Over 170 road and bridge construction projects will be delayed in the next five years, unless Michigan can come up with money to match federal highway funds.
Michigan needs to find $84 million for 2011,or it will lose out on $475 million in transportation funding from the federal government.
"This year in 2010, we'll get 92 percent of every dollar we send to Washington for fuel taxes," said Bill Shreck, Communications Director for the Michigan Department of Transportation. "Under the situation for 2011, we'll only get 50 percent of that money back."
The funding situation only gets worse after next year.
Through 2014, estimates show Michigan will fall $370 million short on its federal match, which could cost the state over $2 billion in lost transportation funds.
Lawmakers are looking at several ways to come up with next year's $84 million federal match, including raising the state gas tax by 4 cents.
If Michigan cannot meet its federal match, those funds will be redistributed to other states that can afford the match.