NJ Smart Choices

Building the movement for smart land use
and transportation planning in New Jersey.

NJ Funding Programs

Please send feedback, suggestions for improvements and corrections of information to Juliette Michaelson (jmichaelson@pps.org).

Search results for Streets, roads & bridges

Bicycle/Pedestrian Planning Assistance
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NJ Department of Transportation

This program is for NJDOT consultant support designed to develop local pedestrian/bicycle circulation plans and facility inventories. The program provides municipalities with consultant expertise in the professional disciplines of transportation and pedestrian/bicycle planning to develop local circulation elements and other transportation related planning initiatives. Potential and designated State Development and Redevelopment Plan Centers, target neighborhoods under the Urban Strategies Initiatives and improving bicycle and pedestrian access and safety locations receive priority. Assistance is to be provided under a partnership arrangement, and applicants must commit staff and or/financial resources to these efforts. All studies undertaken must have a public outreach aspect, including continuing involvement by both the official representatives of the municipality as well as participation by local citizens. This Program is administered by the Division of Transportation Systems Planning & Research, Bureau of Systems Development and Analysis (BSDA).

For more information:

County Aid Program
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NJ Department of Transportation

County Aid funds are appropriated by the Legislature annually for the improvement of public roads and bridges under county jurisdiction. These funds are allocated to New Jersey's 21 counties by a formula that takes into account road mileage and population. Each county develops an Annual Transportation Program (ATP) that identifies all projects to be undertaken and their estimated cost. Projects may include improvements to public roads and bridges under county jurisdiction, public transportation or other transportation related work. Funding can be used for design, right-of-way and construction Independent pedestrian and bicycle projects can be funded under the county aid program; however, few independent pedestrian and bicycle projects have been funded. This program is administered by the NJDOT Division of Local Aid and Economic Development.

Fore more information:

Discretionary Aid Program
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NJ Department of Transportation

The Discretionary Aid Program provides funding to address emergency or regional needs throughout the state. Any county or municipality may apply at any time. These projects are approved at the discretion of the Commissioner. Under this program a county or municipality may also apply for funding for safe streets to schools and bikeway projects. This program is administered by the NJDOT Division of Local Aid and Economic Development.

For more information:

Downtown New Jersey
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Downtown New Jersey, Inc.

Downtown New Jersey is a nonprofit organization that helps to support, guide and lead efforts at downtown revitalization throughout New Jersey. DNJ provides informational and educational opportunities; tracks judicial and legislative issues which would affect the success of New Jersey's downtown commercial districts; and fosters communication among business, political and professional leadership.

For more information:

Local Aid for Centers of Place
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Note: This program is only available to select municipalities. Read below for more details.
NJ Department of Transportation

This funding is a NJDOT program designed to assist municipalities who have formally participated in implementation of the New Jersey State Development and Redevelopment Plan (SDRP). Such participation entails designation as a Center by the State Planning Commission, preparation of a Strategic Revitalization Plan and Program, which has been approved by the Commission, or entrance into an Urban Complex, which has been approved by the Commission. The program provides the opportunity to apply for funds to support non-traditional transportation improvements that advance municipal growth management objectives as outlined in the action planning agenda of the municipality. Participation of municipalities in the SDRP ensures eligibility to compete for funds in the program. This program is administered by the NJDOT Division of Local Aid and Economic Development.

Typical projects include: pedestrian and bicycle improvements; adaptive reuse of abandoned railway corridors (pedestrian and bicycle trails); scenic or historic transportation improvements; landscaping/beautification of transportation related facilities (streetscape improvements); and rehabilitation of transportation structures.

