Bridge Street Bridge over Passaic River Downtown Newark

New Jersey’s $5.33B plan prioritizes infrastructure preservation

May 21, 2025

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New Jersey has proposed a $5.33 billion Transportation Capital Program for fiscal year 2026, with most funding coming from the state’s Transportation Trust Fund and federal resources. The plan directs $2 billion from the TTF and approximately $3.25 billion in federal aid, supplemented by contributions from third-party sources.

Under the proposal, the New Jersey Department of Transportation (NJDOT) is allocated $3.63 billion, while NJ Transit would receive $1.7 billion. An additional $784 million is designated for local transportation projects across municipalities and counties.

The capital plan focuses on core priorities such as safety, infrastructure preservation, congestion relief and sustainable mobility. Emphasizing a “fix-it-first” approach, the program targets existing infrastructure needs before funding expansions. It also integrates Intelligent Transportation Systems (ITS), which use advanced technologies to improve communication, traffic control and real-time responsiveness across the transportation network.

Breakdown of FY 2026 Projects:

NJDOT – $3.63 Billion

Bridge Improvements – $1.73 Billion

  • Replacement and repair of key state and local bridges
  • Routine and emergency bridge maintenance
  • Support for local bridge programs

Roadway Upgrades – $389 Million

  • Resurfacing and reconstruction of highways
  • Long-term asset preservation

Safety Improvements – $197 Million

  • Crash-reduction efforts at high-risk intersections
  • Safer pedestrian and school zone designs
  • Rail crossing enhancements

Congestion Management – $341 Million

  • Smart signal systems and real-time traffic monitoring
  • Infrastructure upgrades to improve vehicle flow
  • Incident response tools and systems

Multimodal and Freight Projects – $116 Million

  • Rail freight and port upgrades
  • Bicycle and pedestrian pathway improvements
  • Rail facility enhancements

NJ Transit – $1.7 Billion

Infrastructure Maintenance

  • Track and signal system modernization
  • Tunnel and bridge inspections and repairs

Vehicle and Power System Upgrades

  • Replacing aging buses and railcars
  • Updating substations and overhead power systems

Stations and Terminals

  • Improvements at bus and rail stations
  • Accessibility enhancements and added parking

Transit Safety and Resilience

  • Network-wide security upgrades
  • Flood prevention and emergency readiness

Local Transportation – $784 Million

Direct Local Aid – $400 Million

  • Funding for county and municipal road and bridge projects
  • Support for underserved communities
  • Financing through infrastructure bank programs

Community Programs

  • Walkability and Safe Routes to School initiatives
  • Safety enhancements for rural roads
  • Local freight and culvert improvements

Photo Courtesy
Hudconja via Wikimedia Commons
Creative Commons Attribution-Share Alike 4.0

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