Rick Dimino
Massachusetts made significant strides in transportation over the past year, securing billions in federal funding, addressing critical infrastructure repairs and expanding equity programs to encourage transit riders. Yet, as 2025 approaches, the future of our transportation system is at risk.
The approaches in the coming months will determine whether Massachusetts continues transforming our system to meet our goals for transit, climate emissions and economic growth – or whether we see a weaker transit system, stalled mega-projects and negative impacts to our economic competitiveness.
Many of the biggest questions relate to the shift in policy anticipated when President-elect Donald Trump returns to office in January. Over the past four years, Massachusetts has benefited greatly from Biden administration infrastructure programs, securing major federal grants for projects like the Sagamore Bridge, the I-90 Allston Multimodal Project and upgrades to commuter rail serving North Station and the areas north of Boston.
These federal grants are allowing transformative projects to move forward, but they won’t reach construction for a few years, and there is fear the Trump administration will rescind these awards.
MassDOT and state officials are working diligently to secure federal grants by swiftly allocating funds to contracts and we hope our strong congressional delegation can continue to deliver for Massachusetts. However, if federal support declines – either through rescinding prior awards or limiting future grant opportunities – it could do more than stall our critical projects.
It could increase the strain on the commonwealth’s transportation resources.
All Eyes on Governor’s Task Force
Later this month, Gov. Maura Healey’s Transportation Finance Task Force will release its recommendations to address the future of our underfunded, underperforming transportation network. The task force worked all year to tackle two pressing challenges: stabilizing the MBTA’s immediate finances and aligning the transportation system with the state’s climate goals.
We know the MBTA is facing an impending “fiscal cliff,” with projected annual operating deficits exceeding $600 million – or 25 percent of its current budget. But the funding crisis extends beyond the MBTA. The state’s highways and bridges require an additional $500 million annually to improve deficient infrastructure, while regional transit authorities and municipally-owned transportation assets also face significant shortfalls.
Finding a real solution for the MBTA is critical, because it is the backbone of Greater Boston’s economy.
Based on an economic impact study, the MBTA generates over $10 billion in annual economic value on its $2 billion operating budget. Any service cuts would harm riders, worsen highway congestion and hurt the region’s economy.
The stakes could not be higher: failing to act in 2025 on a funding plan for the MBTA is a risk the commonwealth should not take.
(sub)Fair Share Funds and a Path Forward
There are reasons why this year could be different from prior blue-ribbon transportation commission reports.
Massachusetts is now in its third year of collecting revenue from the Fair Share Amendment, also called the Millionaires Tax. This new money is helping many transportation and education programs in the commonwealth, but the state budget is using more of this money for education than transportation, even though the referendum campaign promised an even split between the two categories.
The state is also holding some of the Fair Share funding in reserve, reflecting a cautious approach with these new funds.
The task force should recommend a 50-50 split for transportation and also a plan for utilizing the reserve funds. Together, these two measures could provide an additional $400 million for transportation in 2025 and make a big step towards meeting immediate needs.
Climate Investments Cannot Wait
Climate change adds urgency to the need for immediate action.
Massachusetts has set ambitious goals to achieve net-zero carbon emissions by 2050, with key benchmarks for 2030. Achieving these targets will require state policies to accelerate electric vehicle adoption, investments in cleaner buses and commuter rail vehicles and EV charging infrastructure.
Failing to accelerate the pace on these initiatives will put Massachusetts further away from our 2030 goals for decarbonizing our transportation system, and should not be compromised by any federal priority or philosophy from the Trump administration.
Massachusetts’ transportation system stands at a pivotal crossroads, with critical decisions looming in the months ahead. While the past year has seen significant progress in addressing transportation challenges, we cannot afford to become complacent.
Incremental improvements are not enough to resolve the pressing issues that demand immediate action, especially with public transit that drives our economy. Avoiding the next challenges that will come in 2025 would be a risk too great for our riders, our economic vitality and the future of this region.
Rick Dimino is president emeritus of A Better City and a member of the MassDOT board of directors.