In general, eligible projects are similar to Transportation Enhancements projects, but only SDRP municipalities are eligible to apply for funding. Allowable costs include preliminary engineering, design and construction. An annual solicitation for project proposals is sent to all eligible municipalities. This program is administered by the NJDOT Division of Local Aid and Economic Development in cooperation with the Bureau of Statewide Planning. All applications are forwarded to the Local Aid and Economic Development Office for review and evaluated by a Centers of Place Review Committee which includes representation from the New Jersey Economic Development Authority and Downtown New Jersey. A recommendation is made for final approval by the Commissioner of Transportation. Funding levels have varied from $750,000 to $3 Million depending upon appropriations by the Legislature.

For more information:

Local Finance Tools
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Municipal Governments
  • Special (Business) Improvement Districts: SIDs assess residents within set boundaries for additional services, such as park maintenance and public safety. They establish a partnership between property owners and businesses in downtown or commercial areas for the purpose of improving the business climate in a defined area. Impetus for the SID generally comes from business and property owners hoping to attract new customers by cleaning up sidewalks, improving parks, increasing lighting, etc. These business owners want better city services and are willing to pay for it -- within their neighborhood. In some places, they are willing to take on nongovernmental tasks, such as marketing, to supplement city services. There are currently an estimated 70 SIDs in the state of New Jersey. Refer to DCA's "SIDs: Loans & Grants" program for technical and financial assistance.
  • Tax Increment Financing: Tax increment financing can be used for a variety of purposes, including acquiring property to be resold at reduced prices and on-site improvements such as utilities, lights, repaving streets, and restoring neighborhood parks. TIF works like this: When a TIF plan is adopted, the assessed valuation of real property within a designated redevelopment area is frozen. Taxes are paid on the property at this base level while improvements to the area are made, new businesses are attracted, and property values rise. Typically, any increase in the assessed value of the property or additional sales tax revenues makes up the tax increment, which is then used to pay project costs or repay the bonds or other obligations that helped finance the project. By investing in a designated area, the TIF technique has aptly been described as a means of borrowing against the speculative gain that a project should bring.
  • Impact Fees: An impact fee is a one-time charge that private entrepreneurs, often developers, must pay to the local government in order to undertake their projects. In turn, the revenue from the impact fee finances public goods and services associated with the project, but which the developer would not provide voluntarily. Water and sewer lines, streets and bridges, and parks and recreational facilities are typical impact fee-funded projects.
  • User Fee Financing: Parking fees, dog tags, community college tuition, water bills, and park and recreation fees are just a few of the many different kinds of user fees collected by local governments. These funds can then be used to pay for transportation improvements, park maintenance and other municipal services.
  • Property Tax Financing: Perhaps because it is paid in a large lump sum check as opposed to small additions to each purchase, the property tax is the least popular of all state and local taxes. Yet they are an important source of revenue for local governments because they provide a steady source of revenue, less affected by downturns in the economy than either the sales or the income tax. In addition, property taxes are relatively easily administered at the local level, revenues can be accurately predicted, and the tax burden is fairly equitably distributed.

For more information:

Locally Initiated Bicycle Projects
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NJ Department of Transportation

This program provides funds for municipalities and counties for the construction of bicycle projects. These could include roadway improvements, which enable a roadway or street to safely accommodate bicycle traffic, or designated bikeways (signed bike routes, bike lanes or multi-use trails). The solicitation for project applications occurs at the same time as the solicitation for municipal aid projects. Applications are solicited, evaluated, and rated by NJDOT staff. Based on this evaluation, a list of recommended projects is proposed to the Commissioner of Transportation, who makes the final selection. This program is administered by the NJDOT Division of Local Aid and Economic Development.

For more information:

Local Scoping and Local Lead Projects
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Note: New Jersey has three Metropolitan Planning Organizations. Click here to determine the appropriate one for your location.
Metropolitan Planning Organizations

The Local Scoping Program provides the MPOs' subregions (counties) the opportunity to use federal funding to advance local, surface transportation projects through preliminary engineering and the National Environmental Policy Act (NEPA), thereby developing a solution to a defined transportation problem. The subregion identifies a transportation problem (i.e., congested roadway, structurally deficient bridge, missing link in a bike or pedestrian system) and solves this problem during the "scoping" phase of the project development process. After the scoping process, the project would be ready for final design. The Local Lead Program allows the MPOs' subregions to apply directly for federal funding for the advancement of local, surface transportation projects through the final design, right-of-way acquisition and construction phases of the project development process.

