The City of Hoover has secured $16 million in new federal funding for the planned Exit 9 interchange on Interstate 459, reducing the amount city taxpayers are expected to contribute as the project’s estimated cost continues to rise.
The funding lowers Hoover’s projected financial responsibility from nearly $72 million to approximately $55.9 million. That is about $5 million less than the $61 million the city borrowed for the project in 2023.
The money will come from federal Surface Transportation funds allocated to the Birmingham region. It was approved through an amendment to the Birmingham Metropolitan Planning Organization’s 2024-2027 Transportation Improvement Program following months of coordination among regional partners, municipalities and Jefferson and Shelby counties.
“We pursued regional funding for this project, which required concurrence from all of our partners throughout the region,” Hoover Mayor Nick Derzis said. “Exit 9 has never been just a Hoover project; it’s a regional one that will improve traffic flow in several portions of Jefferson and Shelby counties. I am grateful to the Regional Planning Commission staff and to every MPO committee member who saw the value in this investment.”
Interstate projects are typically funded through an arrangement in which federal and state funding covers 80% of the cost and the local government pays the remaining 20%.
Exit 9 has a different funding structure. Under Hoover’s 2023 agreement with the Alabama Department of Transportation, the state’s contribution is capped at $58.95 million, or approximately 49% of the project’s original $120 million estimate. Hoover is responsible for costs exceeding that amount.
The project is now expected to cost approximately $130.8 million, which would have pushed Hoover’s share to nearly $72 million without the additional federal funding.
“Exit 9 will reduce traffic congestion and improve the quality of life for our residents,” Derzis said. “Any resident who travels Highway 150 or Interstate 459 during the afternoon commute understands why it was worth pursuing.”
The new interchange will be constructed near mile marker 9 on I-459, between Exit 6 at Morgan Road and Exit 10 at John Hawkins Parkway. It will be located immediately south of the South Shades Crest Road overpass.
Plans call for a diverging diamond interchange, a design that briefly shifts traffic to the left side of the roadway, allowing drivers to turn left onto interstate ramps without crossing oncoming traffic.
The project will also include auxiliary lanes extending to Exit 10, bridges over I-459 and ramp bridges over the CSX railroad. Ross Bridge Parkway will be extended from Alabama Highway 150 to Brock’s Gap Parkway at South Shades Crest Road.
The interchange is intended to divert traffic, including commercial trucks, from Highway 150 and reduce congestion at Exit 10. According to the city, hundreds of thousands of vehicles travel that section of I-459 each day.
Hoover also cited safety concerns as a reason for the project. Nearly 1,000 collisions occurred in the area over a four-year period, averaging more than 230 each year. City officials expect reducing congestion along Highway 150 and near Exit 10 to improve safety for drivers.
Hoover officials began working with the Regional Planning Commission of Greater Birmingham in early 2026 to move the funding request through the MPO’s review process.
“We began this effort shortly after taking office. It required months of persistent engagement with our regional partners, and we are grateful for their support,” Derzis said.
The project is scheduled to enter the bidding process in late 2026.
“My administration is committed to disciplined fiscal management and to smart, planned growth,” Derzis said. “While 100% committed to the Exit 9 project, I have been critical of the financial terms the City originally agreed to. I am pleased that through proper planning and communication with our regional partners and the MPO, we have lowered the burden on Hoover taxpayers.”
Sherri Blevins is a staff writer for Yellowhammer News. You may contact her at [email protected].
