already Control Transpo $, and They Waste Billions

States and municipalities have no clear record of choosing to invest in better projects when they are fully in charge of collecting the revenues to do so. States have too often proven a complete disregard for public transportation investments when they’re left fully in charge — see state infrastructure banks as evidence for that fact. While federal investments in transportation have been far from perfect, they have nonetheless provided for the significant expansion in transit offerings we’re now seeing.

The large majority of decisions on transportation spending with federal dollars is already made at the state and local levels. And state and local governments already contribute huge sums to the operation, maintenance, and expansion of their transportation programs.

Once the federal government collects tax revenue, it distributes funding to the states based on formulas agreed upon by members of Congress. For the most, part, the money goes back to the states and to metropolitan areas, which then fund projects based on the priority lists that they generate. It is true that Washington allocates some money for transit and some for highways, but within those categories, states and local governments generally have power to pay for the projects they want.