US Transportation Secretary Ray LaHood has announced a $300m loan for the construction of new I-95 Express Lanes in Northern Virginia, which is expected to ease traffic congestion in the Washington, DC metro area.

The total cost of the toll lanes project is estimated to be $1bn, which includes the Transportation Infrastructure Finance and Innovation Act (TIFIA) loan of $300m, additional federal highway funding of $100m and GARVEE bonds of $71m.

LaHood said that the construction work on the project in Northern Virginia will provide jobs and make driving less congested and safer.

The 29-mile project will provide a third new reversible high occupancy vehicle / high occupancy toll (HOV/HOT) lane, connecting Edsall Road and Fairfax County Parkway.

It will involve the construction of two new reversible lanes from Dumfries Road to Garrisonville Road in order to offer additional travel options for people employed at Tysons Corner and military sites along the corridor, such as Ft. Belvoir and Marine Corps Base Quantico, as well as in Washington, DC.

"LaHood said that the construction work on the project in Northern Virginia will provide jobs and make driving less congested and safer."

The US Federal Highway administrator Victor Mendez said that the improvements will strengthen the region’s economy and provide a more efficient commute for people and businesses.

The project will be delivered through a public-private partnership between the Virginia Department of Transportation (VDOT) and the private developer 95 Express Lanes.

In July 2012, VDOT signed a comprehensive agreement with 95 Express Lanes for construction on I-95.

According to the agreement, VDOT will own the infrastructure and supervise the activities, and 95 Express Lanes will finance, build, operate and maintain the lanes for a 76-year concession period.