USDOT Opens $1.5B in RAISE Discretionary Grants

USDOT opened $1.5 billion for the Rebuilding American Infrastructure with Sustainability and Equity (RAISE) program, project submissions are due January 30, 2025.

The U.S. Department of Transportation recently opened its next $1.5 billion funding round for the Rebuilding American Infrastructure with Sustainability and Equity (RAISE) program. The program provides planning and capital/construction funding for a wide variety of multimodal transportation projects, and local governments are directly eligible to apply. This unique funding round will reserve a portion of the funds for projects that received a highly recommended score from last year. It is unknown how much will be made available for “new” projects in this round. “New” project submissions are due January 30, 2025.

MDOT has developed resources to support counties with the RAISE program. Last year, MDOT hosted a recorded webinar on the RAISE program (available here) and developed a PowerPoint on the RAISE program (https://www.mdot.maryland.gov/OPCP/RAISE_Webinar_Jan5_2024.pdf).

Background on the Latest RAISE Funding

November 1, 2024.  The U.S. Department of Transportation (USDOT) Office of the Secretary (OST) issued a $1.5 billion Notice of Funding Opportunity (NOFO) for the Rebuilding American Infrastructure with Sustainability and Equity (RAISE) grant program. The program provides planning and implementation funding for surface transportation infrastructure projects demonstrating a significant local or regional impact.

Key Changes/Process:

  • USDOT has announced a two-part process for this NOFO.
    • Round 1: USDOT will reserve an undefined portion of funding for Highly Rated applications that are not selected for award under the FY 2024 NOFO. If an FY 24 project of merit is not selected in this round, it may submit for funding in Round 2. Projects of Merit must notify USDOT by 12/2/2024 if they wish to be considered. No amendments to the prior application allowed.
    • Round 2: After making Round 1 selections, USDOT will reserve an undefined portion of funding/future appropriations to make additional awards for any project submitted by the deadline. The deadline for Round 2 applications is 1/30/2025.

Eligible Applicants: which includes any combination of the below.

  • States and territories.
  • Units of local government.
  • A public agency or authority established by one or more States.
  • A special purpose district with a transportation purpose, to include ports.
  • A federally recognized Tribal government.
  • Transit agencies.
  • Ineligible for direct RAISE funding include: federal agencies, non-profits, private firms, and individuals.

Cost Share/Min-Max: There is a $1 million minimum for capital grants in rural areas and a $5 million minimum for capital grants in urban areas. There is no minimum funding request for planning grants. The cost share for RAISE grants is 80/20%, however applicants may seek up to 100% federal share for projects located in rural areas, defined Areas of Persistent Poverty or defined Historically Disadvantaged Communities. Please refer to NOFO pages 8-11 for definitions.

Eligible Projects:

  • Capital/Implementation:
    • Highway or bridge projects eligible under 23 USC.
    • Public transportation projects under 49 USC 53.
    • Passenger and freight railroad projects.
    • Port infrastructure investments (including inland ports).
    • The surface transportation components of an airport project.
    • Intermodal projects that have at least one eligible component.
    • Projects to replace or rehabilitate culverts or stormwater runoff for the purposes of improving habitat for aquatic species.
    • Tribal land surface transportation projects.
    • Projects that the Secretary deems eligible to include surface transportation components for TOD, mobility-on-demand projects, and public road and non-motorized projects that are not explicitly eligible under 23 USC.
    • Ineligible projects explicitly include: federal land projects and school bus electrification.
  • Planning:
    • Planning, preparation and design for any project eligible for capital funding.
    • Development of master plans, corridor-wide plans, land use, housing, transportation, zero emission fleet, and other plans.
    • Risk/vulnerability assessments.

Additional Considerations:

  • No State may receive more than 15% of RAISE funding ($225m).
  • 50/50 rural/urban project split.
  • At least $75m is reserved for planning grants.
  • At least $15m is reserved for Areas of Persistent Poverty/Historically Disadvantaged Communities.