New funding for local emission reduction projects

Climate Office

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Funding available for transportation projects that reduce greenhouse gas emissions

Walking bicycles child safe routes

Feb. 16, 2023

Oregon transportation projects that reduce greenhouse gas emissions may be eligible for federal funding in 2023, thanks to the new federal Carbon Reduction Program.

The program will bring Oregon $82 million over five years. Of that funding, $13 million is available in 2023 under an ODOT-managed competitive grant program for “small urban and rural” projects. Eligible projects must reduce emissions from transportation and be in urban and rural areas of the state with populations fewer than 200,000.

Examples of eligible projects include: public transit, bike infrastructure improvements, low-emission vehicles or fuels, and intelligent transportation systems.

Eligible applicants are: counties, cities, tribal governments, and local and state transportation agencies.

The application window runs Feb. 28 - May 31, 2023.

Visit our Carbon Reduction Program webpage to learn more about the program and how to apply for funding.

Join an upcoming webinar to learn more about the program and application process

We’re holding two webinars to help interested applicants learn more about the Small Urban and Rural call for projects, what kinds of projects are eligible, and how to apply for funding. If you can’t attend, we’ll have recordings of both sessions available on the program webpage.

Webinar 1

Webinar 2

ODOT webinars are open to everyone. If you require an accommodation to attend, please contact Rye Baerg ( at least 72 hours in advance.


More information about the Carbon Reduction Program

The Carbon Reduction Program is part of the 2021 Bipartisan Infrastructure Law. The program will distribute $82 million of federal funding over five years for projects in Oregon. The funding is divided between Transportation management areas, ODOT statewide projects, and small urban and rural areas.

Transportation management areas in Oregon include the urbanized areas of Portland, Eugene, and Salem. The Metropolitan Planning Organizations in those communities will decide which projects get funded in their jurisdictions. ODOT statewide projects are projects overseen by ODOT; the agency will identify projects to fund via federal and state criteria.

Visit the program webpage for more information or contact Rye Baerg with the ODOT Climate Office.