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U.S. Department of Transportation U.S. Department of Transportation Icon United States Department of Transportation United States Department of Transportation

U.S. Department of Transportation Announces the Availability of $2.2 Billion in American Rescue Plan Funding to Help Transit Agencies with Additional Service Needs

Tuesday, September 7, 2021

WASHINGTON – The U.S. Department of Transportation's Federal Transit Administration (FTA) today announced a Notice of Funding Opportunity (NOFO) for $2.2 billion in competitive grant funding for transit systems demonstrating additional pandemic-associated needs. Funding is provided by the American Rescue Plan Act of 2021, which was signed into law by President Biden on March 11, 2021. 

Additional Assistance Funding may be awarded to transit systems demonstrating additional assistance is needed to cover operating expenses related to maintaining day-to-day operations, cleaning and sanitization, combating the spread of pathogens on transit systems 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," said U.S. Transportation Deputy Secretary Polly Trottenberg. "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." 

FTA will review applications based on the level of financial need, including projections of future financial need to maintain service as a percentage of the 2018 operating costs. Funding that is requested by an eligible applicant must not have been replaced by funding made available through the Coronavirus Aid, Relief, and Economic Security (CARES) Act, the Coronavirus Response and Relief Supplemental Appropriations Act (CRRSAA) of 2021, and other ARP funding.

"The Additional Assistance Funding will support transit agencies demonstrating a continuing need for assistance in maintaining daily operations," said FTA Administrator Nuria Fernandez. "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 NOFO will be placed on public inspection at the Federal Register on Wednesday, September 8, and published on Thursday, September 9. An unpublished version of the NOFO can be viewed here. Applications must be submitted electronically through the website by 11:59 PM ET November 8, 2021.