Funding Opportunities

More InformationThis page contains information regarding state and federal programs that provide transportation project funding of interest to local governments and other entities. This information is intended to serve as a guide for preliminary funding searches. For more detail, we encourage you to contact each of the respective agencies and departments listed in this guide. This guide has been formulated and assembled with the help of the Alabama Department of Transportation Local Transportation Bureau and the Alabama Transportation Assistance Program (Alabama’s LTAP Center) within Auburn University.

Transportation Alternatives Set-Aside Program

The Alabama Department of Transportation (ALDOT) is soliciting applications for the Transportation Alternatives Set-Aside Program (TAP) for FY 2025. 

All applications must be submitted electronically no later than 5:00 pm on May 31, 2024 through
 If you have questions or concerns, please contact 334-242-6020 or your ALDOT Area Local Transportation Engineer.

Application Deadline: May 31, 2024

Alabama Highway Safety Improvement Program

The Highway Safety Improvement Program (HSIP) is a core Federal-aid program with the purpose to achieve a significant reduction in traffic fatalities and serious injuries on all public roads, including non-State-owned roads and roads on tribal land. The HSIP requires a data-driven, strategic approach to improving highway safety on all public roads with a focus on performance.

Rebuild Alabama Act Annual Grant Program

The Rebuild Alabama Act (RAA) Annual Grant Program is an ALDOT-administered transportation infrastructure grant program for projects of local interest created in the Rebuild Alabama Act of 2019.

Application Deadline: February 2, 2024

Grade Crossing Hazard Elimination

The Rail-Highway Program of the Alabama Department of Transportation (ALDOT) as part of the ALDOT Rail State Action Plan is strategically working with ALDOT Region and Area Offices, local agencies, railroad companies, and other stakeholders to improve safety at public grade crossings by eliminating hazards and fulfilling the program’s goal of reducing fatalities and incidents at crossings. Our office is now accepting Grade Crossing Hazard Elimination Applications. The application process will provide an opportunity for entities to identify and request funds for crossing locations.

Alabama Transportation Rehabilitation and Improvement Program - II

Transportation projects of local interest on the state-maintained highway system, which may also include work on local roads essential to the proper functioning of the project on the state road. Created by the Rebuild Alabama Act in 2019.

Local Roads Safety Initiative

The Local Roads Safety Initiative (LRSI) is intended to help reduce high fatal and incapacitating injury crash rates by alleviating safety deficiencies on locally owned public roads by utilizing low-cost safety countermeasures such as rumble strips, enhanced signage and delineation, clear zone improvements, shoulder widening, front slope flattening, and cross slope/ superelevation corrections.

Application Deadline: July 26, 2024

Recreational Trails Program

The Recreational Trails Program (RTP) was created in 1998 and is funded through the U.S. Department of Transportation and the Federal Highway Administration. The Department of Economic and Community Affairs is the state agency responsible for administering the program in Alabama. The program provides grant assistance to state and federal agencies and local units of government for the acquisition and/or development/improvement of recreational trails and trail-related resources.

Application Deadline: July 31, 2024

Land and Water Conservation Fund

The Land and Water Conservation Fund (LWCF) State Assistance Program was established by the LWCF Act of 1965 to stimulate a nationwide action program to assist in preserving, developing, and assuring all citizens of the United States of present and future generations such quality and quantity of outdoor recreation resources as may be available and are necessary and desirable for individual active participation. The Program provides matching grants to States and through States to local units of government, for the acquisition and development of public outdoor recreation sites and facilities.

The link provides step-by-step processes to apply for funding.

Scrap Tire Marketing Program

The Scrap Tire Marketing Program’s goal is to promote the growth of scrap tire markets and beneficial end-use. The Scrap Tire Environmental Fee funds and promotes the development of scrap tire markets. Grants are available for projects such as recycled tire mulch in school or city park playgrounds, recycled tire walking tracks, and recycled tire splash pads.

Did we miss something?

The Alabama Transportation Funding Guide is a tool compiled by the Alabama Transportation Assistance Program to help local governments with initial searches about funding opportunities available. If you are aware of a transportation-related funding source that could be of interest to Alabama local agencies, please download, fill and submit the following form to