Projects must be surface transportation projects (i.e., roadways, bridges, bike paths, pedestrian facilities) on roads with the functional classification of rural major collector, rural minor arterial, rural principal arterial, urban collector, urban minor arterial, or urban principal arterial.

For more information - NJTPA Counties:

For more information - DVRPC Counties:

For more information - SJTPO Counties:

Local Transportation Planning Assistance Program (LTPA)
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NJ Department of Transportation

This program is for NJDOT consultant support designed to address local transportation and quality of life issues by promoting local implementation of the state's Smart Growth land use and transportation policies. The LTPA program provides municipalities with consultant expertise in the professional disciplines of transportation and land use planning to develop local circulation elements, access management plans, local traffic calming studies, and other transportation related planning initiatives. Potential and designated State Development and Redevelopment Plan Centers, Transit Oriented Developments, and participation in the Department's Transit Village and smart growth corridor planning initiatives receive highest priority. Municipal requests for LTPA services will be evaluated based on the nature of the problem(s) to be addressed and the expected benefit to the community. Applicants must commit staff and or/financial resources to these efforts. All studies undertaken must have a public outreach aspect, including continuing involvement by both the official representatives of the municipality as well as participation by local citizens. This Program is administered by the Division of Transportation Systems Planning & Research, Bureau of Systems Development and Analysis (BSDA).

For more information:

Municipal Aid Program
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NJ Department of Transportation

Municipal Aid funds are appropriated by the Legislature annually for the improvement of public roads and bridges under municipal jurisdiction. Funding is made available for municipalities in each county based on a formula that takes into account municipal road mileage within the county and county population. These funds are allocated to individual projects within various municipalities through a competitive process. Projects may be improvements to public roads and bridges under municipal jurisdiction. As is the case with the County aid program, independent pedestrian and bicycle projects can be funded under the municipal aid program; however, few if any independent pedestrian and bicycle projects have been funded through this program. This program is administered by the NJDOT Division of Local Aid and Economic Development.

Fore more information:

National Historic Covered Bridge Preservation Program
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NJ Department of Transportation

This federal program provides funding to States for the rehabilitation, repair, or preservation of covered bridges that are listed or eligible for listing on the National Register of Historic Places. The program provides for two categories of projects. One is for grants to assist the States to rehabilitate, repair, and preserve the Nation's historic covered bridges. The second is for the conduct of research and technology transfer. A New Jersey municipality interested in preserving a historic bridge should apply through the NJDOT.

For more information:

Public Works (Capital) Funding
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County and Municipal Governments

County or Municipal funding can be used to fund smart transportation and smart land use projects, by including the projects in the municipal (or county) budget, or bonding for it in the same way bonds are used to fund the construction and rehabilitation of roadway improvements for cars. Pedestrian improvements can be fully or partially assessed against the property owners along whose frontage the improvement (ordinarily a sidewalk) is placed. As with other categories of funding, bicycle and pedestrian improvements may be incidental to larger roadway projects; or they can be independent and solely to address pedestrian needs. Even small amounts of funding in county or municipal sources can be very important since they may be used to leverage or show local commitment in applications for other funding sources (e.g., Transportation Enhancements, Local Aid For Centers, etc.).

For more information:

  • Contact the appropriate County or Municipal government.
Safe Routes to School
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NJ Department of Transportation

Safe Routes to School is a new federal-aid program. Its purposes are to: enable and encourage children, including those with disabilities, to walk and bicycle to school; make bicycling and walking to school a safer and more appealing transportation alternative, thereby encouraging a healthy and active lifestyle from an early age; and facilitate the planning, development, and implementation of projects and activities that improve safety and reduce traffic, fuel consumption and air pollution in the vicinity of schools. In New Jersey, the program is coordinated by the Division of Local Aid and Economic Development.

