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Long-term highway needs are underfunded, business owners and nonprofit advocates say

The state’s highway infrastructure is in great need of repair, according to a 2026 independent report that ties the improvements directly to the health of New Hampshire’s economy.

Long-term needs are currently underfunded, says TRIP (The Road Information Program), a private, nonprofit organization that researches surface transportation issues across the country.

Compounding the issue, Gov. Kelly Ayotte’s recent veto of the state’s newest 10-year transportation plan creates uncertainty for future state funding and threatens future federal matching money for infrastructure projects, say stakeholders with an interest in the health of the state’s roads, highways and bridges.

“The 10-year plan isn’t paperwork; it’s how New Hampshire competes for federal matching funds, and the road map contractors plan years of work around,” said Jim Jalbert, founder of the C&J Bus Lines, which travels more than 1.4 million miles each year on Granite State highways.

In a widely published opinion piece, Jalbert made a note of projects that he described as “stalled for now:” Interstate 93 corridor widening through Concord, long-delayed Interstate 293 exit work in Manchester, bridge reconstruction and a backlog of paving work.

Every two years, per law, the New Hampshire Department of Transportation (NHDOT) proposes a number of projects to address both deficiencies and improvements. The plan is a literal road map for which projects to prioritize and fund with state dollars that are often supplemented by federal funding.

Ayotte’s veto of the latest 10-year highway plan doesn’t immediately cancel funding for projects statewide. NHDOT funding for the current fiscal year 2026, which runs through June 30 of next year, totals approximately $796.3 million, split between operation and projects statewide. Fiscal year 2027 starting July 1, 2027, allocates $785.7 million.

Several projects are ongoing, such as the replacement of two Route 119 bridges over the Connecticut River between Hinsdale and Brattleboro, Vermont, and the removal of the Hooksett toll booths on Interstate 93.

But this year’s 10-year transportation plan was built on a premise that Ayotte couldn’t accept: creating more funding by charging higher tolls for those vehicles without a New Hampshire EZ Pass transponder.

“I do not support raising the tolls,” Ayotte said in her veto message, aligning it to her commitment to the state’s income and sales tax–free status. “I will continue to focus on making New Hampshire more affordable for all and a destination for tourists in the region.”

Ayotte took two separate veto actions: rejection of a bipartisan bill (SB 627) that would have raised tolls on vehicles that don’t have New Hampshire EZ Pass transponders, and rejection of the 2027-2036 Ten Year Transportation Plan that had elements of SB 627 written into it.

Jalbert, noting too that the state tax on gas hasn’t changed since 2014, countered that “a destination needs roads that work. Bottlenecked interstates and crumbling bridges don’t just cost drivers time; they threaten the tourism and commerce that keep the state’s tax-free model solvent in the first place.”

A March report from TRIP identified the 25 most-needed transportation projects in New Hampshire, many of which lack sufficient funding to proceed.

“Without additional investment, needed transportation projects in New Hampshire will be left stranded on the drawing board, and road and bridge conditions will deteriorate,” said Dave Kearby, TRIP’s executive director in a statement with release of the report.

The study cites traffic congestion as a serious consequence for not only the state’s economy but individuals’ pocketbooks as well. It noted that “increasing congestion on New Hampshire’s major highways and roads hampers the state’s ability to support economic development and quality of life by reducing the reliability and efficiency of personal and commercial travel, including the transport of goods and services.”

Merrimack Valley–area drivers lose an average of 34 hours per year in traffic congestion, costing the average area driver $561 annually in lost time and wasted fuel, according to the report, while in the Seacoast Region, drivers lose an average of 30 hours per year in traffic congestion, costing the average area driver $604 annually in lost time and wasted fuel.

One of the authors of the rejected transportation plan bill — state Sen. David Watters, D-Dover — reacted to the TRIP report saying, “I think it really shows the roadway for what we must do to make sure that we have safe, efficient roads that can drive economic opportunity.”