This commentary is by Joe Flynn, Vermont transportation secretary, and Julie Moore, secretary of natural resources.

As Vermont’s secretaries of transportation and natural resources, we have witnessed firsthand the transformative power of strategic investments in transportation and water infrastructure.
These investments not only enhance our state’s connectivity and resilience but also bolster economic growth, protect our natural resources, and improve the overall quality of life for Vermonters.
There is currently unprecedented federal funding to support critical infrastructure needs across the state. Leveraging the full potential of these federal dollars is impossible, however, without state matching funds required to access that larger pool of federal dollars.
Today, we want to highlight the recently completed Lamoille Valley Rail Trail project โ a testament to the power of state matching funds in advancing vital projects, if we have the foresight to commit them.
The Lamoille Valley Rail Trail is a remarkable initiative that has transformed an abandoned rail corridor into a vibrant multi-use trail traversing 93 miles of breathtaking Vermont landscapes. This trail connects communities, promotes outdoor recreation, and boosts tourism and economic development opportunities along its route.
Bringing this ambitious vision to life required substantial financial resources, and that’s where state matching funds played a pivotal role.
By committing state funds, Vermont was able to leverage federal funding, which provided the necessary resources to rehabilitate and construct key segments of the trail. The state’s commitment to investing its own funds demonstrated a strong partnership and dedication to the project, making it possible to secure federal support.
The total cost for the buildout phase was $24,493,071, which includes 20% state funds of $4,898,614 and 80% federal funds of $19,594,456.
Completion of the Lamoille Valley Rail Trail demonstrates the wide-ranging benefits of leveraging state matching funds. Not only is it a remarkable recreational asset for Vermonters and visitors alike, but it also serves as an engine for economic development and tourism. Local businesses along the trail have experienced increased foot traffic, and communities have seen a rise in visitors who contribute to the local economy.
Furthermore, this project aligns with our broader efforts to promote active transportation, reduce greenhouse gas emissions, and enhance public health.
Yet, the construction of this project was delayed for many years while Vermont struggled to carve out the state matching funds, given the myriad competing demands on the state budget. It was only recently, when we finally began generating state surpluses, that Vermont was able to commit the required match.
The impact of state matching funds extends far beyond the Lamoille Valley Rail Trail. Across Vermont, our transportation and water infrastructure face significant challenges, with aging systems in need of repair and improvement. By utilizing state matching funds, we can maximize the impact of federal investments, tackling these critical needs head-on.
For clean water and drinking water projects through fiscal year 2027, the Agency of Natural Resources needs $27 million in state match funds to receive an infusion of nearly $320 million of federal money. This combined funding would support about 80 water and wastewater infrastructure projects across 13 counties.
During a budgetary process, an analysis determined that the Agency of Transportation would need an additional $79 million in state investments for fiscal year 2024 through 2026 to make full use of eligible opportunities from federal funding through the Bipartisan Infrastructure Law, securing a minimum of $341.5 million in federal aid. This combined funding would support about 200 transportation infrastructure projects in all 14 Vermont counties.
The magnitude of these investments makes clear that state matching funds arenโt an optional โnice to haveโ investment but rather that they are essential.
We must continue to prioritize the allocation of state matching funds to address the pressing needs of transportation and water infrastructure across Vermont. By doing so, we will continue to attract federal support and partnerships, amplify our impact, and build a more resilient, sustainable and prosperous future for our state.
Let us seize the opportunity to invest wisely in our infrastructure and secure the funds needed to make transformative projects like the Lamoille Valley Rail Trail a reality. Together, with strong partnerships between state and federal agencies, we can create a Vermont that thrives on well-connected communities, vibrant natural resources, and a high quality of life for all.