For more information:

Safe Streets to School
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NJ Department of Transportation

This funding is available for communities seeking to improve the safety of children walking to school, and encourage more children to walk to school. Types of projects funded include: new sidewalks, pedestrian walkways, crosswalks, traffic signals, pedestrian signs, warning devices, traffic calming and intersection improvements. This program is administered by the NJDOT Division of Local Aid and Economic Development.

For more information:

Scenic Byways
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NJ Department of Transportation

This program provides funds to designated Scenic Byways. So far, two scenic byways have been designated in New Jersey: Delaware River Scenic Byway and the Millstone River Valley Scenic Byway. Funds are available for: an activity related to the planning, design, or development of a State or Indian tribe scenic byway program; development and implementation of a byway corridor management plan; safety improvements to accommodate increased traffic; improvements that enhance access; protection of resources adjacent to the byway; development and implementation of a marketing program; development and provision of tourist implementation; and construction of bicycle and pedestrian facilities, interpretive facilities, overlooks and other enhancements for byway travelers.

For more information:

State Aid for Jersey City and Newark
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Note: This program only applies to Jersey City and Newark.
NJ Department of Transportation

In addition to the Municipal Aid, Jersey City and Newark are allocated additional transportation aid funds. The Cities of Jersey City and Newark must develop an Annual Transportation Program (ATP). The program must indicate each project to be undertaken and the estimated cost of each. The ATP shall be approved by Mayor and Council, and submitted to the Department of Transportation for final approval. This program is administered by the NJDOT Division of Local Aid and Economic Development.

For more information:

State and Community Highway Safety Grants
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NJ Department of Law & Public Safety

State and Community Highway Safety grants are apportioned to the States through the National Highway and Traffic Safety Administration to pay for the non-construction costs of highway safety programs aimed at the reduction of injuries, deaths, and property damage from motor vehicle accidents. These projects generally consist of developing or upgrading traffic record systems; collecting and analyzing data; conducting traffic engineering studies and analyses; developing technical guides and materials for States and local highway agencies; developing work zone safety programs; encouraging the use of safety belts and child safety seats; developing roadway safety public outreach campaigns; reducing impaired drivers; developing programs to combat drivers who speed or drive impaired; and developing programs to reduce aggressive driving. Pedestrian and bicycle projects are on the NHTSA priority list. In each state, the program is administered by a designated Highway Safety representative. In New Jersey, the designated representative is the Director of the Division of Highway Traffic Safety in the Department of Law and Public Safety. Pedestrian projects have been funded, including the development and dissemination of brochures and public service announcements promoting safe pedestrian practices and a 3-E (Engineering, Enforcement, Education) program in cooperation with the City of Trenton which includes road signs and crosswalk marking. Recently, cooperative pedestrian safety programs have been implemented with Jersey City and Elizabeth. This program may be repeated in other communities with high pedestrian accident experiences, where there is local support.

For more information:

Subregional Study Program
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Note: This program is only available in Bergen, Essex, Hudson, Hunterdon, Middlesex, Monmouth, Morris, Ocean, Passaic, Somerset, Sussex, Union, and Warren Counties.
North Jersey Transportation Planning Authority

This is a competitive program that provides two-year grants to individual subregions or subregional teams. The program is designed to assist subregions in refining and developing transportation improvement strategies rooted in the NJTPA's Regional Transportation Plan (RTP). Ultimately, the program aims to generate project concepts ready for further development or implementation consistent with the RTP and/or other transportation planning activities in the region.

