The Congressional Budget Office says that states and localities account for more than half of public transportation and water infrastructure spending and a much greater share of their funds goes to operations and maintenance, compared with how federal aid is used.
In a report issued in early August, CBO says states and localities provided 76.5% of the $312.2 billion spent on infrastructure in 2004. Federal funds were the other 23.5%. CBO says that ratio has been "quite stable" for 20 years.
Of the 2004 total, 54% went for operations and maintenance and 46% for capital projects. CBO says that split has been fairly constant since the early 1980s. About 63% of state and local infrastructure dollars went to O&M in 2004. About 75% of 2004's federal aid was capital expenditures.