HAGERSTOWN, MD (January 16, 2025) – Washington County Government is excited to announce that Governor Wes Moore’s proposed FY2026 budget and the Maryland Department of Transportation’s (MDOT) $21.2 billion Final Consolidated Transportation Program (CTP) for Fiscal Years 2025-2030 have fully restored funding for Phase 2 of the I-81 Corridor Improvement Project. This critical infrastructure initiative is a key step in advancing transportation safety, reliability, and economic growth in the region.

I-81 Phase 2 Funding and Scope

Phase 2 of the I-81 Corridor Improvement Project involves widening a 3.5-mile segment from MD 63/MD 68 to the CSX railroad bridges north of Halfway Boulevard, expanding the interstate from four to six lanes. The project also includes significant interchange upgrades, traffic control improvements, and stormwater management enhancements. The restoration of $87.5 million in funding ensures the project’s advancement into construction and underscores Maryland’s commitment to modernizing vital transportation infrastructure.

John Barr, President of the Washington County Board of County Commissioners, shared his excitement:

“We are thrilled to see Governor Wes Moore’s proposed budget include the necessary funding to fully advance Phase 2 of the I-81 Corridor Improvement Project. This project is crucial for enhancing safety, accommodating growing truck volumes, and ensuring the continued economic growth of our region. We extend our gratitude to our delegation, county staff, and community partners who worked diligently to make this a reality.”

Michelle Gordon, Washington County Administrator, added:

“The inclusion of this funding in Governor Moore’s proposed budget underscores the importance of this project for Washington County and western Maryland. The collaboration among local, state, and community partners has been remarkable, and this milestone highlights the impact of their dedication.”

MDOT’s $21.2 Billion Capital Budget:

The Final CTP, totaling $21.2 billion, represents a balanced and strategic plan to improve Maryland’s transportation system. It includes an additional $420 million in annual state funding, divided into:

• $200 million for new state resources for capital projects,
• $155 million to meet commitments for debt issued to fund the capital program, and
• $65 million for operating budget needs.
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Highlights of the Final CTP include:

• Reinvesting in critical bridge repairs, roadway resurfacing, and other safety enhancements to make roads safer for all users.
• Advancing key highway projects, including I-81 Phase 2 in Washington County and other statewide safety projects.
• Modernizing the Light Rail system with $213 million in federal grant support to purchase accessible, state-of-the-art vehicles.
• Enhancing the competitiveness of the Port of Baltimore and supporting locally operated transit systems (LOTS).
• Addressing safety and system preservation needs at BWI Thurgood Marshall Airport and Martin State Airport.

Maryland Transportation Secretary Paul J. Wiedefeld noted the transformative nature of the plan:

“Maryland deserves and demands to have a safe and reliable transportation system that is accessible for all to use and helps drive our ability to make this Maryland's decade. With a focus on enhancing safety, equity, and sustainability, this Final CTP makes statewide strategic investments that strengthen our existing system to efficiently serve all Marylanders and grow the state's economy. Thank you to Governor Moore for his leadership and vision in providing this vital investment in our state’s transportation system.”

Learn More

To view the full Final Fiscal Year 2025-2030 CTP, visit ctp.maryland.gov. The Fiscal Year 2026 budget and additional revenue proposed by Governor Moore require approval by the Maryland General Assembly during the 2025 Legislative Session.

Washington County thanks Governor Wes Moore, MDOT, the Maryland General Assembly, the Board of County Commissioners, county staff, and community partners for their unwavering support in advancing the I-81 Corridor Improvement Project and securing a brighter transportation future for all Marylanders.

For additional information, please contact Washington County's Public Relations and Marketing Department at 240-313-2380 or pr@washco-md.net.