Gov. Kay Ivey announces latest round of local road projects funded from 2019 gas tax increase
Alabama cities and counties have been approved for 26 road projects totaling more than $40 million through a program established under the Rebuild Alabama Act, Gov. Kay Ivey announced Wednesday.
The Rebuild Alabama Act, passed in 2019, increased the state gasoline and diesel tax and dedicated that money to road and bridge improvements. One part of the law sets aside a minimum of $30 million annually of the new gas tax revenue for the Alabama Transportation Rehabilitation and Improvement Program-II (ATRIP-II), with the funds designated for projects of local interest on the state highway system.
Of the 26 newly announced ATRIP-II projects, 18 were from cities and counties putting forward more than $18 million in local funds. Local matching funds are not required to be eligible.
The state has now awarded more than $180 million in state transportation funds under ATRIP-II since the program’s creation in 2019.
The ATRIP-II Committee created by the Rebuild Alabama Act picked the projects. Some of the projects are expected to be under contract during the 2024 fiscal year. All projects are required to move forward within two years of the awarding of funds.
The Rebuild Alabama Act increased the state gasoline and diesel tax by 10 cents a gallon. It was the first increase in the state fuel tax since 1992. The final 2 cents of the 10-cent increase took effect in 2021, bringing the total state tax to 28 cents a gallon for gasoline.