The Congressional Budget Office (CBO) released its analysis of the House version of the surface transportation reauthorization bill on July 9, 2026. The analysis projected cumulative shortfalls of $99.5 billion for the highway account and $48.2 billion for the transit account by the end of fiscal year 2031 under the proposed legislation.

The House bill authorizes $580 billion for highway and rail programs through fiscal year 2031, with $474 billion expected to come from the Highway Trust Fund. The CBO's baseline projections from June 2026 had estimated an $86 billion shortfall for the highway account and a $45.2 billion shortfall for the transit account. The new analysis indicates that surface transportation spending under the bill would exceed dedicated revenue, increasing the trust fund shortfall by $40 billion in fiscal year 2031 compared to the previous year.

Section 1129 of the bill would implement annual registration fees for hybrid and electric vehicles, starting at the beginning of fiscal year 2027. The fees would be $35 for hybrids and $130 for electric vehicles. These fees are set to increase by $5 annually starting in 2029, with a cap of $50 per year for hybrids and $150 per year for electric vehicles. The bill does not include changes to taxes on gasoline and diesel.

The CBO estimates that Section 1129 would increase revenues by approximately $12 billion over the fiscal 2026-2036 period. This revenue estimate accounts for potential decreases in other tax revenues due to the implementation of these fees. The CBO's calculation assumes that vehicle registration revenues would be deposited into the Highway Trust Fund, although the current bill does not mandate this incorporation. Revenue from these fees would total less than $3 billion over the first five years, with an estimated $1.2 billion collected in fiscal year 2031.

The House Transportation and Infrastructure Committee approved the measure in May 2026 with a 62-2 vote. As of July 10, 2026, the House Ways and Means Committee had not yet acted on the bill. Leadership for the Senate Environment and Public Works Committee stated that a lack of engagement from other committees has been slowing the legislative process and noted, "Time's a-ticking."