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 Transit improvements

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:

Congestion Mitigation and Air Quality 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

Congestion Mitigation and Air Quality (CMAQ) funds are focused primarily on transportation control measures (TCMs). TCMs are strategies whose primary purpose is to lessen the pollutants emitted by motor vehicles by decreasing travel demand (e.g., reducing motor vehicle trips, vehicle-miles traveled, and use of single occupant vehicles) and encouraging more efficient facility use (e.g., reducing vehicle idling and stop-and-start traffic in congested conditions, managing traffic incidents expeditiously).

In addition, CMAQ funds may be used for projects that reduce vehicle emissions directly through vehicle inspection and maintenance programs and fleet conversions to less polluting alternative-fuel vehicles. Intermodal freight facilities, strategies to reduce particulate emissions, and public education and other related outreach activities in support of TCMs are also eligible. The funds are intended primarily for new facilities, equipment, and services aimed at generating new sources of emission reductions. Operating funds that support these projects are generally restricted to a 3-year period. The CMAQ enabling legislation explicitly prohibits funding of construction projects that provide new capacity for single-occupant vehicle travel, such as the addition of general-purpose lanes to an existing highway or a new highway at a new location.

For more information - NJTPA Counties:

For more information - DVRPC Counties:

For more information - SJTPO Counties:

Construction of Ferry Boats and Ferry Terminal Facilities Program
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Federal Highway Administration

This discretionary program provides funding for the construction of ferry boats and ferry terminal facilities. $5 million out of the annual allocation is specifically set aside for the state of New Jersey. Thus far, the provided funding has been underutilized.

Priority shall be given to projects that:

  • provide critical access to areas not well served by other modes of surface transportation
  • carry the greatest number of passengers and vehicles
  • carry the greatest number of passengers in passengers-only service

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:

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:

NJ TRANSIT Capital Programs
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NJ Transit

A municipality seeking capital improvements to NJ TRANSIT bus and rail transit infrastructure may write a letter to the agency describing the problem area. NJ TRANSIT will assess the problem area and will evaluate possible capital improvements intended to address it. A municipality also should contact its county planning department to solicit support in submitting a transportation need to NJ TRANSIT.

For more information:

  • Contact James P. Redeker, NJ TRANSIT Assistant Executive Director, Policy, Technology and Customer Service, (973) 491-7750.
NJ Transit Community Shuttle Program
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NJ Transit

NJ TRANSIT's Community Shuttle Program offers a community the opportunity to provide its residents with shuttle service to and from a rail station, major bus corridor or a light rail station, during "peak" periods (6-9 a.m. and 4-7 p.m.). The program is a competitive process, open to any municipality or county. NJ TRANSIT uses federal funds to purchase 20-passenger minibuses that are leased, at no cost, to municipalities/counties for use in providing shuttle service. In addition, NJ TRANSIT offers initial "seed" funding in partial support of the operating costs for the shuttle service, during the first three years of operation. A municipality may use the vehicle during non-peak periods for other local transportation needs, at its own expense. This program is currently not accepting applications. However, for information on this program, please contact Sally Stocker at (973) 491-7774.

NJ Transit Local and Community Transportation Programs
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NJ Transit

The NJ TRANSIT Service Planning and Development area administers various federal grant programs and passes funding to sub-recipients, including counties, municipalities and private non-profit agencies.

The Local Programs and Minibus Support Unit administers the state casino revenue funds passed through to counties, as well as the federal Transit Administration's Section 5310 (Capital Assistance for Senior and Disabled Transportation programs) and Section 5311 (Assistance for non-urban transportation programs) funds. State law provides 7.5% of the Casino Tax Fund to be appropriated for transportation services for senior and disabled persons. Out of these funds, 85% is available to the counties through NJ TRANSIT for capital, operating, and administrative expenses for the provision of locally coordinated para-transit services. The amount each county receives is determined by utilizing an allocation formula based on the number of residents 60 years of age and over as reflected in the most recent U.S. Census Report. Under the FTA Section 5310 capital assistance program up to $2.5 million dollars a year is made available to purchase accessible vans and minibuses for agencies serving seniors and persons with disabilities. Under the Section 5311 program, between $2 and $3 million is made available to non-urban (rural) areas for operating, capital and administrative expenses, and also for the acquisition, construction and improvement of facilities and equipment.

The Innovation Service Planning Unit provides administrative oversight to the FTA Jobs Access and Reverse Commute grant program, the NJ TRANSIT Community Shuttle program as well as various federal earmarks for local communities.

For more information:

  • Contact Robert Koska, Director, Local Program and Minibus Support Unit, rkoska@njtransit.com, (973) 491-7376.
  • Contact Richard Kerr, Director, Innovation Service Planning Unit, rkerr@njtransit.com, (973) 491-7459.
NJ Transit Sales and Employer Services
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NJ Transit

The Sales and Employer Services Division of NJ TRANSIT assists both public and private sector employers and employees with their transit needs and concerns. Through the following products and services, NJ TRANSIT seeks to address problems and offer solutions to traffic congestion, cleaner air, increased employee productivity, awareness of available commute options and access to safe, affordable and reliable transportation.

