This study first investigates the effectiveness of current evaluation and funding allocation process for transportation projects in local governments. To further realize the issues existing in the process, expert interviews and panel discussions were conducted in different levels of governments. A set of criteria from both views of central and local governments can then be obtained for evaluating and funding allocation among projects. The evaluation process is improved and reframed into four steps including demand analysis, feasibility study, implementation, and feedback. Five representative counties are chosen from three different financial status to illustrate the framework proposed in this study.