Rural Upgrades for Road Access and Local Growth Act of 2025

The Rural Upgrades for Road Access and Local Growth Act of 2025 would change how the Rural Surface Transportation Grant Program (under 23 U.S.C. § 173) is funded and reviewed. The core change is a new set-aside that requires the Secretary of Transportation to reserve 30% of each year’s Rural Surface Transportation grant funds for grants to projects in small-to-mid-sized communities (population 10,000 to 75,000). These communities can be either inside or outside designated urbanized areas per the Census. In addition, the bill speeds up certain grant processing timelines, reducing review/approval periods from 60 days to 3 days. The overall aim is to accelerate upgrades in smaller communities and spur regional growth, though it would reallocate a substantial portion of rural funds to a defined subset of communities.