Gov. Jon Corzine has announced that the state will award $78.7 million in transportation grants to 372 towns, including Allentown, Millstone and Upper Freehold.

The New Jersey Department of Transportation (NJDOT) municipal aid grants will fund street improvement, rehabilitation and safety projects, according to a press release from the governor's office.

"Rebuilding the state's infrastructure, from roads to bridges to mass transit, is going to be central to both getting us out of the recession and positioning New Jersey to take advantage when the economy recovers," Corzine said in the press release. "This year's municipal aid program will provide road improvements, property tax relief, and economic growth — three elements that are key to New Jersey's turnaround and success."

The 2009 approval list for the grants includes $165,000 for Allentown's improvements to Quinn Road and Farmer Drive, $190,000 for Millstone's Baird Road improvements and $200,000 for Upper Freehold's improvements to Ellisdale Road.

The municipal aid grants provide funding to municipalities that would otherwise devote local tax revenue to road improvement projects. NJDOT allots each county a specific funding amount based on its population and road mileage and distributes funds to towns based on field investigations and engineering evaluations of proposed projects.

NJDOT provides 75 percent of the grant amount when it awards a contract and the remaining 25 percent upon completion of the project.

The NJDOT invites municipalities to apply for municipal aid funding. The grant program covers a variety of projects, including road resurfacing, rehabilitation, reconstruction and signalization. Municipalities are encouraged to apply for funding for projects that support walking and biking as part of Gov. Corzine's Pedestrian Safety Initiative.