H.R. 3932, the Rural Upgrades for Road Access and Local Growth Act of 2025, modifies the federal rural surface transportation grant program to direct more funding toward mid-sized communities. The bill requires the Secretary of Transportation to reserve 30 percent of annual rural transportation grant funding specifically for projects in communities with populations between 10,000 and 75,000 residents, whether or not those communities are officially classified as urban areas. This change affects rural towns and small cities seeking to improve their local roads and transportation infrastructure. The bill also streamlines the grant application process by reducing the public comment period from 60 days to 3 days for certain notifications. The legislation does not specify new total funding amounts but rather reallocates existing rural transportation grant money to prioritize these mid-sized regional communities.
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