NAE Frequently Asked Questions

The NAE Program provides technical assistance and grant funding to improve walkability, safety, and affordable transportation access through context-sensitive strategies for improving community connectivity; to mitigate or remediate negative impacts on the human or natural environment; and assist economically disadvantaged or underserved communities with planning and capacity building activities. 

• Community Planning Grants will award NAE funding for planning activities for future construction projects and allow for innovative community planning to address localized transportation challenges.
• Capital Construction Grants will award NAE funding to carry out a project to remove, retrofit, mitigate, or replace an existing eligible dividing facility with a new facility that reconnects communities; mitigate a burdening facility that is a source of air pollution, noise, stormwater, or other burdens; or implement a strategy to reduce environmental harm and/or improve access.
• In addition to Community Planning and Capital Construction Grants, Regional Partnerships Challenge Grants will award NAE funding to a project led by two or more eligible applicants to address a persistent regional challenge related to equitable access and mobility. Eligible activities for Regional Partnerships Challenge Grants are the same as those listed under Capital Construction and Community Planning Grants but must have a regional focus. 

NAE Community Planning, Capital Construction, and Regional Partnerships Challenge Grants:                                                                

1. a State or territory of the United States; 
2. a unit of local government; 
3. a political subdivision of a State; 
4. a Tribal government; 
5. a special purpose district or public authority with a transportation function; 
6. a Metropolitan Planning Organization; or 
7. a nonprofit organization or institution of higher education that has entered into a partnership with an eligible entity (#1-6 above) and is applying for planning and capacity building activities in disadvantaged or underserved communities.                                                                                                                                            

For NAE, all eligible applicants are listed above in #1-7; however, DOT encourages for Community Planning Grants and Regional Partnerships Challenge Grants with planning activities, and requires for Capital Construction Grants and Regional Partnerships Challenge Grants with construction activities, that all lead applicants be the owner of the facility proposed in the project or, if the lead applicant is another eligible entity, to demonstrate a partnership with the Facility Owner.

Yes, if they meet the eligibility criteria. 

Yes, partnerships are encouraged and are included in the merit criteria, especially for the Regional Partnerships Challenge grants. 

The Inflation Reduction Act (IRA) allocates $3.155 billion for the NAE Program. Of this, the Department expects to award up to $135 million to Community Planning Grants, up to $2.57 billion to Capital Construction Grants, and up to $450 million to Regional Partnerships Challenge Grants. At least 40%, or up to $1.262 billion, will be distributed to economically disadvantaged communities.

NAE Community Planning, Capital Construction, and Regional Partnerships Challenge Grants:

• 80% NAE funds and 20% local match
• Projects in a disadvantaged or underserved community do not require a local match.

80% NAE funds 20% local match
Projects in a disadvantaged or underserved community do not require a local match

There is no minimum or maximum award for NAE grants. 

The IRA allocates $3.155 billion for the NAE Program.

Community Planning Grants: 

• Conducting public engagement activities
• Planning studies to assess the feasibility of removing, retrofitting, or mitigating an existing eligible dividing facility to reconnect communities
• Other planning activities in support of the project
• Planning and capacity building activities in disadvantaged or underserved communities to identify, monitor or assess air quality, emissions, hot spot areas or extreme heat, gaps in tree canopy coverage, or flood-prone transportation infrastructure
• Planning studies to assess the feasibility of removing, retrofitting, or mitigating an existing eligible burdening facility, and predevelopment activities for eligible NAE Capital Construction projects                                                                                                   

Capital Construction Grants:    

• Preliminary and detailed design activities and associated environmental studies; predevelopment/preconstruction; or permitting activities, including completion of NEPA process, for:
• Removal, retrofit, or mitigation of an eligible dividing facility
• Replacement of an eligible dividing facility with a new facility that restores community connectivity
• Delivering community benefits and the mitigation of impacts identified through the NEPA process or other planning and project development for the construction project
• Preliminary and detailed design activities and associated environmental studies; predevelopment/preconstruction; or permitting activities, including completion of NEPA process, for:
• The reuse of a facility to improve walkability, safety, and affordable transportation access through projects that are context sensitive
• Projects to mitigate or remediate negative impacts on the human or natural environment resulting from a burdening facility
• Building or improving complete streets, multiuse trails, regional greenways, or active transportation networks and spines
• Providing affordable access to essential destinations, such as through transit, to public spaces, or transportation links and hubs
• Assess transportation equity or pollution impacts
• Administer or obtain technical assistance related to other eligible planning activities

Regional Partnerships Challenge Grants:

• Activities under Community Planning Grants and Capital Construction Grants through partnerships of at least two eligible entities to tackle persistent, regional equitable access and mobility challenges                                                                                   

NAE funding shall not be used for a project for additional through travel lanes for single-occupant passenger vehicles. Funds may not be used to support or oppose union organizing.

Yes, the 23 USC 177 statute: Neighborhood access and equity grant program: Technical Assistance states: In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $50,000,000, to remain available until September 30, 2026, to the Administrator of the Federal Highway Administration for-

1. guidance, technical assistance, templates, training, or tools to facilitate efficient and effective contracting, design, and project delivery by units of local government;
2. subgrants to units of local government to build capacity of such units of local government to assume responsibilities to deliver surface transportation projects; and
3. operations and administration of the Federal Highway Administration.

NAE funds are available to be obligated until September 30, 2026. However, to ensure that projects are started and completed efficiently, DOT encourages all projects awarded with FY 2023 RCN Program funds to be obligated by the same date of September 30, 2026. DOT retains the right to prioritize projects for selection that are most likely to achieve this timeline and choose from which source to award funds to recipients, as applicable.  

Community planning applicants do not need to submit NEPA approval; Capital construction grants are required to provide preliminary and detailed design activities and associated environmental studies; predevelopment / preconstruction; permitting activities including the completion of the NEPA process. NAE Program applicants do not need to submit the results of a benefit cost analysis (BCA).