Transportation Economic Development Fund (TEDF) - Category D - Secondary All-Season Roads

Purpose and goal: Category D supports economic development by establishing and integrating a local secondary all-season road system that complements the state trunkline and minimizes seasonal load restriction disruptions. Eligibility: County, city, or village road agencies and transit agencies in counties with populations under 400,000 may participate. Additional criteria include siting on rural primary roads or major streets in small cities/villages (population 5,000 or less), meeting all-season standards, focusing on improvements to existing hard-surface roads, and connecting to the all-season network; federal-aid eligibility is generally required unless waived by the Rural Task Force. Project eligibility: Construction costs only are eligible; right-of-way and engineering are not eligible. Funding and match: Funding is allocated by formula based on eligible mileage with a required minimum 20% local, non-TEDF match. Direct Distribution option: For projects programmed in the STIP with only TEDF D and local funds, a voluntary direct distribution grant can provide a lump-sum payment under a state-local agreement; projects must be completed within three years and any unused funds returned. Application process: There is no standalone application; eligible agencies propose projects through their Rural Task Force for review and recommendation. Selected projects are administered by MDOT and, if using the direct distribution option, follow the described agreement, payment, and closeout steps.