The Rebuild Alabama Act was passed in 2019. It raised the state’s gas tax by six cents, with an additional two cents per year until it reaches 10 cents later this year.
“For years in Alabama we have woefully underfunded the transportation needs both at the state level and on the local level,” said Tony Harris with the Alabama Department of Transportation.
According to Harris, the Rebuild Alabama Act has generated about $200 million into grants programs for Alabama’s highways and bridges.
Local cities and counties can apply for grants from the Rebuild Alabama Act in two ways. One is designed to pay for work along state and federal highways in a local community, and the other is for any road or bridge work in that community.
Governor Kay Ivey pushed hard for the gas tax increase.
Despite criticism from many in her own party when it was passed, Ivey said Rebuild Alabama was the right thing to do for the state.
“This is just something everybody talked about it for years and years. Finally, that’s getting done and more and more, like I said, you’re seeing the blue and white signs going up to show people their dollars are being spent on roads and asphalt,” Ivey said.
The last two cents increase in the gas tax is scheduled to take effect in October of this year.
The governor’s office said that another round of Rebuild Alabama grants will be awarded later this year.