Intelligent Transportation Systems and High-Speed Rail Will Benefit

Though most of the $27.5 billion allocated to roadways will be awarded to "shovel-ready" projects that are already in the planning stages -- like pouring asphalt and fixing bridges -- some communities are investing in intelligent transportation systems (ITS) that mitigate traffic problems. For example, Bucks County, Pa., is spending $56 million to improve highway traffic by installing changeable message boards and pavement sensors. Philadelphia and Flint, Mich., also are funding ITS projects, while Charlotte, N.C., has approved $4 million to install cameras for traffic synchronization.

High-speed rail received an unexpected $8 billion boost because of Obama's enthusiasm for the concept. The new mode of transportation would shuttle passengers along major metropolitan corridors at 200 mph. Stiff competition is expected for the money, as rail lines have been proposed in several populous states, including California, Texas, New York and Illinois. The U.S. Department of Transportation could release guidance for applying for grants as soon as June.

Another $8 billion is allotted for mass transit, which includes commuter rail, light rail and buses. Though much of that money is going toward nuts-and-bolts infrastructure -- refurbishing rail lines, passenger cars and train stations -- Maryland; Madison, Wis.; Louisville, Ky.; and others are going high tech by investing in hybrid-fueled buses.