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2011 Discretionary Grant Programs

Interstate Maintenance Discretionary Program - Selection Criteria and Additional Information

The IMD program is contained in title 23, U.S.C. section 118(c)(1). Under the provisions of the Surface Transportation Extension Act of 2010, Part II (Public Law 111-322), the program has been extended for Fiscal Year (FY) 2011. There is anticipated to be approximately $100 Million available for discretionary selections this fiscal year. See the application materials for an application template and submission requirements.

We will give priority to projects that will be under construction in FY 2012, have a total cost exceeding $10,000,000, and are located on a high volume route in an urban area or a high truck-volume route in a rural area. The project must be located on Interstate routes eligible under title 23 U.S.C. section 118(c). Eligible routes may generally be found under the heading "Chargeable Mileage" on the table at http://www.fhwa.dot.gov/highwayhistory/data/02.cfm#a.

We anticipate making awards in the $2 million to $5 million range. States should submit no more than two applications and must prioritize the applications. Candidate projects must meet IMD eligibility criteria and will be evaluated on the selection criteria established for the IMD program. Applicants should discuss how the project will improve safety and move the Interstate system towards a state of good repair.

To be eligible for consideration under this program, in accordance with title 23 U.S.C. section 118(c)(2)(A), a State must demonstrate that it will obligate all of its Interstate Maintenance (IM) apportionments (FMIS program code L010 or L01E) in FY 2011 other than an amount that, by itself, is insufficient to pay the Federal share of an eligible project. Also, FHWA policy that a State must not have transferred or plan to transfer any NHS or IM funds to other programs in FY 2011 remains in effect. Division offices must confirm that they have verified that the State plans to obligate all of its IM funding and will not transfer any NHS or IM funds in FY2011.

The applications must be submitted electronically in MS Word or compatible word processor format (no PDF's).

The State must submit applications to the FHWA division office no later than June 3, 2011. Division offices will submit applications via email to Tony DeSimone (Anthony.DeSimone@dot.gov) no later than COB June 6, 2011. Late applications may not be considered. The Division transmittal should include:

  1. a statement from the division office that the State's application has been reviewed by the division office, that it meets the submission and eligibility requirements, and that the State will obligate all of its anticipated apportionment of IM funds;
  2. the State transportation department's submission email or letter to the FHWA division office with projects prioritized; and
  3. each MS Word application as an attachment.

Selection Criteria and Additional Information

Under the provisions of 23 U.S.C. 118(c)(3), priority consideration shall be given to any project in which the cost exceeds $10 million on any high volume route in an urban area or a high truck-volume route in a rural area.

FHWA has not established regulatory criteria for selection of IMD projects; however, the following criteria may be considered in the evaluation of candidates for this program:


In accordance with 23 U.S.C. 120, the Federal share of the costs for most projects eligible under this program is 90 percent. However, the Federal share is 80 percent on projects, or the portion of projects, for work involving added single-occupancy vehicle lanes to increase capacity. The sliding scale provisions under 23 U.S.C. 120 also apply to the Federal share for this program.


The eligibility criteria for IMD projects are provided in section 118(c) of 23 U.S.C., as follows:

  1. IMD funds are available for resurfacing, restoring, rehabilitating and reconstructing (4R) work, including added lanes, on the Interstate System. However, not eligible for allocation of IMD funds are projects on any highway designated as a part of the Interstate System under section 139 of 23 U.S.C., as in effect before the enactment of TEA-21, and any toll road on the Interstate System not subject to an agreement under section 119(e) of 23 U.S.C., as in effect on December 17, 1991. Also not eligible are projects on any highway added to the Interstate System under section 103(c)(4) of 23 U.S.C. and section 1105(e)(5)(A) of ISTEA as they replaced the identified provisions. Any proposed or future Interstate route is also not eligible for IMD funds. Eligible routes can be generally identified on the table located at http://www.fhwa.dot.gov/highwayhistory/data/02.cfm#a under the heading "Chargeable Mileage."

  2. Under the provisions of 23 U.S.C. 118(c)(2), a State is eligible to receive an allocation of IMD funds, if it has obligated or demonstrates that it will obligate in the fiscal year all of its Interstate Maintenance (IM) funds apportioned under section 104(b)(4) of 23 U.S.C., other than an amount which, by itself, is insufficient to pay the Federal share of the cost of a project which has been submitted by the State for approval. Therefore, to be eligible to apply for FY 2011 IMD funds, a State must demonstrate how it will obligate all of its current unobligated balance of IM funds (L010 or L01E) in FY 2011, without transferring these to another category. If full year appropriations are not yet known, an estimate based on FY 2010 should be considered.

  3. The State must be willing and able to obligate the IMD funds within 1 year of the date the funds are made available, apply the funds to a ready-to-commence project, and in the case of construction work, begin work within 90 days after obligation.

In 1992, FHWA established a policy that Interstate 4R discretionary funds would not be allocated to a State that had, in the preceding fiscal year, transferred either National Highway System (NHS) or Interstate Maintenance (IM) funds to the Surface Transportation Program (STP) apportionment. This policy was based on the significant Interstate System needs across the country and that the congressional intent for IMD funds was to give priority consideration to high cost projects in States where available apportionments were insufficient to allow such projects to proceed on a timely basis. This policy is still appropriate and will be applied to FY 2011.


Congress will be notified before funds are allocated to the States. When this Congressional notification process is completed, the Office of Program Administration will issue an announcement by email to all FHWA division offices, announcing the IMD projects that will be funded and the amount of funding for each project.

States may then request that funds be allocated for any projects for which the funds are ready to be obligated. Awarded projects can be found at the website http://www.fhwa.dot.gov/discretionary. The State transportation agency shall send an email to the FHWA division office indicating the project, the amount requested for allocation, and the date by which the funds will be obligated. The Office of Program Administration will issue the allocation memorandum within a few days of receiving the request. These funds are subject to August redistribution. Therefore, any allocated funds must be obligated by the end of the fiscal year.


  1. Coordinate with local governments and MPOs within the State, as necessary, to develop project applications.
  2. Ensure that the applications are completed for candidate projects in accordance with the submission requirements outlined above, including project prioritization.
  3. Submit the applications electronically to the local FHWA division office on time so that the submission deadline can be met.
  4. Submit request to FHWA division office for allocation of funds, after awards are announced and when project funds are ready to be obligated.


  1. Provide the solicitation memorandum and this program information to the State transportation agency electronically to facilitate their electronic submission of applications.
  2. Request candidate projects be submitted by the State to the FHWA division office electronically to meet the submission deadline established in the solicitation.
  3. Review all candidate applications submitted by the State prior to sending them to the FHWA Office of Program Administration to ensure that they are complete and meet the eligibility and submission requirements.
  4. Submit the candidate applications electronically to the FHWA Office of Program Administration as outlined in the solicitation memorandum.
  5. Forward award announcement to the State.
  6. Forward allocation requests from State to the Office of Program Administration, via email to Tony DeSimone (Anthony.DeSimone@dot.gov).


  1. Solicit applications from the States through annual solicitation memorandum.
  2. Review applications and compile appropriate program and project information for the Office of the Federal Highway Administrator.
  3. Issue award announcement via email to all FHWA division offices.
  4. Allocate funds upon receipt of request from State through the FHWA division office.


Tony DeSimone
Federal-aid Programs Engineer
Office of Program Administration
Phone: (317)226-5307
Fax: (317)226-7341
Email: Anthony.Desimone@dot.gov

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