Federal highway funding formula tied more directly to gas taxes paid per state

Q: What does it cost, and who pays?

The bill affects distribution of federal Highway Trust Fund money, which is collected from gas taxes and other highway-related fees paid by drivers nationwide. No specific total dollar amount is stated in the summary.

In committeeH.R. 7776Latest action Mar 4, 2026

Sponsor: Chip Roy · Representative · TX

AIDecoded by AI · checked against the record

Read the official text

Official title: Highway Formula Fairness Act

119th Congress

Topics: Jobs & the economy

Introduced: March 3, 2026

Read the official bill on Congress.gov

In plain words

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HR 7776 guarantees each state gets back at least 95% of its share of federal gas taxes paid, starting FY2026.

55-second read · 5 questions answered below

What does this do?

HR 7776 changes how federal highway funds are distributed among states. Under the new formula, each state would be guaranteed to receive back at least 95 percent of the share it contributed to the federal Highway Trust Fund through gas taxes and other highway-related fees. The changes would take effect beginning in 2026.

Who does it affect?

All 50 states and their transportation departments would be affected, as would drivers, taxpayers who pay federal gas taxes, and anyone who travels on or depends on federally funded roads and highways.

Why does it matter?

States whose drivers currently pay more into the Highway Trust Fund than they receive back in funding would see their returns increase under this formula. States that currently receive more federal highway money than their drivers contribute in taxes could see their allocated share reduced.

What does it cost, and who pays?

Funded by federal gas taxes
Highway Trust Fund is the source
Takes effect FY2026

AI-drafted summary. Check it against the official text before you act on it.

Read the official bill on Congress.gov

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IntroducedMar 3, 2026
House committeeYou are here · Mar 4, 2026
House vote
Senate
The president's desk

Right now: a House committee is reviewing it. If the Senate changes it, it goes back to the House before reaching the president.

Latest action: March 4, 2026 — Referred to the Subcommittee on Highways and Transit.

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