For more information:

Transit Village Initiative
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NJ Department of Transportation / NJ Transit

This program provides funds for municipalities and counties for the construction of pedestrian access and safety improvements. It includes the Safe Streets to School program. The solicitation for project applications occurs at the same time as the solicitation for municipal aid projects. Applications are solicited, evaluated, and rated by NJDOT staff. Based on this evaluation, a list of recommended projects is proposed to the Commissioner of Transportation, who makes the final selection. The program is administered by NJDOT's Division of Local Government Services.

For more information:

Transportation, Community, and System Preservation (TCSP) Program
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Federal Highway Administration

The Transportation, Community, and System Preservation (TCSP) Program is a comprehensive initiative of research and grants to investigate the relationships between transportation, community, and system preservation plans and practices and identify provide sector-based initiatives to improve such relationships. States, metropolitan planning organizations, local governments, and tribal governments are eligible for discretionary grants to carry out eligible projects to integrate transportation, community, and system preservation plans and practices that:

  • Improve the efficiency of the transportation system of the United States;
  • Reduce environmental impacts of transportation;
  • Reduce the need for costly future public infrastructure investments;
  • Ensure efficient access to jobs, services, and centers of trade;
  • Examine community development patterns and identify strategies to encourage private sector development patterns and investments that support these goals.

For more information:

Transportation Community Development Initiative (TCDI)
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Note: This program is only available in Burlington, Camden, Gloucester, and Mercer Counties.
Delaware Valley Regional Planning Commission

The TCDI program is intended to assist in reversing the trends of disinvestment and decline in many of the region's core cities and first generation suburbs by:

  • Supporting local planning projects that will lead to more residential, employment or retail opportunities;
  • Improving the overall character and quality of life within these communities to retain and attract business and residents, which will help to reduce the pressure for further sprawl and expansion into the growing suburbs;
  • Enhancing and utilizing the existing transportation infrastructure capacity in these areas to reduce the demands on the region's transportation network; and
  • Reducing congestion and improving the transportation system's efficiency.

For more information:

Transportation Development Districts
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Transportation development districts are regional districts created voluntarily by municipal and/or county governments to fund transportation infrastructure costs, whether transit or roadway. Costs of infrastructure improvements are borne by the public sector (taxpayers) and private developers under a predetermined cost-sharing formula based upon traffic generation or other criteria associated with the development that occasions the need for additional investment in infrastructure.

The transportation development district must have a plan of development, and should be consistent with other land use and development plans. Zoning and build-out projections by each municipality (or other entity with zoning/land use authority) should govern the infrastructure required for the district; however, in practice, the development district plan often is put into place to foster more development and at a greater intensity than that zoned or desired by the municipality.

Nevertheless, as conceived, transportation development districts are a convenient and lawful method by which municipalities and counties can agree together on methods to raise revenue to fund infrastructure and other development-related costs, and to require major contributions from the private sector without fear of claims of unconstitutional ad hoc permit exactions or ultra vires government action.

Revenue to fund infrastructure costs is raised, in addition to developer contributions, from parking fees, transportation user surcharges, and similar new or increased tax or user charges. The advantage of a TDD is that local government entities usually do not have such revenue-raising power for transportation projects.

For more information:

Transportation Improvement Program
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Note: New Jersey has three Metropolitan Planning Organizations. Click here to determine the appropriate one for your location.
Metropolitan Planning Organizations

Each of New Jersey's three MPOs is responsible for preparing a Transportation Improvement Program, a list of all transportation projects and programs of the New Jersey Department of Transportation, the New Jersey Transit Corporation, and individual counties and municipalities, to be funded in the next three fiscal years. Together, the three TIPs form the STIP (Statewide Transportation Improvement Program).

In order for a local transportation project to receive federal or state funding, it must be included in the TIP.

For more information - NJTPA Counties:

For more information - DVRPC Counties:

  • Visit DVRPC's TIP Webpage.
  • Contact Charles D. Dougherty, Associate Director for Transportation Planning, (215) 238-2863.

For more information - SJTPO Counties: