Gov. Kay Ivey announced $7.6 million in Rebuild Alabama grants for 26 road projects across Alabama, supported by local matching funds.
A new round of state transportation money is heading to Alabama’s local governments, with Gov. Kay Ivey announcing $7.6 million in Rebuild Alabama grants for road projects across the state.
Ivey said the funding will be awarded to cities and counties for 26 road projects in Alabama. marking the first round of grants available this year under the Alabama Department of Transportation’s Annual Grant Program.. The program was created through the Rebuild Alabama Act. which passed the Legislature by a wide margin before Ivey signed it in 2019.
The Rebuild Alabama framework is designed to ensure ongoing support for local infrastructure. with the law requiring ALDOT to set aside at least $10 million from the state’s share of gas tax revenue each year for local transportation projects.. Ivey pointed to the visible impact of that work statewide. noting that the blue Rebuild Alabama signs are part of the road and bridge projects underway in all 67 counties.
This year’s grant effort is tied to a broader state spending plan under the Annual Grant Program.. For 2026. ALDOT’s program will award a total of $15 million in state funds. which is $5 million more than the minimum required by the Rebuild Alabama Act. with the state expected to provide additional funding later in the year.
Cities and counties will also contribute their own resources: the awarded projects include more than $1.9 million in local matching funds.. Ivey emphasized that the grants are meant to help communities take on critical improvements. and that projects must move forward within one year of receiving the funds.
The governor’s announcement adds to the track record of the program since the Rebuild Alabama Act took effect. It was reported that, over time, ALDOT’s Annual Grant Program has distributed more than $78 million in state transportation funding for local projects.
The practical significance of these grants is that they convert state transportation revenue into targeted. community-level work on roads and related infrastructure.. By anchoring that flow through a recurring grant program linked to gas tax revenue. the Rebuild Alabama approach aims to make local projects less dependent on one-off funding cycles.
The list of the specific local projects included in this round is available as part of the announcement.
As Alabama’s local governments begin planning and contracting within the required timeframe, the next phase of state awards later this year will determine how much additional support communities can expect beyond the initial $7.6 million round.
Rebuild Alabama ALDOT grants Kay Ivey road projects Alabama transportation state funding gas tax revenue