Trump’s Transportation Secretary Sean P. Duffy Announces $90 Million Loan to Eliminate Traffic Bottlenecks, Accident Hotspots on I-81 in Virginia
Upgrades will cut travel delays, add truck climbing lanes, replace aging bridges, and enhance freight flow along major Mid-Atlantic commerce corridor
WASHINGTON, D.C. – U.S. Transportation Secretary Sean P. Duffy today announced Virginia’s Commonwealth Transportation Board (CTB) will receive two Transportation Infrastructure Finance and Innovation Act (TIFIA) loans totaling up to $89.7 million from the Build America Bureau. The package funds vital capacity and safety upgrades along 325 rural miles of I-81, a key East Coast freight route carrying 43% of Virginia's interstate truck traffic.
The projects will transform I-81 by:
- Adding dedicated truck climbing lanes in Washington County and Augusta County, allowing slow-moving heavy trucks to climb steep hills without blocking passenger cars;
- Fixing dangerous merging bottlenecks by extending exit ramps in Wythe County and adding merge lanes around Wytheville to give drivers more room to speed up or slow down safely; and,
- Replacing aging bridges over Peppers Ferry Road and the I-81 northbound bridge over I-77 to guarantee long-term corridor reliability.
“President Trump understands strong roads mean strong supply chains—that’s why he is investing in big, beautiful upgrades along the I-81 corridor in Virginia,” said U.S. Transportation Secretary Sean P. Duffy. “By upgrading the commonwealth’s transportation infrastructure, reducing dangerous bottlenecks, and separating freight and passenger traffic, Virginia families and freight will move more safely and efficiently across the entire Mid-Atlantic region.”
The package supports Virginia’s $4 billion I-81 Corridor Improvement Program, which is projected to generate $5.2 billion in economic activity, supporting regional growth and job creation. Construction on many projects is already underway, with completion slated for late 2035.
“By securing a TIFIA loan at half the standard interest rate, the Commonwealth of Virginia is delivering these critical improvements faster and more affordably,” said Build America Bureau Executive Director Morteza Farajian, Ph.D. “By cutting interest costs in half and stretching taxpayer dollars, this project serves as a national blueprint. It proves that innovative financing can help rural communities deliver vital corridor improvements faster while freeing up resources for future infrastructure needs.”
“As a vital commercial corridor not only for Virginia but the entire east coast, additional travel lanes, new bridges and interchange improvements are enhancing safety and reducing congestion on I-81,” said Virginia Transportation Secretary Nick Donohue. “The TIFIA loans will help Virginia stretch its transportation dollars and continue building the interstate corridor all travelers deserve.”
Additional Information:
The two loans, totaling up to $47.6 million and $42.1 million respectively, take advantage of low interest rates made possible by the TIFIA Rural Project Initiative and build on Secretary Duffy’s broader campaign to eliminate traffic bottlenecks across America.
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The Build America Bureau accelerates investment in transportation infrastructure by lending federal funds to qualified public and private borrowers; clearing roadblocks for creditworthy projects; and providing technical assistance services and grants to build local and regional capacity and implement best practices and innovative solutions in project planning, funding, financing, delivery, and operations. The Bureau draws on expertise across DOT to serve as the point of coordination for states, municipalities, private partners, and other project sponsors seeking federal financing.