CLARKSVILLE, Tenn. -- A project is supposed to extend Highway 374 to where it would circle around Clarksville, but that won't happen this year because of state budget cuts.

Video: Clarksville Road Extension Plan Put On Hold

The plan, which has been in works for years, has no funding.

The extension project is estimated to reduce traffic by 40 percent.

"It's going to be a disastrous traffic congestion problem if we don't get ahead of this and start soon," said state Sen. Tim Barnes. "Right now, in this budget year, there will be nothing new that will be done."

The Department of Transportation has more than $12 billion worth of underfunded projects sitting on the shelf.

"The money has to be put in projects that are already advancing, projects that will suffer and actually cost us money if we don't go ahead and complete them," said Barnes.

Barnes said high employment rates have cause massive loss in state revenue.