POULSBO — A city project that would add pedestrian trails and other improvements to Noll Road is on the path to funding.

The City of Poulsbo is applying for state money through the Kitsap Regional Coordinating Council for the first phase of a large Noll Road project, as well as improvements in “old town” and Poulsbo Village.

The city has been designing a new Noll Road streetscape with contributions from the North Kitsap School District, to make the busy residential road safer. Many children walk and ride bikes on the road each day to reach North Kitsap schools.

More than 800 new residential lots spread across several proposed developments have been approved for the Noll Road corridor, according to an application the city submitted to the coordinating council.

A 2008 study identified about $7 million in improvements for the Noll Road corridor.

This initial phase of Noll Road work will focus on a section of Noll Road that runs past Poulsbo Elementary School to Mesford Street, and a short section of Hostmark Street near Strawberry Fields.

An eastbound right turn lane and a northbound left turn lane would be added to the intersection of Noll and Hostmark. The intersection will be controlled by stop signs.

A 12-foot-wide pervious-pavement trail for walkers and bicyclists would replace an existing gravel path on Noll and Hostmark. The new streetscape would also include raingardens to trap runoff.

The city is also working with the county on plans for a traffic roundabout at the intersection of Noll Road and Lincoln Road. The intersection is on the edge of Poulsbo city limits.

City engineer Andrzej Kasiniak said the full project will cost about $1.2 million. The Coordinating Council tabbed $220,000 for Noll Road work in 2009.

The work can be completed in several phases depending on how much money the city receives, Kasiniak said. On Wednesday night the city council decided to move forward with a contract with Parametrix company to bring Noll Road designs to 50 percent for permitting.

The city has made two other applications for transportation funding with the Coordinating Council.

One would improve safety in “old town” Poulsbo, including stretches of 6th Avenue, Fjord Drive and Liberty Bay trails. Another would fund road overlays in the same “old town” area and Poulsbo Village.