The N.C. Department of Transportation relies on its funding from the Motor Fuels Tax, Highway Use Tax and DMV fees. As North Carolinians worked to stop the spread of COVID-19, traffic volumes decreased significantly, greatly impacting the revenue streams that pay for our transportation system.
NCDOT projected a $300 million budget shortfall for the fiscal year that ended June 30, and significant financial impacts in the next fiscal year as well.
NCDOT is taking steps, including delaying some projects, to decrease expenditures. Construction projects already awarded or underway will not be affected by the changes. Also, projects that are funded by GARVEE bonds, BUILD NC bonds and federal grants are continuing to move forward.