537 communities receive funds for local infrastructure improvements

TRENTON – Governor Phil Murphy today announced $150 million in Fiscal Year 2026 Municipal Aid grants, with 537 cities and towns across the state receiving funds to advance road, bridge, safety, and quality-of-life improvements, demonstrating the Department of Transportation’s Commitment to Communities.

The competitive Municipal Aid grant program attracted 591 applications from 537 different municipalities with a total of $363 million requested. Project applications were evaluated and rated on their merits by NJDOT staff and reviewed by an independent panel of New Jersey municipal engineers. Every municipality that applied for funding, all 537 municipalities, received a grant, totaling $150 million.

“Having a safe and efficient transportation system throughout the state means investing in local roads and bridges, as well as State highways,” Governor Phil Murphy said. “Municipal Aid provides the funds for infrastructure projects in our towns and cities that significantly improve the quality of life for New Jersey residents.”

“Once again, NJDOT was able to award funding to every community that applied for a Municipal Aid grant this year,” NJDOT Commissioner Fran O’Connor said. “Governor Murphy’s ongoing commitment to improving New Jersey’s infrastructure is making New Jersey’s roads and bridges safer for all users whether you are driving, walking, or cycling.”

Nearly 43 percent of the funding, $64.3 million, is going to 179 municipalities with Complete Streets policies. Another $22.4 million is being awarded to 52 communities where the project meets equity criteria to benefit low-income and minority populations.
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The Department encouraged municipalities to consider using the Municipal Aid Program to fund projects that support safety, walking, and biking in their communities. This year six percent of the grants represent this type of non-traditional project.

Under the Municipal Aid grant program, each county is apportioned a share of the total funding based on population and the number of local centerline miles. Municipalities compete for portions of their county’s share. NJDOT provides 75 percent of the grant amount when a town awards a contract and the remaining 25 percent upon completion of the project. Of the $150 million, $10 million is allotted for municipalities qualifying for Urban Aid as defined under state law, with the amounts determined by the Department of Community Affairs.

Applications for Municipal Aid grants were submitted to NJDOT by July 1, 2025 and have been judiciously reviewed. There are eight project categories within the Municipal Aid grant program eligible for funding: Roadway Preservation, Roadway Safety, Quality of Life, Mobility, Bikeway, Pedestrian Safety, Bridge Preservation, and Pavement Preservation. When evaluating applications, NJDOT verifies if the municipality has adopted a Complete Streets policy. A Complete Streets policy establishes guidelines that require consideration be given to pedestrians and bicyclists when local transportation projects are being planned, designed, and built.

The grants are administered by the NJDOT Division of Local Aid and Economic Development. The Local Aid Resource Center provides a central warehouse for local government managers by providing hands-on resources for the application process, raising awareness of grant cycles and proactively communicating program information.

For more information about Local Aid programs go to www.njdotlocalaidrc.com; call 609.649.9395; or email DOT-LocalAID.ResourceCenter@dot.nj.gov. For NJDOT news, follow us on X (Twitter) @NewJerseyDOT, the NJDOT Facebook page, or on Instagram @NewJersey.DOT.

Safety is everyone’s responsibility. Watch NJDOT Commissioner Fran O’Connor’s message about making roadway safety a way of life.