"We're proposing a boost in investment in the nation's infrastructure beyond what was included in the recovery act to continue modernizing our transportation and communications networks," Obama said. "These are needed public works that engage private-sector companies, spurring hiring across the country."

Obama noted that while the American Recovery and Reinvestment Act provided $48 billion for transportation projects, "there are many more worthy projects than there were dollars to fund them. I recognize that by their nature these projects often take time, and will therefore create jobs over time. But the need for jobs will also last beyond next year and the benefits of these investments will last years beyond that. So adding to this [job-creation] initiative [money] to rebuild America's infrastructure is the right thing to do."

The American Association of State Highway and Transportation Officials issued a statement Tuesday after the president's speech applauding Obama's readiness to boost infrastructure spending.

"Certainly, if the administration and Congress want to create thousands of jobs quickly, the best way to do it is by investing in 'ready to go' transportation projects," said John Horsley, AASHTO executive director. "States have 9,500 transportation projects ready to go with a potential value of $70 billion that can proceed toward construction within 120 days of enactment and after approval by the appropriate federal agency. With the unemployment rate for construction workers at the alarming rate of 19.4 percent in November, targeting construction jobs is sure to meet an enormous need."

Horsley said it's important for cash-strapped state transportation departments to soon receive another infusion of federal money to keep projects going.

"Many states with severe budget crises are already signaling that they will have to scale back their regular transportation program since they don't have the state matching funds needed to pay for projects," he said. "By putting additional federal dollars into transportation, the president and Congress will enable states to continue to make improvements that will have a lasting effect on the health of our communities."

U.S. Transportation Secretary Ray LaHood, in a speech to a Brookings Institution seminar Thursday regarding infrastructure and job creation, said U.S. DOT has approved state requests for $32 billion of recovery projects. That's two-thirds of total funding provided by the recovery act to the department. Nearly 11,000 transportation recovery projects have been approved, LaHood said, and 7,100 projects are underway.

"That's why the president has wisely made the decision to ask Congress to boost our investments in good infrastructure projects," LaHood said.

Administration officials who have briefed reporters on the president's thinking said Obama wants to see most of the infrastructure funds distributed by existing formulas, as most of the recovery funds were, and that the money would need to be spent during 2010. But the officials also said that a portion should be reserved for competitive loans and grants such as the $1.5 billion TIGER program created by the recovery act.

"The administration supports financing infrastructure investments in new ways, allowing projects to be selected on merit and leveraging money with a combination of grants and loans," according to a White House fact sheet.

The House of Representatives is expected to take the lead on moving a jobs bill. That could happen as soon as next week, said House Democratic Caucus Chairman John Larson of Connecticut. But House Majority Leader Steny Hoyer, D-MD, said consideration might wait until after members return from the winter holiday break Jan. 12. Senate leaders have said they expect to consider a jobs bill after they return from recess Jan. 19.

Some House leaders have expressed support for including more than $50 billion for infrastructure in the jobs package. Rep. Chris Van Hollen, D-MD, said exactly how large the figure will be "is something that is still being decided."