U.S. DOT announces $2.2 Billion in funding for transit agencies

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The U.S. Department of Transportation’s Federal Transit Administration announced Tuesday that it would be providing $2.2 billion in competitive grant funding for transit systems with additional pandemic-associated needs.

Part of the American Rescue Plan Act of 2021, the Additional Assistance Funding will be awarded to transit systems demonstrating funding needs to cover operation expenses related to maintaining day-to-day operations, cleaning and sanitation, combating the spread of pathogens and maintaining critical staffing levels.

“As public transit systems continue to recover from the devastating financial and public health impacts of COVID, they must have the resources they need to keep trains and buses running, especially in heavily transit-dependent communities,” U.S. Transportation Deputy Secretary Polly Trottenberg said. “The funding opportunity we are announcing today will help connect people to jobs, services and opportunities, while supporting crucial health and safety measures for the traveling public and our nation’s dedicated transit workforce.”

Grant applications will be evaluated based on the level of financial needs, including projections of future financial need in order to maintain service as a percentage of 2018 operating costs. Requested funding must not have been replaced by funding through the Coronavirus Aid, Relief, and Economic Security (CARES) Act, the Coronavirus Response and Relief Supplemental Appropriations Act of 2021, or any other ARP funding.

“The Additional Assistance Funding will support transit agencies demonstrating a continuing need for assistance in maintaining daily operations,” FTA Administrator Nuria Fernandez said. “Public transportation connects people to jobs, education and vital services, and this program will help transit agencies continue to provide critical transit services in communities that need it most.”

The Notice of Funding Opportunity was placed on the Federal Register on Sept. 8., and published on Sept. 9. Applications must be submitted electronically through the grants.gov website by 11:59 p.m., Nov. 8, 2021.