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Yesterday, the U.S. Department of Transportation (USDOT) and U.S. Department of Housing and Urban Development (HUD) began a collaborative effort aimed at helping to foster "sustainable communities" where transportation, housing and commercial development investments would be coordinated.

USDOT and HUD will jointly award up to $75 million in funding — $35 million in Transportation Investment Generating Economic Recovery II (TIGER II) planning grants and $40 million in Sustainable Community Challenge Grants — for localized planning activities.

The TIGER II grants could be used to plan, prepare or design eligible surface transportation projects, such as transit, railway, highway, bridge, port or bicycle and pedestrian facilities.

HUD’s sustainable community grants will help fund urban and community planning projects aimed at fostering reform and "reducing barriers to achieving affordable, economically vital and sustainable communities," HUD officials said in a prepared statement.

Grant applications are due Aug. 23.