
A recently announced $8 billion, decade-long transportation plan to accelerate road and bridge repairs, advance long-planned rail projects and stabilize the Massachusetts Bay Transportation Authority was highlighted in Democratic Gov. Maura Healey’s State of the Commonwealth address last week, marking what would be the state’s largest transportation investment in more than 20 years.
The proposal, which will be presented in the coming weeks as part by Healey The fiscal year 2026 budget, and a supplemental spending bill, relies heavily on revenue from the voter-approved Fair Share surcharge and incorporates recommendations from the Transportation Financing Task Force, which delivered its final report to the administration last year.
“This year, we are accelerating bridge construction that will open closed bridges and make repairs faster,” Healey said in his speech. “I challenged my team to move faster than ever, fix your roads and bridges and get you moving again.”
The funding framework would immediately direct $857 million of FY 2024 Fair Share surplus revenue to public transportation and dedicate $765 million in FY 26 Fair Share resources to the Commonwealth Transportation Fund.
The plan also includes borrowing against future Fair Share receipts, which the administration estimates would generate roughly $5 billion over the next decade for capital investment bonds that support railroads, roads, bridges, regional transit authorities and sewer repairs.
That component would allocate $2.5 billion to road and bridge repairs through the Massachusetts Department of Transportation, with funding set aside for culverts, small bridge repairs, and congestion and safety hotspots. It would also close the remaining funding gap for the Allston I-90 multimodal project and allow work to continue on the West-East rail, including capacity improvements near Pittsfield, track and accessibility improvements in Springfield and station planning in Palmer.
The initiative also eases the financial strain on Boston’s MBTA subway agency, which Healey says has faced persistent budget gaps compounded by growing maintenance and safety needs. The plan would more than double the agency’s operating grant to $687 million in FY26, after an increase to $314 million in FY25, and immediately close the authority’s projected budget shortfall.
In addition, the MBTA would see $1.4 billion in capital investment, including improvements to station accessibility and resiliency, track work and electrical system improvements.
MBTA General Manager and CEO Phillip Eng in a statement called the plan “solutions-oriented,” saying it would provide “critical support to the MBTA, including our operational capacity, improving service and ensuring a more sustainable and reliable transit system for all riders.”
After covering approximately $100 million in debt service, the FY26 budget would invest $110 million in regional transit authorities, $55 million in MassDOT operations, and $687 million to stabilize MBTA operations, including funding for workforce development, low-income fare programs, and water transportation.
RELATED
Court halts USDOT plan to tie state funding to immigration, DEI compliance
Healy’s supplemental corridor would allocate an additional $857 million in Fair Share surplus funds, including $400 million for safety and workforce initiatives identified by the Federal Transit Administration, and $300 million to replenish MBTA reserves and specific funding for winter resiliency, microtransit and RTA workforce hiring.
The administration would also use $170 million in available federal matching funds to retire $89 million in legacy MBTA debt, freeing up operating capacity, and issue $1.2 billion in grant anticipation notes backed by future federal highway grants to finance priority highway projects.
The task force, created by executive order in early 2025, spent the past year reviewing revenue sources, comparing Massachusetts to peer states and evaluating alternative funding mechanisms. Among its key recommendations were to allocate half of Fair Share revenue to transport over time and to expand capital investment through the Commonwealth Transportation Fund.
“This is a big step forward in meeting our transportation needs and creating a sustainable funding plan,” Doug Howgate, president of the Massachusetts Taxpayers Foundation, said in a statement.
In his State of the Commonwealth address, Healey said his administration has registered 10,000 apprentices in various fields, including construction, in just over two years and set a target of 100,000 apprentices over the next decade.
