Governor Phil Murphy • Lt. Governor Tahesha Way

Department of Transportation

Introduction

The Transportation Capital Program for FY 2026 describes the planned capital investments for the State fiscal year starting July 1, 2025. It represents the annual element of the New Jersey Department of Transportation’s and NJ Transit’s federal Statewide Transportation Improvement Program (STIP).

Focusing on the Department’s and Transit's Core Mission—safety, infrastructure preservation, mass transit, mobility and congestion relief, and operations and maintenance—this Capital Program outlines projects and programs that rebuild the State’s bridges and roads, provide mass transit services, and reduce congestion by deploying Intelligent Transportation Systems (ITS) technology.

This Capital Program reflects the need to prioritize spending by carefully evaluating transportation needs and targeting limited resources toward safety, fix-it-first and state-of-good- repair initiatives.

Overview

The FY 2026 Transportation Capital Program totals $5.329 billion and is funded primarily by the State Transportation Trust Fund (TTF), federal, and third-party resources.  The NJDOT total is $3.629 billion and the NJ Transit total is $1.700 billion.

State Funds

State, or TTF funds, are programmed at $2.000 billion.

  • $833 million NJDOT
  • $400 million Local Aid
  • $767 million for NJ TRANSIT
Federal Funds

Federal revenues for FY 2026 are projected at $3.256 billion. NJDOT’s share of the federal funding is $2.391 billion, while NJ Transit’s allotment is $865 million.

Sources of Funds image


NJDOT

NJDOT’s $3.629 billion Capital Program addresses New Jersey’s transportation needs:

  • The NJDOT program provides $1,725 million for state and local bridges. Bridge investments range from funding for high-cost bridges to implementation of a variety of rehabilitation programs and local bridge rehabilitations.
  • The NJDOT program provides $389 million dedicated to road assets, including pavement rehabilitation, reconstruction and resurfacing.
  • The NJDOT program provides $197 million for safety improvements. Key programs funded include the Crash Reduction Program, Intersection Improvement Program, Pedestrian Safety Initiatives, Rail-Highway Grade Crossings, and Safe Routes to School Program.
  • The NJDOT program provides $341 million in funds to address highway congestion through infrastructure improvements as well as efforts to better manage traffic and respond to incidents.
  • The NJDOT program provides $116 million for multimodal investments that support maritime, freight, and rail initiatives as well as bicycle and pedestrian improvements.
NJ Transit
NJ Transit’s $1.700 billion capital program addresses New Jersey’s mass transit needs:
  • The program budget allots funds to address NJ Transit’s state-of-good-repair needs, debt service obligations, preventive maintenance and local programs. The program continues to provide funding to support ongoing track replacement, bridge and tunnel inspections and improvements, security improvements, signal system upgrades, overhead power line and electric substation upgrades, replacement of buses in NJ Transit’s fleet, and other rail station and bus terminal improvements throughout New Jersey.
Local System Support
Local System Support totals $784 million. NJDOT totals $718 million in federal and state funded local system support. This amount includes $400 million in State Local Aid: $300.0 million State Aid Program for municipalities and counties; $44.0 million to Local Bridge Future Needs; $28.0 million for the Local Freight Impact Fund; and $7.5 million to Local Aid Infrastructure Fund and $20.5 million to the Local Aid Infrastructure Bank. NJ Transit’s local support totals $66 million. Additionally, funds for programs such as Local Safety, High Risk Rural Roads, Safe Routes to School, and Culvert Inspection are programmed on the local system.



Last updated date: May 12, 2025 1:07 PM