MidCoast Council contractors will begin construction of a new roundabout at the corner of York and Pulteney Streets, Taree on Wednesday 2 June.
The project is being funded through the Federal Government's Blackspot Funding program which targets dangerous intersections and implements measures to reduce the risk of crashes.
It's expected to take about eight weeks to complete the roundabout, weather permitting.
"This intersection has been on our radar for some time and it's fantastic to see a solution coming for local road users," said Robert Scott, MidCoast Council's Director of Infrastructure and Engineering.
"Given the proximity to Manning Base Hospital and other vital health facilities, this is a busy intersection and it's so important that access to these services is safe for everyone."
For the duration of the works the Pulteney and York Street intersection will be closed to traffic, with motorists entering and exiting York Street via Commerce Street.
There will be a temporary right turn access allowed to enter York Street from Commerce Street, while it will be left turn only when exiting York Street onto Commerce Street.
"Pedestrian access will be maintained around the work site for the duration of the works and the good news is that High Street is unaffected by the works so the Hospital's emergency department will operate as normal," said Rob.
Motorists around York Street and Commerce Streets are asked to observe all roadworks signage, traffic signals, reduced speed limits and directions from road crews, and to travel with caution through the area.