Federal Aid Highway Act

The Federal Aid Highway Act of 1921 was a significant step in the development of the United States' road system. It built upon the Federal Aid Road Act of 1916, which established federal aid for highways as a national policy. The 1921 act required each state to designate a system of state highways, not to exceed 7 percent of the total highway mileage. Federal funding was limited to this designated system, covering 50 percent of the estimated construction costs, while states were responsible for maintenance. This legislation was a response to the growing demands of the automobile and the broader "Good Roads movement," which advocated for improved national roadways to support economic growth and transportation.12