Rural Surface Transportation Grant Progam | RSTGP 25 26 RURAL

Opportunity Information: Apply for RSTGP 25 26 RURAL

The Rural Surface Transportation Grant Program is a competitive federal grant opportunity created by the Bipartisan Infrastructure Law to help rural communities improve and expand surface transportation infrastructure. The goal is to strengthen rural connectivity, make travel and freight movement safer and more reliable, and support regional economic growth and quality of life. This program is being offered as part of a larger combined notice called the Multimodal Projects Discretionary Grant (MPDG), which bundles multiple discretionary programs and two fiscal years of funding into a single application framework to reduce paperwork for applicants and build a stronger pipeline of projects that are ready to advance.

Funding for the Rural program totals about $1.7 billion over five years under the Bipartisan Infrastructure Law, and roughly $780 million is available through this specific Notice of Funding Opportunity (NOFO). A major practical detail is how the funding is expected to be distributed: at least 90% of Rural funds must be awarded as grants of $25 million or more. That means smaller requests face a much tighter competition pool; if a project is seeking less than $25 million, it is competing for only about $78 million nationwide in this round. The award ceiling listed for the opportunity is $780,000,000, and the application deadline shown is May 6, 2024.

Applications are reviewed using a structured set of evaluation factors. Projects will be scored against six outcome criteria: (1) safety, (2) state of good repair, (3) economic impacts including freight movement and job creation, (4) climate change, resilience, and environmental considerations, (5) equity, multimodal options, and quality of life, and (6) innovation, which includes technology, project delivery approaches, and financing. In addition to those outcome criteria, the Department will consider the project’s economic analysis, overall readiness (how prepared the project is to move forward), and the statutory requirements that govern the program.

Eligible applicants include states (with the term “state” explicitly including the District of Columbia and Puerto Rico), regional transportation planning organizations, local governments, tribal governments or consortia of tribal governments, and multijurisdictional partnerships made up of the eligible entity types. The program is designed for rural needs, so applicants should be prepared to clearly document how the project serves a rural area and how it advances the program’s connectivity, safety, reliability, and economic goals.

Eligible projects cover a range of surface transportation investments, especially those tied to highways, bridges, and tunnels. Specifically, eligible project categories include projects that would qualify under the National Highway Performance Program, the Surface Transportation Block Grant program, or the Tribal Transportation Program. The program also covers highway freight projects eligible under the National Highway Freight Program and highway safety improvement projects, including improvements to high-risk rural roads as defined under the Highway Safety Improvement Program. In addition, the grant can fund projects on publicly owned highways or bridges that provide or increase access to agricultural, commercial, energy, or intermodal facilities that support the rural economy. The program also allows projects that develop, establish, or maintain integrated mobility management systems, transportation demand management systems, or on-demand mobility services, reflecting an interest in operational and technology-driven solutions, not only traditional construction.

One important limitation applies to projects located on local roads or rural minor collectors: those projects must qualify under the category focused on providing or increasing access to an agricultural, commercial, energy, or intermodal facility that supports the economy of a rural area. In other words, for smaller rural road classifications, it is not enough to argue general safety or maintenance benefits; the application needs to connect the project directly to improved access that supports rural economic activity.

Because the Rural grant is being offered through the combined MPDG process, applicants who want their project considered for multiple MPDG programs do not need to submit duplicate applications to different Grants.gov postings. Submitting once through a single Grants.gov opportunity number is sufficient, and the Department will consider the application for all relevant programs unless the applicant opts out or is ineligible for a particular program. The listing identifies the opportunity as discretionary, funded through a grant instrument, with CFDA number 20.938, and managed under the Department of Transportation structure associated with the Office of the Under Secretary for Policy (Agency code 69A345).

• The 69A345 Office of the Under Secretary for Policy in the iij sector is offering a public funding opportunity titled "Rural Surface Transportation Grant Progam" and is now available to receive applicants.
• Interested and eligible applicants and submit their applications by referencing the CFDA number(s): 20.938.
• This funding opportunity was created on 2024-03-25.
• Applicants must submit their applications by 2024-05-06. (Agency may still review applications by suitable applicants for the remaining/unused allocated funding in 2026.)
• Each selected applicant is eligible to receive up to $780,000,000.00 in funding.
• Eligible applicants include: Others.

Apply for RSTGP 25 26 RURAL

[Watch] Creating a grant proposal using the step-by-step wizard inside the applicant portal: