Tennessee Transportation Commissioner John Schroer says the state won't be able to start any new highway projects if it loses federal funding next year.
Governor Bill Haslam wrapped up his annual budget hearings with the department at the state Capitol yesterday.
Schroer told Haslam that money from a measure President Barack Obama signed in 2012 to extend federal highway and transit funding will end on October 1, 2014.
If Congress doesn't extend it, then that would mean a loss of over a billion dollars for Tennessee.
Schroer says the state would likely be able to maintain current construction projects but not take on new ones.