The U.S. Department of Transportation (USDOT) has announced a major new proposal aimed at accelerating the deployment of critical utility infrastructure by using existing transportation rights‑of‑way. The initiative—called America’s Great Corridors of Commerce (AGCC)—seeks to streamline the process for states and railroads to lease land along highways, rail corridors, and utility tunnels for electric transmission lines, fiber optic cables, water pipelines, and other essential systems.
USDOT says colocation of utilities within existing transportation corridors can significantly reduce project costs, shorten permitting timelines, and generate new revenue to support infrastructure repairs and upgrades.
USDOT's Build America Bureau will oversee AGCC and select up to five initial priority corridors. On August 18, the Bureau published a Request for Information (RFI) seeking input on AGCC's implementation framework. Public comments are open until September 12, 2026.
Submit a public comment and find additional program details.
Federal Proposal to Streamline Corridor Leasing
USDOT outlined the core components of its proposal:
- A simplified leasing process enabling state DOTs and railroads to offer space along roads, tracks, and tunnels for utility installation.
- A new interagency federal task force—led by USDOT—to coordinate permitting and accelerate colocation projects.
- A public‑private partnership structure allowing corridor managers to develop and lease subsurface and above‑ground utility pathways.
- The ability for transportation agencies to reinvest lease revenue into roadway, bridge, tunnel, and rail maintenance.
USDOT says the framework could enable claims leveraging existing transportation land reduces the need for new property acquisition and enables the use of categorical environmental exclusions (CEs), which can bypass lengthy environmental reviews. These colocated utility pathways are being described as “corridors of commerce.”
As a part of AGCC, the U.S. Secretary of Transportation will lead an interagency federal task force aimed at marshaling federal resources and relevant permitting agencies and authorities to expedite and scale colocation in AGCC corridors. The task force will provide technical assistance and coordination for designated AGCCs.
Public‑Private Partnership Model
Under AGCC, state DOTs or railroads may partner with a private “Corridor Manager” responsible for designing, building, financing, operating, and maintaining the utility channels for 30–50 years. Utility companies would then lease space within these corridors, potentially providing a new revenue stream for transportation agencies.
USDOT notes that colocated corridors could support:
- Electrical transmission infrastructure
- Water pipelines along highways
- Pipelines along railroads
- Fiber optic and rural broadband systems
- Smart transportation and Intelligent Transportation Systems (ITS)
- Technology deployment needs for state DOTs and railroads
Economic Development Potential
One of AGCC’s goals is to encourage data centers, manufacturing facilities, and distribution hubs to locate near these new corridors for “plug‑and‑play” access to upgraded utilities. USDOT says maximizing underused transportation assets could produce significant regional economic benefits.
Federal Funding Outlook
AGCC's success ultimately depends on the condition and long-term maintenance of the nation's transportation networks — and that maintenance funding itself is far from secure. While the House Transportation and Infrastructure Committee passed a five-year, $580 billion surface transportation bill in May, the measure has not moved in the Senate. Instead, the Senate approved a stopgap funding bill extending government funding to December 11. According to the American Public Transportation Association, the stopgap measure would reduce public transit investment by 20% and passenger rail funding by 83%. Congress is expected to consider a final deal as it returns from August recess.
Local governments are urging Congress to pass a long-term reauthorization with funding certainty for states and local communities.