What’s Next for Transportation Policy?

This was created in collaboration with the 2025 Trend Report for Planners and APA's Trend Talk Series. The 2025 Trend Report features over 100 trends identified by the APA Foresight team. The Trend Talk Series complements the annual report by providing additional monthly insights to help planners navigate and shape the future of the profession.

Policy Priorities Shift Under New Republican Leadership

The 2024 election results mark unified Republican control of the White House and Congress. Thin congressional majorities may complicate governing, but pending deadlines for the new Congress will put infrastructure, transportation, and housing policy on the agenda.

Here are some ways planners can expect the administration to chart a different regulatory course for transportation programs and policy.

The future is uncertain for BIL surface transportation programs

One of the signature achievements of the Biden administration was the enactment of the Bipartisan Infrastructure Law (BIL). Still, there are warning signs that progress through the BIL in areas like biking, pedestrian safety, and environmental impacts may be jeopardized.

With surface transportation programs in BIL due for reauthorization in 2026, the new Congress and Trump administration have a major opportunity to put their policy stamp on federal infrastructure programs.

Work on updating the law will begin in earnest on Capitol Hill in 2025. Expect Republican leaders to scale back discretionary programs focused on climate, equity, and active transportation and shift a greater emphasis back to formula funds to states.

While changes are likely, it is doubtful that Congress will attempt either a major overhaul or expansion in the coming reauthorization.

Anticipate changes in grant guidelines and decision factors

The U.S. Department of Transportation (DOT) has already rescinded two Federal Highway Administration memos, which previously gave guidance to states to prioritize equity and environmental goals in the use of flexible formula-based funds.

Learn more about the implications of recently rescinded memos

Some regulatory actions are also expected, including the elimination of a proposed rule requiring goals and measurements for climate change in transportation planning.

Funding for infrastructure is a mixed bag

Funding levels for most transportation programs are set in existing law and not subject to annual appropriations, suggesting most of the core programs may be stable through the end of this authorization in 2026.

At the same time, there will be pressure to cut funding for programs where funding is approved by Congress on an annual basis. These programs include Capital Investment Grants for transit, multimodal RAISE grants, and Safe Streets for All grants. However, aggressive cuts would likely face opposition and could be difficult to pass on Capitol Hill given slim majorities.

Expect a shift in emphasis for automation and electrification

The administration seems poised to reduce support for electric vehicle (EV) charging infrastructure and tax credits for EVs while accelerating work on standards for autonomous vehicles that have largely been held up during the Biden administration.

Planners are uniquely positioned to help their communities navigate changes to federal grant funding and how it may be used to advance local planning efforts.

Read how you can take action when your federal grant funding is in jeopardy, and how to advocate to your representatives to protect at-risk programs.

Top image: iStock / Getty Images Plus - Jeremy Poland