FHWA’s National Highway Performance Program provides funding to states for transportation infrastructure projects that protect against flooding and other natural hazards. Eligible projects include raising or relocating roadways, stabilizing slopes, improving drainage, and using nature-based solutions to reduce the risk of flooding to the National Highway System.

Supports nature-based solutions

Application cycle: State Departments of Transportation are automatically awarded formula funding for the NHPP, and do not need to submit a competitive proposal to access NHPP funds.

Summary: The U.S. Department of Transportation (DOT) Federal Highway Administration’s (FHWA) National Highway Performance Program (NHPP) funds improvements to transportation infrastructure in the National Highway System (NHS). With changes under the Bipartisan Infrastructure Law, the NHPP now prioritizes projects that increase the resilience of the NHS and reduce damages from flooding, sea level rise, and other natural hazards. This expanded eligibility provides a new opportunity for states to fund transportation resilience, increase uptake of nature-based solutions, and ensure that roadways and bridges are better equipped to withstand flooding.

Eligible applicants: State DOTs are direct recipients of NHPP funding. Local governments and other entities, such as Metropolitan Planning Organizations, can provide input into state prioritization of NHPP projects.

Eligible activities: The Bipartisan Infrastructure Law made flood resilience a primary purpose of the NHPP. Below is a list of example NHPP-eligible projects that reduce flood risk. FHWA will also support states to develop other eligible activities for NHPP funding.

• Raising and relocating roads above projected flood levels.
• Stabilizing slopes and areas prone to landslides.
• Lengthening or raising bridges to allow for greater water flow.
• Increasing the size or number of drainage structures.
• Replacing culverts with bridges, upsizing culverts, and installing seismic retrofits on bridges.
• Adding scour protection at bridges, installing riprap, and installing other measures for stream stability and flood protection.
• Using nature-based solutions like vegetative cover to manage stormwater, reduce flooding, and protect against storm surge.

Funding: Generally, no federal statutory minimums or maximums exist for eligible activities. For example, NHPP funded a $1.5 million bridge rehabilitation project in Minnesota, a $16 million erosion control project in Iowa, and nearly $20 million for drainage structures and erosion control in North Carolina.

• Approximately $30 billion in total funding will be available in FY2024, FY2025, and FY2026. FY2024 state allocations can be found online. 
• States can use up to 15% of NHPP funds for projects that add protective features to Federal-aid highways or bridges that are not part of the NHS.
• 2% of NHPP funds are set-aside for State Planning and Research, which can include engineering and economic studies or transportation system planning.
  

Cost share:

• 80% federal / 20% nonfederal.
• 90% federal / 10% nonfederal, for projects on the Interstate Highway System.
• 65% federal / 35% nonfederal, for states that have not developed and implemented an asset management plan in the required time.
  

Application process: States are automatically awarded formula funding for the NHPP, and do not need to submit a competitive proposal to access funds.

• State DOTs determine which projects receive NHPP funding but consider input from local communities and Metropolitan Planning Organizations. If a local government or similar entity believes they have a project that may be eligible under the NHPP, they should contact their State DOT for additional information.
• States can transfer up to 50% of NHPP funds each year to or from eligible FHWA programs, like the Surface Transportation Block Grant and PROTECT Programs, allowing flexibility to meet state resilience and infrastructure priorities.
• To learn more about the NHPP, visit FHWA’s website.