Over $127 million awarded to rural communities for infrastructure projects

Bidding would be for fiscal year 2027

INDIANAPOLIS – The Indiana Department of Transportation (INDOT) announced today that $127.6 million in federal transportation funding is being awarded to 38 cities, towns, and counties across rural Indiana to invest in local road and bridge improvements, as well as sidewalk and trail projects. Combined with local funds, approximately $156.9 million is being invested to improve transportation infrastructure in communities receiving funds.

“Improving local infrastructure is essential to the constant growth of communities across Indiana,” said Governor Eric J. Holcomb. “Enhancing our state’s transportation network allows for continued economic success to follow and a better quality of life for Hoosiers.”-

Types of projects receiving funds include 26 bridge rehabilitation/replacement projects; 11 resurfacing/reconstruction projects; three Transportation Alternative Program (TAP) projects that involve sidewalks, ADA ramps, and trails; and seven traffic safety projects.

For this latest round of funding, local communities will design, develop and purchase land for projects that would be bid during the fiscal year beginning July 2027. While the funds awarded now are dedicated to construction, INDOT will financially participate in design, engineering, and right-of-way acquisition components for some projects.

“Modernized infrastructure strengthens communities,” said INDOT Commissioner Mike Smith. “INDOT's commitment to improve local roads and bridges, as well as expand sidewalks and trails illustrates the partnerships in place that are making Hoosier cities, towns and counties great places to live, work and play.”

INDOT dedicates approximately 25 percent of its federal highway funds to supporting local projects each year. Metropolitan Planning Organizations (MPOs) distribute those funds to cities, towns, and counties within the state’s larger urbanized areas while INDOT distributes funds outside MPO areas. Communities must contribute at least 20 percent in local matching funds and meet other federal requirements to receive federal funding.

Rural communities were invited to submit project applications to INDOT for potential funding during a call for projects announced last fall.

A list of all communities receiving funds is available here