Federal highway funding has been extended for a second seven week period to December 18, 2009. The extension is nominally at the 2009 FY level but works out to permit states to obligate about $1 Billion per month less than in the last fiscal year. This is not yet an immediate problem for spending at highway job sites but does shrink the pipeline for 2010-11 work. The highly likely failure to enact a permanent funding solution by December 18th would begin to restrain highway construction spending very early in 2010.

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