Federal Termination of Transportation Project Impacts Rural Saguache County

SAGUACHE, CO – Saguache County Sustainable Environment & Economic Development (ScSEED) announced the federal termination of its transportation needs assessment project, administered through the Four Corners Office for Resource Efficiency (4CORE). The loss of this critical support has disrupted ongoing work and halted months of progress toward improving transportation access across rural Saguache County.

The project was one of hundreds nationwide terminated by the U.S. Department of Energy in early October. The decision, part of a broad clawback of clean energy and transportation programs under the Trump administration, canceled more than $7.5 billion in previously awarded projects, including at least 34 in Colorado. These programs were originally funded under the Bipartisan Infrastructure Law and the Inflation Reduction Act to advance mobility, energy efficiency, and resilience in underserved communities.

ScSEED’s work with 4CORE was designed to identify transportation barriers and improve access to jobs, healthcare, and education across Saguache County, one of Colorado’s largest and most geographically isolated counties. Community surveys and data collection were nearly complete when the termination was announced on Oct. 2.

“This project was about understanding how people move around our county, the obstacles they face, and how to make transportation systems work better for everyone,” said Ameille Warner, executive director of ScSEED. “Transportation can mean many things, from reliable vehicles and community shuttles to bike paths and safe sidewalks. Rural residents have fewer options, and our goal was to create a foundation for future solutions.”

Beyond its environmental goals, the project was grounded in practical benefits that align with the priorities of rural Coloradans. Improved transportation directly contributes to healthier communities by reducing exposure to pollutants such as particulate matter and ozone precursors. Cleaner air leads to better respiratory health, lower healthcare costs, and improved overall quality of life, especially important for children and seniors. Reliable transportation also increases access to everyday needs, helping residents reach grocery stores, childcare, medical appointments, and other essential services that sustain daily living.

Strong transportation systems are also a driver of economic vitality. They connect people to jobs and reduce the cost of commuting, helping working families save money and strengthening local economies. Increased mobility brings more visitors to rural towns, boosting small businesses and tourism. The cancellation of this project means that Colorado jobs will be lost directly, along with opportunities to expand rural economic growth.

Equally important, this project supported rural equity by ensuring that small and disadvantaged communities have access to the same modern, efficient, and clean transportation technologies that are becoming standard in larger cities. It aimed to bridge the divide that often leaves rural areas behind when new infrastructure and innovation investments are made.

By empowering community-based organizations and local leaders to plan and implement solutions, the project was also building local capacity. ScSEED and its partners were developing the long-term skills and relationships necessary to sustain transportation programs, attract new investment, and manage future mobility initiatives across the region.

The project’s termination has disrupted these collaborative efforts, which extended across the San Luis Valley and Southwest Colorado. 4CORE, based in Durango, has been forced to reduce staff and suspend related mobility planning efforts in several communities.

ScSEED will continue working with local partners to ensure that the data gathered through this effort is preserved and used to inform future transportation planning. Warner emphasized that while the loss of funding is significant for a small nonprofit, the greater concern is the loss of trust and stability that occurs when federal programs are reversed without warning.

“Federal reversals like this one create deep uncertainty for rural communities that already operate with limited resources,” Warner said. “Our work is not political; we serve all residents of Saguache County. We spoke with hundreds of people across the county who expressed strong support and interest in this effort. What we need is consistency, reliability, and genuine partnership to make progress on issues that matter to people here.”

ScSEED is now refocusing its efforts on securing state and local funding and exploring new collaborations to continue its mission of sustainable economic and community development. The organization is also in communication with members of Colorado’s congressional delegation to ensure that the voices of rural residents are heard in discussions about federal funding priorities.