FTA outlines how historic spending level will play out for transit infrastructure

Written by RT&S Staff
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The Bipartisan Infrastructure Deal is the largest investment in American infrastructure in generations, and marks an inflection point for American transit.

It will boost transit funding for communities all over the country by an average of 30%—helping them address maintenance backlogs, modernize, and expand. The new funding provided under the bill will help transit agencies reduce the current maintenance backlog by 15%. 

Following President Biden’s signing of the Bipartisan Infrastructure Deal (BID) into law, the U.S. DOT’s Federal Transit Administration (FTA) announced key priorities and historic funding amounts for public transportation. The BID authorizes up to $108 billion, including $91 billion in guaranteed funding for public transportation—the most significant federal investment in transit in the nation’s history.

“As the transit industry renews ridership, this historic support will help us transform the way we plan and use public transportation in the United States,” said FTA Administrator Nuria Fernandez. “Long-overdue investments in transit infrastructure will deliver new and expanded public transit services, especially in communities that have suffered from historical funding inequities.” 

Key priorities for public transportation under the BID include:

  • Safety: The BID will enhance state safety oversight programs by strengthening rail inspection practices, protecting transit workers and riders from injuries, and ensuring safe access to transit;
  • Modernization: The BID will reduce the maintenance backlog by repairing and upgrading aging transit infrastructure and modernizing bus and rail fleets; and
  • Equity: Investments in the BID will improve transit service for communities that have historically had more limited access to transit and provide for substantial upgrades to accessibility.

Key funding levels and programmatic changes for public transportation in the BID over a five-year period (Fiscal Years 2022 to 2026) include:

  • Increased funding for FTA formula and competitive grant programs for America’s communities, including:
    • $33.5 billion for the Urbanized Area Formula Program to support transit operations in 500 communities across the country.
    • $23.1 billion for the State of Good Repair program to assist in financing capital projects to maintain public transit systems.
    • $4.6 billion for Rural Area Formula Grants to support transit investments and operations in rural areas communities, including $229 million for Public Transportation on Indian Reservations formula and competitive grants.
    • $2.2 billion for the Enhanced Mobility of Seniors and Individuals with Disabilities program.
    • $3.9 billion for additional Urbanized and Rural Formula Program assistance through the Growing States and High-Density States formulas.
    • $966.4 million to support metropolitan and statewide planning programs;
  • Up to $23 billion for the Capital Investment Grants (CIG) Program, with $8 billion guaranteed to invest in new high-capacity transit projects that communities choose to build; and
  • $193 million for transit research activities and $62 million for technical assistance and workforce development activities.

To support the implementation of these historic funding investments and new programs for public transportation under the BID, FTA is preparing fact sheets and related information for transit agencies, recipients of federal funding, and other transit stakeholders. Learn about the BID funding and programs on FTA’s website and through additional webinars and outreach that will take place in the coming weeks and months.

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