The Indiana Department of Transportation announced Feb. 12 that $120.8 million in federal transportation funding is being awarded to 52 cities, towns and counties in rural portions of Indiana to invest in local road and bridge improvements and sidewalk projects.

There were just two southeast Indiana grants: Batesville, $1.53 million; and Dearborn County, $1.59 million.

“Indiana is making unprecedented investments in infrastructure,” Gov. Eric Holcomb said. “Our partnership with cities, towns and counties to improve local roads and build new sidewalks is an important element in our bold strategy to enhance connections for all Hoosiers regardless of where they live, play and work.”

For this latest round of funding, rural communities will design, develop and purchase land for projects that would be bid during the fiscal year beginning July 2025. While the funds awarded now are dedicated to construction, INDOT will also be financially participating in design, engineering and right of way acquisition components of these projects.

Federal transportation funds are leveraged by many communities to rehabilitate or replace local bridges. As INDOT continues to partner with local governments to make record investments in taking care of existing roads and bridges, this round of funding awards emphasized improving local bridge conditions. Nearly $87 million in federal funds were awarded for projects to rehab or replace 54 local bridges currently rated in poor condition. Beyond bridge projects, these funds will support pavement resurfacing/reconstruction projects; Transportation Alternative Program (TAP) projects such as sidewalks, ADA ramps and trails; and traffic safety projects.

INDOT dedicates approximately 25% of its federal highway funds to supporting local projects each year. Metropolitan Planning Organizations 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% in local matching funds and meet other federal requirements to receive federal funding.

Communities were invited to submit project applications to INDOT for potential funding during a call for projects announced in October 2019.

A list of all communities receiving funds is online under 2025 Awards at

Recommended for you