Seven months after federal funding for key underpass projects in St. George, Utah was withdrawn, state officials have stepped in to keep the development moving forward.
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The Utah Department of Transportation (UDOT) announced a broader $2.8 billion infrastructure program that includes funding for two planned underpasses along Interstate 15. The move is intended to offset the $87.6 million removed last year following the passage of federal legislation under the Trump administration.
“This is great news,” St. George Mayor Jimmie Hughes said. ”UDOT has been very gracious to cover the funding gap for the underpasses while also continuing to seek for additional federal grants. With some increased city participation, together we are going to make this happen.”
The underpasses, planned at 400 East and 900 South, are part of a larger effort to reconnect neighborhoods divided by Interstate 15 and address growing transportation challenges in the region.
Construction is expected to begin this summer, with completion targeted for early 2028. The projects aim to improve mobility, reduce congestion, and enhance pedestrian safety—particularly for students traveling to nearby schools.
State funding includes $62.9 million from Utah’s Transportation Investment Fund, while the city of St. George is contributing $5 million to help move the project forward.
“It amounts to a shift in priorities in order to get that project delivered,” UDOT spokesperson Kevin Kitchen said.
The underpasses are designed to significantly cut travel times for residents east of the interstate, especially students attending Dixie High and Dixie Middle schools.
Currently, many students must travel up to a mile to safely cross the freeway. Once completed, the underpasses could reduce that commute to just five minutes, making it possible to walk directly to school.
“We believe getting the additional downtown underpasses will help relieve some of the traffic congestion on Bluff Street,” said Shawn Guzman, St. George’s government affairs director.
In addition to the underpasses, UDOT is advancing plans to widen a 2.5-mile stretch of Interstate 15 from two lanes to three lanes in each direction between Bluff Street and St. George Boulevard.
The infrastructure push also includes a $38.3 million project to reconfigure and resurface Bluff Street, one of the city’s busiest corridors.
Scheduled to begin in May and conclude in 2028, the work will involve drainage improvements, roadway resurfacing, and the addition of traffic medians to enhance safety and traffic flow.
Together, these projects represent a coordinated effort to modernize transportation infrastructure in one of Utah’s fastest-growing regions, where population growth has intensified pressure on roads and public services.
Despite the state’s intervention, officials are continuing efforts to recover the lost federal funding.
UDOT has applied for a $25 million grant through the U.S. Department of Transportation, while local and state leaders are working with federal representatives to reclaim a portion of the $87.6 million originally allocated.
Guzman said both state and city officials are coordinating with Utah Sen. John Curtis, who is working directly with Transportation Secretary Sean Duffy to recover some of the federal funds.
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“We feel confident we will get … a significant chunk of the money back because our congressional delegation has been working so hard with the U.S. Department of Transportation,” said Guzman, adding that won’t happen until next fiscal year.
Any recovered funds would be used to reimburse UDOT and support additional transportation projects across the state.
The St. George underpass project highlights a broader national trend where states are increasingly stepping in to backfill infrastructure funding gaps caused by shifting federal priorities. Rapid population growth in cities like St. George has made investments in road connectivity and congestion relief more urgent.
Projects that improve pedestrian access—especially near schools—are also gaining attention as part of safety-focused infrastructure planning. By combining underpass construction with highway expansion and arterial road upgrades, Utah is taking a multi-layered approach to transportation planning.
At the same time, the uncertainty around federal funding underscores the importance of diversified financing strategies, including state funds, local contributions, and competitive grants.
Originally reported by Mark Eddington in The Salt Lake Tribune.