  • BusinessPass is the NJ TRANSIT commuter pass program that offers pre-tax savings on commuting costs. For more information, call (973) 491-7600 or e-mail businesspass@njtransit.com.
  • Get A Job Get A Ride/Corporate Partners: Employers participating in BusinessPass are eligible to become Corporate Partners with NJ TRANSIT. Under this arrangement, they may submit an application for new hires to receive a free monthly pass, provided they meet the program's criteria. For more information, call (973) 491-7600 or e-mail cplnsale@njtransit.com.
  • WorkPass offers qualifying social service and non-profit agencies the opportunity to purchase NJ TRANSIT monthly commuter passes and tickets. Agencies distribute these passes and tickets to program participants for use in their job related activities. For more information, call (973) 491-7600 or e-mail cplncad@njtransit.com.
  • The Air Quality Partnership is comprised of over five hundred corporations, government agencies and other organizations, working to reduce ground-level ozone. NJ TRANSIT supports this effort by offering the Air Quality Partnership members a special discounted round-ticket, OzonePass, for their employees' commute on designated "ozone alert days." For more information, call (973) 491-7600.
  • Vanpool Sponsorship Program: Vanpools are voluntary ridesharing arrangements, especially useful for travel patterns and areas not well serviced by traditional public transit. NJ TRANSIT provides financial assistance up to $150 per month to help vanpools offset their costs. For more information, contact your local Transportation Management Association at 1-800-245-POOL.
  • Relocation Services: NJ TRANSIT can help companies and their employees make the move from one worksite to another, including educating employees about public transit options. For more information, call (973) 491-7600 or e-mail cplnsale@njtransit.com.

For more information:

Smart Commute Initiative
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Fannie Mae

In 2004, NJ TRANSIT and Fannie Mae introduced the New Jersey Statewide Smart Commute Initiative. The program, designed to encourage state residents to consider homeownership options near public transportation, is supported by the New Jersey Association of Realtors and a range of local and national lending institutions.

The Smart Commute Initiative is based on the premise that living near transit and using it for work and non-work trips can reduce a household's total spending on transportation, and that those potential savings can be redirected toward housing costs. Lenders participating in the program will add a share of the borrower's potential transportation savings - $200 per month for single-wage households and $250 per month for dual-wage households - to their qualifying income, thus increasing the applicant's home-buying power.

To qualify for the program, homes must be within one-half mile of rail or light rail stations or within one-quarter mile of a bus stop. Buyers cannot own more than two cars and must agree to use transit for their trips to work. Additional features of Smart Commute include low down payments of 3 percent and up to two free one-month transit passes from NJ TRANSIT. This newest incentive for locating near transit complements transit-friendly financing products already offered by the New Jersey Housing and Mortgage Finance Agency. These include the HMFA's "City Living" program for the development of market-rate rental housing in urban locations, and its "At Home Downtown" program for the rehabilitation or construction of one- to four-unit residential structures with storefront commercial components.

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 Enhancements
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NJ Department of Transportation

The Transportation Enhancements program funds community-based projects that expand travel choices and enhance the transportation experience by improving the cultural, historic, aesthetic and environmental aspects of the transportation infrastructure. Several types of transportation-related projects are eligible, including: provisions for pedestrians and bicycles; safety and educational programs for pedestrians and bicyclists; scenic or historic highway programs; landscaping and other scenic beautification; historic preservation and site acquisition; rehabilitation of historic transportation buildings; preservation of abandoned railway corridors; control and removal of outdoor billboards; archeological planning; environmental mitigation of stormwater; establishment of transportation-related museums.

Any municipal or county government, non-profit organization or State agency may submit a Transportation Enhancement application. However, the municipal governing body in which the project is located must support it. All applications from local agencies and non-profit civic groups should receive municipal governing body endorsement. Regional projects should receive the endorsement of all affected counties and municipalities. A multi-discipline Committee reviews the projects and makes recommendations to the Commissioner of Transportation who makes final selections. Designated "Centers" receive additional consideration since acknowledged consistency with the goals of the State Development and Redevelopment Plan usually increases a project proposal's chance of success. This program is federally funded, and is administered by the NJDOT Division of Local Aid and Economic Development. In FY 2004, more than $11.5M was given to 27 New Jersey towns.

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:

Transportation Management Associations
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Transportation Management Associations are nonprofit membership associations that are supported by and work directly with area employers, developers and the public sector to solve transportation and commuting problem. In New Jersey, TMAs receive substantial funding assistance through the Department of Transportation. In recent years, these funds have been from federal sources (CMAQ, or STP) although in the past, funding came from state sources.

TMAs have considerable latitude in developing annual work programs to implement Travel Demand Management strategies. Services include information on Park-and-Ride, ridesharing and transit, advice on local and corridor traffic, telecommuting advice, guaranteed rides home, networking sessions, development of bicycling suitability maps, promotional efforts aimed at increasing bicycling and walking, effective cycling presentations and other activities. This program is administered by the NJDOT Division of Transportation Systems Planning & Research.

For more information: